MILWAUKEE, April 26, 2006 (PRIMEZONE) -- Investors who suffered losses in Merge Technologies, Inc. d/b/a Merge Healthcare ("Merge" or the "Company") (Nasdaq:MRGE) have until May 22 to file lead plaintiff motions in federal court, Berman DeValerio Pease Tabacco Burt & Pucillo announced.
Berman DeValerio (www.bermanesq.com) filed a class action April 6 in the U.S. District Court for the Eastern District of Wisconsin, Milwaukee Division. The complaint, filed as 06-C-0431, seeks damages for violations of federal securities laws on behalf of all investors who acquired Merge securities from August 2, 2005 through and including March 16, 2006 (the "Class Period").
To receive a copy of the complaint, you may contact the court, call the firm at (800) 516-9926 or go to http://www.bermanesq.com/pdf/Merge-Cplt.pdf.
The lawsuit claims that Merge and a number of individual defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 ("Exchange Act"), 15 U.S.C. Sections 78j(b) and 78t, and SEC Rule 10b-5, 17 C.F.R. Section 240.10b-5, promulgated thereunder.
Based in Milwaukee, Merge develops and delivers medical imaging and information management software and services for both original equipment manufacturers and the end-user health markets.
According to the plaintiff's complaint, Merge and two individual defendants violated the federal securities laws by issuing materially false and misleading statements during the Class Period that artificially inflated the Company's stock price. Specifically, in January 2005, Merge announced an all-stock merger between Merge and Cedara Software Corp., completed by June 1, 2005, which Merge represented to the market as highly successful. The complaint, however, says the defendants schemed to deceive the market during that time by (i) reporting materially overstated revenues; (ii) prematurely recognizing revenues; and (iii) failing to disclose that the Company lacked adequate internal controls.
When the defendants' misrepresentations and omissions were gradually disclosed to the investing public, the Company's stock fell, from $24.50 per share on February 23, 2006, to $15.85 per share on March 17, 2006.
If you acquired Merge securities from August 2, 2005 through and including March 16, 2006, you may wish to contact the following attorneys at Berman DeValerio Pease Tabacco Burt & Pucillo to discuss your rights and interests.
Leslie R. Stern, Esq.
Audley H. Fuller, Esq.
One Liberty Square
Boston, MA 02109
(800) 516-9926
law@bermanesq.com
If you wish to apply to be lead plaintiff in this action, a motion on your behalf must be filed with the court no later than May 22, 2006. You may contact the attorneys at Berman DeValerio to discuss your rights regarding the appointment of lead plaintiff and your interest in the class action, or you may submit information online at http://www.bermanesq.com/Securities/Signup1.asp?caseid=568. Please note, you may also retain counsel of your choice and need not take any action at this time to be a class member.
Berman DeValerio Pease Tabacco Burt & Pucillo prosecutes class actions nationwide on behalf of institutions and individuals, chiefly victims of securities fraud, antitrust law violations, and consumer fraud. The firm has 34 lawyers in Boston, San Francisco and West Palm Beach.