ATLANTA, Dec. 13, 2002 (PRIMEZONE) -- Chitwood & Harley announces that it has filed a class action lawsuit in the United States District Court for the Northern District of Ohio, on behalf of purchasers of the securities of OM Group, Inc. (NYSE:OMG) between April 25, 2002 and October 30, 2002 (the "Class Period"), against defendants OM Group, Inc., and certain of its officers and directors.
If you wish to discuss this action or have any questions concerning this notice or your rights with respect to this matter, you may contact Jennifer Morris at 1-888-873-3999 (toll-free) or by e-mail at jlm@classlaw.com. You may view a copy of this complaint or join the class action online at www.classlaw.com by clicking on OM Group, Inc.. If you wish to serve as lead plaintiff, you must move the Court for appointment no later than December 31, 2002. Any member of the purported class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
The action charges OM Group, as well as its Chief Executive and Chief Financial Officers, with violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934. The violations, as the complaint alleges, stem from the issuance of allegedly false statements during the class period, which had the effect -- during the class period -- of artificially inflating the price of OM Group securities.
On October 29, 2002, OM Group shares lost 70% of their value -- falling $22 per share to close at $9 per share -- after announcing: (i) a large loss (due to a massive inventory write-down); (ii) plans for a thoroughgoing operational restructuring; and (iii) a review of its financial reporting. OM Group shares fell further -- to $6 per share -- when the company admitted that OM Group's CEO had sold all his holdings to cover a margin call on 710,000 OMG shares which he had used as collateral for a loan. The complaint alleges that OM Group -- during the class period -- falsely represented its financial results and operational state by failing to take needed inventory writedowns and by failing to inform investors that it was considering significantly altering certain of its (non-performing) operations.
In order to serve as lead plaintiff, you must meet certain legal requirements which Chitwood & Harley would be happy to discuss with you. Chitwood & Harley is a class action law firm that represents victims of securities fraud and corporate mismanagement. Chitwood & Harley has been appointed lead counsel in major actions throughout the United States and has been instrumental in recovering billions of dollars on behalf of its clients. Clients and courts alike have praised the results achieved by Chitwood & Harley. Recently, the federal judge in In re BankAmerica Securities Litigation, which resulted in a $490 million settlement, commented favorably on counsel's performance stating: "Class members were well served by experienced attorneys who, through considerable time and effort, obtained a significant recovery for their clients," and, "(a)s the Court has remarked throughout this litigation, class counsel ... have performed at exceptionally high levels, and all parties have been exceedingly well represented."
For more information about Chitwood & Harley, please visit our website at www.classlaw.com or contact Jennifer Morris at 1-888-873-3999 (toll-free), by e-mail at jlm@classlaw.com or at 1230 Peachtree Street, Suite 2300, Atlanta, Georgia 30309.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.