Lovell & Stewart Announces Class Action Lawsuit Against AOL Time Warner, Inc., Accounting Firm Ernst & Young, LLP.Business Editors & Legal Writers NEW YORK--(BUSINESS WIRE)--July 18, 2002 The law firm of Lovell & Stewart, LLP LLP - Lower Layer Protocol ((212) 608-1900 or www.lovellstewart.com) filed a class action lawsuit class action lawsuit A lawsuit in which one party or a limited number of parties sue on behalf of a larger group to which the parties belong. For example, investors may bring a class action lawsuit against a brokerage firm that has actively promoted a tax on July 18, 2002 on behalf of all persons who purchased, converted, exchanged or otherwise acquired the common stock of America Online, Inc. between July 19, 1999 and January 10, 2001 and all persons who purchased, converted, exchanged or otherwise acquired the common stock of AOL (A division of Time Warner, Inc., New York, NY, www.aol.com) The world's largest online information service with access to the Internet, e-mail, chat rooms and a variety of databases and services. Time Warner, Inc. (NYSE NYSE See: New York Stock Exchange :AOL) between January 11, 2001 and July 17, 2002, inclusive. The lawsuit asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 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. by the SEC thereunder and the common law and seeks to recover damages. Any member of the class may move the Court to be named lead plaintiff. If you wish to serve as lead plaintiff, you must move the Court no later than September 16, 2002. The action, Fadem v. AOL Time Warner, Inc., et al., is pending in the U.S. District Court for the Southern District of 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 (500 Pearl Street, New York, New York), Docket A written list of judicial proceedings set down for trial in a court. To enter the dates of judicial proceedings scheduled for trial in a book kept by a court. No. 02-CV-5575 (SWK SWK Social Work SWK Sarawak (State in Malaysia) SWK Stadtwerke Krefeld AG (Germany) SWK Star Wars Kid SWK Sealed With Kisses ) and has been assigned to the Hon. Shirley Wohl Kram, U.S. District Judge. The complaint alleges that during the class period, AOL (and later AOL Time Warner) made misrepresentations and/or omissions of material fact, including affirmatively misstating AOL and AOL Time Warner's revenue from online advertising sales by including in such revenues sums received as one-time payments in connection with the termination of contracts for online advertising. The complaint further alleges that AOL artificially inflated its online advertising revenues for fiscal 1Q 01 by counting in such revenues $16.4 million in online advertising that AOL required an enterprise called 24dogs.com to purchase in order to settle a legal dispute, and that AOL Time Warner artificially inflated its revenues from online advertising sales by including in such revenues sums that AOL Time Warner received in connection with selling online advertising for online auction site eBay. The complaint further alleges that defendant Ernst & Young, LLP violated the federal securities laws by certifying AOL Time Warner's financial statements as incorporated in AOL Time Warner's Annual Report for its fiscal year 2001 filed with the SEC on March 25, 2002 even though it knew (or recklessly failed to discover) that AOL Time Warner had counted in revenue sums received in connection with selling online advertising for online auction site eBay. When The Washington Post revealed the foregoing on July 18, 2002, AOL Time Warner stock dropped to as low as $11.75, down from its Class Period high of $58.51. Christopher Lovell, the senior partner at Lovell & Stewart, has been appointed lead counsel or co-lead counsel in numerous significant class actions, including actions involving reportedly the largest class action recoveries in history under three separate federal statutes (the Sherman Antitrust Act Sherman Antitrust Act, 1890, first measure passed by the U.S. Congress to prohibit trusts; it was named for Senator John Sherman. Prior to its enactment, various states had passed similar laws, but they were limited to intrastate businesses. , the Commodity Exchange Act, and the Investment Company Act of 1940). These record-breaking recoveries for class plaintiffs included the $1.027 billion recovery in In re: 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 Market-Makers Antitrust 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. and a $145.35 million recovery in 1999 in In re: Sumitomo Copper Litigation, a class action against various parties who conspired to manipulate the worldwide copper and copper futures markets for their own profit. Investors who acquired the common stock of America Online, Inc. and/or AOL Time Warner, Inc. (NYSE:AOL) between July 19, 1999 and July 17, 2002 may contact Lovell & Stewart at the telephone number, address or E-mail address below for more information regarding the class action lawsuit. Investors can also visit Lovell & Stewart's website at www.lovellstewart.com to view a copy of the complaint.
CONTACT: Lovell & Stewart, LLP
Christopher Lovell
Christopher J. Gray
500 Fifth Avenue
New York, New York 10110
(212) 608-1900
classaction@lovellstewart.com
|
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion