Cohen & Malad, LLP Announces That Court Appoints Lead Plaintiffs and Lead Counsel.INDIANAPOLIS -- Today the U.S. District Court for the Southern District of Florida appointed Richard F. Thompson and L. Alan Jacoby as Co-Lead Plaintiffs in a securities fraud class action against SendTec, Inc., (OTCBB OTCBB See OTC Bulletin Board (OTCBB). :SNDN SNDN Silent Night Deadly Night (movie) ), formerly known as RelationServe Media, Inc (OTCBB:RSVM RSVM Reduced Vertical Seperation Minima ), and individual defendants. The Court also approved the Plaintiffs' selection of Cohen cohen or kohen (Hebrew: “priest”) Jewish priest descended from Zadok (a descendant of Aaron), priest at the First Temple of Jerusalem. The biblical priesthood was hereditary and male. & Malad, LLP LLP - Lower Layer Protocol (www.cohenandmalad.com), as Lead Counsel, and approved Plaintiffs' selection of Friendman, Rosenwasser & Goldbaum, P.A. as Liaison Counsel. The proposed class is defined in the amended complaint amended complaint n. what results when the party suing (plaintiff or petitioner) changes the complaint he/she has filed. It must be in writing, and can be done before the complaint is served on any defendant, by agreement between the parties (usually their lawyers), as all persons who purchased RelationServe shares between May 24, 2005 and August 28, 2006, inclusive (the "Class Period"). On July 27, 2006, RelationServe Media, Inc. ("RelationServe") announced that it had completed the change of its name and symbol to SendTec, Inc., (OTCBB:SNDN). For purposes of the complaint, RelationServe Media, Inc. and SendTec, Inc. (collectively the "Company") are now one and the same entity. On or about August 31, 2006, an action was commenced in the United States District Court for the Southern District of Florida The United States District Court for the Southern District of Florida (S.D.Fl.) is the federal district court covering the southern part of the state of Florida. The court's jurisdiction comprises the following counties: Broward, Dade, Highlands, Indian River, Martin, Monroe, (Case No. 06-61327) by Richard F. Thompson against the Company and certain former officers and directors of the Company alleging securities laws violations in connection with the purchase of Company stock during the period May 24, 2005 to August 2006. The Florida District Court permitted plaintiff to file an amended complaint and on November 13, 2006, plaintiff filed a "First Amended Class Action Complaint" (the "First Amended Complaint") adding an additional plaintiff, L. Alan Jacoby, who purportedly purchased 10,000 shares of common stock of the Company in the open market, and naming additional former and present officers and directors of the Company and others as defendants. The First Amended Complaint, styled as a class action, alleges violations of Section 12(2) of the Securities Act and Section 10(b) of the Securities Exchange Act, and Rule 10b-5 promulgated prom·ul·gate tr.v. prom·ul·gat·ed, prom·ul·gat·ing, prom·ul·gates 1. To make known (a decree, for example) by public declaration; announce officially. See Synonyms at announce. 2. thereunder. Plaintiffs claim, among other things, violations of the various acts: (a) by selling securities through persons who were not registered as agents and/or broker dealers with the Securities Exchange Commission or the States of Florida or Indiana and were not affiliated as an agent or representative of any broker/dealer; (b) by failing to disclose to purchasers of RelationServe Media, Inc. stock that they were selling securities of RelationServe stock through unregistered agents and broker/dealers was in violation of state and federal securities laws which caused a substantial contingent liability Contingent Liability 1. The possibility of an obligation to pay certain sums dependent on future events. 2. Defined obligations by a company that must be met, but the probability of payment is minimal. Notes: 1. for claims of rescission by investors and exposing RelationServe to substantial legal fees, criminal and civil liability which would have a material adverse impact to the RelationServe's financial condition; (c) by failing to disclose that in July 2005 RelationServe's Chief Executive Officer and Chief Operating Officer Chief Operating Officer (COO) The officer of a firm responsible for day-to-day management, usually the president or an executive vice-president. received evidence of accusations of employee theft of data and employee kickbacks had been made and the matter was so material that CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. hired an outside attorney to investigate the matter; (d) failing to disclose that a former director has previously been sued by stockholders of two other corporations; and (e) by failing to disclose that financial statements beginning the third quarter of 2005 were false and misleading as the founder of the Company, Richard Hill, had directed that finance recognize income in the third quarter in violation of Sarbanes-Oxley. The invoices directed to be recorded either did not exist or were otherwise untraceable, cancelled, or were never shipped, with the exception of just a few. In addition to the claims of securities law violations, plaintiffs claim violation of Section 20(a) of the Exchange Act as to controlling persons of the Company, violations of the Florida Securities Act, violations of the Indiana Securities Act, sales of unregistered, non-exempt securities, violation of anti-fraud provisions under Indiana law, deception under Indiana law, and fraud. Plaintiffs seek rescission, damages, treble damages A recovery of three times the amount of actual financial losses suffered which is provided by statute for certain kinds of cases. The statute authorizing treble damages directs the judge to multiply by three the amount of monetary damages awarded by the jury in those cases , punitive damages, compensatory damages, interest, costs, and attorney's fees. If you wish to discuss the case or have questions concerning the notice or your rights, please contact Cohen & Malad attorney Richard Bell by e-mail (rbell@cohenandmalad.com) or by phone at 317-636-6481. There is no cost or fee for contacting Cohen & Malad to discuss this case. |
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