CHICAGO, Feb. 8, 2002 (PRIMEZONE) -- Much Shelist Freed Denenberg Ament & Rubenstein, P.C. announces that on February 8, 2002 it filed a class action lawsuit on behalf of purchasers of the securities of ACLN, Ltd. ("ACLN") (NYSE:ASW) between June 29, 2000 and December 20, 2001, inclusive.
The Complaint alleges that defendants ACLN and certain of its officers and directors issued materially false and misleading statements to the market during the period from June 29, 2000 to December 20, 2001. The truth about these statements did not come to light until December 20, 2001, when Herb Greenberg published an article on TheStreet.com. In response to the questions raised in Greenberg's article, shares of ACLN plunged 64%, falling $16.71 to close at $9.40 per share.
Specifically, the Complaint alleges that during the Class Period the defendants issued multiple press releases and filed quarterly and annual reports with the Securities and Exchange Commission that highlighted ACLN's growth and strong financial performance. These statements were materially false and misleading because they failed to describe ACLN's true state of financial affairs by:
-- failing to disclose certain self-dealing transactions between
defendant Bisschops and certain private entities he controlled;
-- overstating ACLN's assets by listing a shipping vessel, the Sea
Atef, as an asset of ACLN when, in fact, ACLN did not own the Sea
Atef;
-- overstating ACLN's net income by understating ACLN's selling,
general and administrative expenses; and
-- violating Generally Accepted Accounting Principles and ACLN's own
stated policy with regard to revenue recognition by reporting
revenue for the cars that it sold as soon as the ship carrying
the cars left the port and not when the shipment was completed.
The action is brought against ACLN, Joseph Bisschops (Chairman and Managing Director), Aldo Labiad (President, Chief Executive Officer, Chief Operating Officer and Managing Director) and Alex De Ridder (Chief Financial Officer). And it alleges that defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. The Complaint is numbered 02-CV-1037 and is pending in the United States District Court for the Southern District of New York against defendants.
Plaintiffs have retained Much Shelist to recover damages on behalf of all those who purchased or otherwise acquired ACLN securities from June 29, 2000 through December 20, 2001. If you wish to serve as lead plaintiff, you must, no later than February 19, 2002, 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 plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff.
If you are a member of this class and have any questions concerning this notice or your rights and interests regarding this matter, or would like a copy of the complaint, please contact Carol V. Gilden or Michael E. Moskovitz by telephone at (800) 470-6824, via e-mail at cgilden@muchlaw.com or mmoskovitz@muchlaw.com or visit our website at http://www.muchlaw.com. Your e-mail should refer to ACLN.
Much Shelist's history is one of experience, leadership and results. For more than 25 years, Much Shelist has represented plaintiffs in class action litigation in federal and state courts across the United States. The firm has successfully prosecuted cases involving securities fraud, antitrust violations, consumer fraud, unlawful business practices and insurance company fraud. Under Much Shelist's leadership, class members have obtained judgments and settlements in excess of $4 billion.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.