ATLANTA, April 2, 2003 (PRIMEZONE) -- Chitwood & Harley announces that it has filed a class action lawsuit in the United States District Court for the Northern District of Texas, Dallas Division, on behalf of all who purchased or acquired the securities of Carreker Corporation, ("Carreker" or the "Company") (Nasdaq:CANIE), between May 20, 1998 and December 10, 2002, inclusive (the "Class Period").
The suit is brought against Carreker Corporation and certain of its officers and directors. A copy of the complaint is available on our website, www.classlaw.com. The deadline to file lead plaintiff papers, for those class members wishing to serve in this capacity, is April 11, 2003. There are certain legal requirements to serve as lead plaintiff, which we would be happy to discuss with you. 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. 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 Lauren Antonino or Jennifer Morris at 1-888-873-3999 (toll-free) or by e-mail at jlm@classlaw.com. You may also contact us through our website, www.classlaw.com, by clicking on Carreker Corporation.
During the Class Period, defendants filed a registration statement and prospectus for the Carreker's initial public offering, issued press releases, filed quarterly and annual reports with the SEC and made other public statements that highlighted the Company's seeming ability to consistently grow its revenues and earnings, causing its stock price to rise correspondingly. The complaint alleges that these statements were materially false and misleading because they failed to disclose that Carreker had engaged in improper accounting practices, namely, improper revenue recognition, thereby artificially inflating the Company's reported financial results.
On December 10, 2002, Carreker issued a press release announcing that it was reviewing its previously published and filed financial statements, because the Company might have improperly recognized revenues and that its previous financial reports should not be relied upon. According to the press release, the investigation focused on the improper timing of revenue recognition, which would likely be fixed through a restatement shifting the revenues to the quarter in which they should properly have been recognized under Generally Accepted Accounting Principles. In response to this disclosure, the price of Carreker common stock plummeted, falling from a December 9, 2002 close of $5.08 per share to a closing price of $3.98 per share on December 10, a one day decline of 22.6%.
Chitwood & Harley LLP is a class action firm that concentrates its practice in representing victims of securities fraud and corporate mismanagement, as well as other complex litigation. 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 the highest recovery last year in a securities class action, 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