Carnegie International Corporation Files $2.1 Billion Suit Against Grant Thornton, LLP, for Fraud, Negligence and Defamation.Business Editors & Legal Writers BALTIMORE--(BUSINESS WIRE)--May 23, 2000 Carnegie International Corporation (OTC OTC See: Over-the-counter. OTC See over-the-counter market (OTC). BB: CGYC CGYC Canossian Global Youth Conference CGYC Common Ground Youth Church ) and two of its officers today filed a $2.1 billion lawsuit against Grant Thornton, LLP LLP - Lower Layer Protocol , one of the largest accounting firms in the country, alleging fraud, negligence, intentional interference with business relations, fee-gouging, breach of contract, and defamation. The suit was filed in the Circuit Court for Baltimore City by Carnegie's nationally-recognized trial attorneys, William H. Murphy Jr. of Baltimore, and Willie E. Gary Willie E. Gary (born on July 12, 1947), once a migrant worker, is an attorney, motivational speaker and cable television executive. Gary has earned his reputation and nickname as "The Giant Killer" by winning suits against some of America's most well known corporate giants, such as of Stuart, Florida. Carnegie is an Internet support and computer telephony holding company based in the Baltimore suburb of Hunt Valley. The suit alleges that Grant Thornton solicited Carnegie to engage Grant Thornton, LLP to provide auditing and accounting services to its corporation, only to later negligently perform the work for which it is noted. The suit further alleges that: -- Grant Thornton's negligence caused the halt of trading -- and ultimately de-listing -- of Carnegie's stock from the prestigious American Stock Exchange American Stock Exchange (AMEX) Stock exchange in the U.S. Originally known as “the Curb,” it began as an outdoor marketplace in New York City c. 1850. It moved indoors to its present location in the Wall Street area in 1921. ; -- Because of Grant Thornton's fraud and negligence, Carnegie's market capitalization Market Capitalization A measure of a public company's size. Market capitalization is the total dollar value of all outstanding shares. It's calculated by multiplying the number of shares times the current market price. This term is often referred to as market cap. tumbled, which impacted shareholder value and also prevented the company from undertaking market rate financings and expansion-minded acquisitions; -- As a result of Grant Thornton's negligent, fraudulent and malicious conduct, Carnegie Chairman E. David Gable and President Lowell Farkas suffered irreparable harm to their reputations. William Murphy, a former Baltimore City Circuit Court Judge, recently won the exoneration The removal of a burden, charge, responsibility, duty, or blame imposed by law. The right of a party who is secondarily liable for a debt, such as a surety, to be reimbursed by the party with primary liability for payment of an obligation that should have been paid by the first party. of Don King and Don King Productions from federal insurance fraud charges, and was a member of the legal team that recently won a $185 million dollar settlement in a lawsuit for negligence and malpractice against the accounting giant Ernst & Young, LLP. Willie Gary is well known for the $500 million dollar verdict he won in Jackson, Mississippi, against a Canadian funeral home chain, and for numerous other multimillion dollar verdicts and settlements. The Mississippi verdict remains one of the largest cash awards in U.S. history. He currently represents numerous employees in a multi-million dollar lawsuit against the Coca-Cola(R) Company (NYSE NYSE See: New York Stock Exchange : KO), and has also filed a multi-billion dollar lawsuit against the Burger King(R) Corporation. Carnegie International Corporation (OTC BB: CGYC, www.carnegieint.com) is an Internet support and computer telephony holding company with specialization in telecommunications products, services and distribution, and in E-Commerce and EDI (Electronic Data Interchange) The electronic communication of business transactions, such as orders, confirmations and invoices, between organizations. Third parties provide EDI services that enable organizations with different equipment to connect. . Its primary wholly-owned subsidiaries include: RomNet Support Services, Inc., an Internet, e-business and technical support services company, Profit Through Telecommunications (Europe) Ltd. (PTT (1) (Postal, Telegraph & Telephone) The governmental agency responsible for combined postal, telegraph and telephone services in many European countries. (2) See push-to-talk. PTT - Post, Telephone and Telegraph administration ), a telecommunications software company providing business solutions utilizing proprietary speech recognition, touch tone and bar code responses to send and/or receive information; ACC See adaptive cruise control. Telecom of Columbia, Maryland, a leading reseller of equipment and business telephone systems from Comdial(TM), SONY(R) and Sprint(R); Voice Quest, Inc., of Sarasota, Florida, a developer and provider of speech recognition and voice mail technologies and products, and Paramount International Telecommunications, Inc., of Vista, California, which serves hotels and other businesses, primarily in 0+/- call auditing and international one-plus sectors. Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995 provides a "safe harbor" for forward-looking statements. Certain information included in this Press Release (as well as information in oral statements or other written statements made or to be made by Carnegie International Corporation) contain statements that are forward-looking, such as statements relating to the future anticipated direction of the telecommunications industry, plans for future expansion, various business development activities, planned capital expenditures, future funding sources, anticipated sales growth, and potential contracts. Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future, and accordingly, such results may differ from those expressed in any forward-looking statements made by or on behalf of Carnegie International Corporation. These risks and uncertainties included, but are not limited to, those relating to development and expansion activities, dependence on existing management, financing activities, domestic and global economic conditions, change in Federal or state laws, and market competition factors. All trademarks are properties of their respective owners. |
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