Barrack, Rodos & Bacine files suit against Informix Corp. and certain officers and directors alleging material misstatements and false financial statements.PHILADELPHIA--(BUSINESS WIRE)--April 16, 1997--A class action has been commenced in the United States District Court for the Northern District of California The United States District Court for the Northern District of California is the Federal district court whose jurisdiction comprises following counties: Alameda, Contra Costa, Del Norte, Humboldt, Lake, Marin, Mendocino, Monterey, Napa, San Benito, San Francisco, San Mateo, Santa on behalf of purchasers of Informix Corp. ("Informix") common stock during the period Aug. 16, 1996 through March 31, 1997 ("Class Period"). Plaintiffs allege To state, recite, assert, or charge the existence of particular facts in a Pleading or an indictment; to make an allegation. allege v. that Informix' management in violation of Section 10(b) of the Securities Exchange Act of 1934 made material misrepresentations about the company's business and earnings growth and manipulated Informix' financial results by recognizing revenue from software licenses In computing, software that is copyrighted and licensed under a software license is done under a variety of licensing schemes. For end-users there are proprietary licenses and there are free software licenses, and there are proprietary Within these schemes are further classifications. during 1996 in violation of Generally Accepted Accounting Principles The standard accounting rules, regulations, and procedures used by companies in maintaining their financial records. Generally accepted accounting principles (GAAP) provide companies and accountants with a consistent set of guidelines that cover both broad accounting , all of which resulted in the company reporting inflated and deceptive de·cep·tive adj. Deceptive or tending to deceive. de·cep  tive·ness n. earnings.
In fact, Informix was experiencing significant problems with its operations and product development. These problems forced Informix to change its distribution method which resulted in significant cancellations and returns of licenses in early 1997. The complaint alleges that certain Informix senior executives took advantage of the inflated price of Informix stock caused by the misrepresentations by selling almost a million shares of the company's stock for more than $22 million. When news regarding the company's problems and diminished revenues and profits were made public, the company's stock price fell to as low as $7.00. The plaintiffs seek to recover damages on behalf of all purchasers of Informix stock during the Class Period. They are represented by, among other firms, Barrack BARRACK. By this term, as used in Pennsylvania, is understood an erection of upright posts supporting a sliding roof, usually of thatch. 5 Whart. R. 429. , Rodos & Bacine, who has extensive experience and expertise in prosecuting investor class actions. Barrack, Rodos & Bacine has prosecuted securities, antitrust Antitrust The antitrust laws apply to virtually all industries and to every level of business, including manufacturing, transportation, distribution, and marketing. They prohibit a variety of practices that restrain trade. and consumer class actions for over 20 years from offices in Philadelphia, San Diego San Diego (săn dēā`gō), city (1990 pop. 1,110,549), seat of San Diego co., S Calif., on San Diego Bay; inc. 1850. San Diego includes the unincorporated communities of La Jolla and Spring Valley. Coronado is across the bay. , New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of and New Jersey. The Barrack Rodos firm is nationally recognized, having been designated lead counsel by federal and state courts across the country in large, complex cases and recovering hundreds of millions of dollars for class members. Most significantly, Barrack Rodos is acknowledged as an outstanding trial firm, having most recently won a multi-million dollar verdict in Gutierrez v. Givens, a consumer class action, tried by the firm on behalf of 29,000 California residents. If you are a member of the Class described above, you may, no later than June 13, 1997, move the Court to serve as lead plaintiff of the Class, if you so choose. In order to serve as lead plaintiff, however, you must meet certain legal requirements. If you wish to discuss this action or have any questions concerning this case or your rights or interests, please contact the shareholder relations manager at Barrack, Rodos & Bacine, 3300 Two Commerce Square, 2001 Market St., Philadelphia, PA 19103, at 800/417-7305 or 215/963-0600. CONTACT: Barrack, Rodos & Bacine 800/417-7305 or 215/963-0600 fax: 888/417-7306 or 215/963-0838 |
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