Class Action Suit Filed Against Urohealth Systems, Inc. and its Officers, Directors and Securities Underwriters Alleging Misrepresentations, False Financial Statements and Insider Selling.SAN DIEGO--(BUSINESS WIRE)--July 8, 1997--A class action has been commenced in the United States District Court United States District Court In the U.S., any of the 94 trial courts of general jurisdiction in the federal judicial system. Each state, as well as the District of Columbia and the Commonwealth of Puerto Rico, has at least one federal district court. for the Central District of California on behalf of purchasers of Urohealth Systems, Inc. ("Urohealth") common stock during the period July 18, 1996 to July 1, 1997. The complaint charges Urohealth and certain of its officers, directors and its securities underwriters with violations of the federal securities laws. Urohealth sells disposable and reusable urological medical and surgical products. The complaint alleges that during the Class Period, defendants issued false statements about Urohealth's business, revenues, operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. and success in integrating several acquisitions and Urohealth's future prospects for revenue and profit growth, which drove Urohealth stock to an all-time high of $15-1/8 per share on August 16, 1996. According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. the complaint, the defendants made these false statements to artificially inflate Urohealth's stock price so that Urohealth could issue (sell) over 15 million shares of Urohealth stock during the Class Period to raise needed capital and to complete acquisitions of other companies. Also, during the Class Period one of Urohealth's insiders sold 1.2 million shares of Urohealth stock for approximately $10 million. When the true facts about Urohealth's troubled operations came out and it restated its interim fiscal 1997 results to eliminate millions in previously recorded/reported revenues and forecast lower revenue growth going forward, Urohealth's stock declined, falling to as low as $4-3/4 per share on huge trading volume Trading volume The number of shares transacted every day. As there is a seller for every buyer, one can think of the trading volume as half of the number of shares transacted. That is, if A sells 100 shares to B, the volume is 100 shares. of millions of shares per day. Plaintiffs seek to recover damages on behalf of all purchasers of Urohealth common stock during the Class Period (the "Class"). They are represented by several law firms This list of the world's largest law firms by revenue is taken from The Lawyer and The American Lawyer and is ordered by 2006 revenue:[1]
Milberg Weiss has been actively engaged in commercial litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. , emphasizing securities and antitrust class actions, for more than 20 years. The firm has offices in 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 , 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. , San Francisco and Los Angeles and is active in major litigation pending in federal and state courts throughout the United States. The firm's reputation for excellence has been recognized on repeated occasions by courts which have appointed the firm to major positions in complex multi-district or consolidated litigations. Milberg Weiss has taken a lead role in numerous important actions on behalf of defrauded investors, and has been responsible for a number of outstanding recoveries which, in the aggregate, total approximately $2 billion. Visit the firm's website at http://www.milberg.com . If you are a member of the Class described above, you may, no later than 60 days from today, 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 notice or your rights or interests, please contact plaintiffs' counsel, William Lerach, Alan Schulman or Darren Robbins of Milberg Weiss at 800/348-6192 or via e-mail at wsl@mwbhl.com . CONTACT: Milberg Weiss William Lerach/Alan Schulman/Darren Robbins, 800/348-6192 wsl@mwbhl.com |
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