NEW YORK, March 4, 2005 (PRIMEZONE) -- Abbey Gardy, LLP commenced a Class Action lawsuit in the United States District Court of New Jersey on behalf of a class (the "Class") of all persons who purchased or acquired securities of Bradley Pharmaceuticals, Inc. ("Bradley" or the "Company") (NYSE:BDY) between April 29, 2004 and February 25, 2005 inclusive (the "Class Period").
The Complaint alleges that defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder, by issuing a series of material misrepresentations to the market during the Class Period thereby artificially inflating the price of Bradley securities. The Complaint names as defendants Bradley, Daniel Glassman and R. Brent Lenczycke. The Complaint alleges that Bradley failed to disclose and misrepresented the following material adverse facts which were known to defendants or recklessly disregarded by them: (1) that the Company was materially overstating its financial results by engaging in improper accounting practices; (2) that the Company lacked adequate internal controls and was therefore unable to ascertain the Company's true financial condition; and (3) as a result, there was no reasonable basis for the Company's revenue and earnings guidance.
On February 28, 2005, the Company announced that the Securities and Exchange Commission ("SEC") is conducting an informal inquiry to determine whether there have been violations of the federal securities laws by the Company. In connection with the inquiry, the SEC staff has requested that the Company provide it with certain information and documents concerning issues related to revenue recognition and capitalization of certain payments. In addition to this announcement, Bradley also announced that it would be delaying the release of its 2004 earnings.
News of this shocked the market and shares of Bradley fell $3.50 per share, or 26.42%, to close at $9.75 per share on usually high trading volume.
Plaintiff seeks to recover damages on behalf of all those who purchased or otherwise acquired Bradley securities during the Class Period. If you purchased or otherwise acquired Bradley securities during the Class Period, and either lost money on the transaction or still hold the securities, you may wish to join in the action to serve as lead plaintiff. If you purchased Bradley securities during the Class Period, you may, no later than May 2, 2005 request that the Court appoint you as lead plaintiff.
A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiffs." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff.
Abbey Gardy, LLP has been retained as one of the law firms to represent the Class. The attorneys at Abbey Gardy, LLP have extensive experience in securities class action cases, and have played lead roles in major cases resulting in the recovery of hundreds of millions of dollars to investors. If you would like to discuss this action or if you have any questions concerning this Notice or your rights as a potential class member or lead plaintiff, you may contact:
Susan Lee or Nancy Kaboolian, Esq. Abbey Gardy, LLP 212 East 39th Street New York, New York 10016 (212) 889-3700 (800) 889-3701 (Toll Free) Or e-mail Susan Lee at slee@abbeygardy.com.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca