LITTLE ROCK, Ark., July 2, 2002 (PRIMEZONE) -- The Law Firm of Cauley Geller Bowman & Coates, LLP announced today that it had filed a class action in the United States District Court for the Central District of California on behalf of purchasers of Lantronix Inc. ("Lantronix" or the "Company") (Nasdaq:LTRXE) publicly traded securities during the period between April 25, 2001 and May 15, 2002, inclusive (the "Class Period"). The class period is being expanded to include purchases between November 2, 2000 and May 30, 2002, inclusive.
The complaint charges Lantronix and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Lantronix designs, develops, and markets network device servers. The complaint alleges that during the Class Period, defendants caused Lantronix's shares to trade at artificially inflated levels through the issuance of false and misleading financial statements. As a result of this inflation, Lantronix was able to complete a secondary offering of eight million shares, raising proceeds of $64 million on July 17, 2001.
The defendants' alleged wrongful course of business: (i) artificially inflated the price of Lantronix's stock during the Class Period; (ii) deceived the investing public, including plaintiff and other Class members, into acquiring Lantronix's securities at artificially inflated prices; (iii) allowed certain of the Individual Defendants to sell more than $13 million worth of the shares held/controlled by them and allowed the Company to sell $50 million worth of its own stock; and (iv) permitted Lantronix to grow and benefit economically from the wrongful course of conduct.
Lantronix has now restated its results for F01 and the first two quarters of F02. Once the Company announced it would restate its results, its stock dropped to below $1.00.
If you bought Lantronix publicly traded securities between November 2, 2000 and May 30, 2002 inclusive, and you wish to serve as lead plaintiff, you must move the Court no later than July 15, 2002. If you are a member of this class, you can join this class action online at http://www.classlawyer.com/sign_up.html. Any member of the purported class may move the Court to serve as lead plaintiff through Cauley Geller Bowman & Coates, LLP or other counsel of their choice, or may choose to do nothing and remain an absent class member.
Cauley Geller Bowman & Coates, LLP has substantial experience representing investors in securities fraud class action lawsuits such as this. The firm has offices in Florida and Arkansas, but represents investors throughout the nation. If you have any questions about how you may be able to recover for your losses, or if you would like to consider serving as one of the lead plaintiffs in this lawsuit, you are encouraged to call or e-mail the Firm or visit the Firm's Website at www.classlawyer.com.
CAULEY GELLER BOWMAN & COATES, LLP Investor Relations Department: Jackie Addison, Sue Null or Shelly Nicholson P.O. Box 25438 Little Rock, AR 72221-5438 Toll Free: 1-888-551-9944 E-mail: info@classlawyer.com
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca