Girard & Green Announces Class Action Lawsuit Against Critical Path, Inc.Business Editors & Legal Writers SAN FRANCISCO--(BUSINESS WIRE)--Feb. 2, 2001 The San Francisco San Francisco (săn frănsĭs`kō), city (1990 pop. 723,959), coextensive with San Francisco co., W Calif., on the tip of a peninsula between the Pacific Ocean and San Francisco Bay, which are connected by the strait known as the Golden law firm Girard & Green, LLP LLP - Lower Layer Protocol , in association with co-counsel, has filed a shareholders class action in federal court, Kessler v. Critical Path, Inc. et al., following recent announcements by Critical Path, Inc. that its reported fourth-quarter results may be materially incorrect. On January 18, 2001, Critical Path, a Web messaging software company based in San Francisco, reported fourth-quarter results that included revenue of $52 million. On February 2, 2001, Critical Path announced it had discovered past transactions calling its financial results into question. The company also announced that its reported fourth-quarter results may have been materially misstated. In addition, Critical Path said its board of directors had formed a special committee to investigate the company's revenue recognition practices. Critical Path also disclosed that the board had placed the company's president, David Thatcher David J. Thatcher (born July 31, 1921), 19019573, was a Staff Sergeant in the United States Army Air Force. He was born in Bridger, Montana. Upon his high school graduation, Thatcher enlisted in military service on December 3, 1940. , and vice president of worldwide sales, William Rinehart, on administrative leave. On February 2, 2001, NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on halted trading in Critical Path's stock. Before the halt, the price of the stock had fallen over 60 percent, to approximately $3.90. The Kessler lawsuit has been filed 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 , San Francisco Division. The suit is brought on behalf of a plaintiff class consisting of all people who acquired Critical Path common stock at any time from November 30, 2000 through February 1, 2001, and who suffered damages as a result. The complaint alleges that during this period, Critical Path, David Thatcher, and William Rinehart knowingly or recklessly issued statements that misled mis·led v. Past tense and past participle of mislead. the public and market about the company's fortunes, and inflated the price of its stock. The complaint alleges that these Defendants thus violated the federal securities laws and are liable to the class members for damages. Girard & Green, LLP has filed the complaint in association with the 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 law firm Shalov Stone & Bonner. For more information, please contact attorney Robert A. Jigarjian at Girard & Green, LLP by telephone (415/981-4800) or e-mail (raj@classcounsel.com). |
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