NEW YORK, July 9, 2001 (PRIMEZONE) -- Notice is hereby given that a class action lawsuit was commenced in the United States District Court for the Northern District of Texas on behalf of all purchasers of InterVoice-Brite, Inc. ("InterVoice" or the "Company") (Nasdaq:INTV) common stock between October 12, 1999 and June 6, 2000, inclusive (the "Class Period"). A copy of the complaint filed in this action can be viewed on the firm's Website at www.faruqilaw.com
The complaint charges defendants with violations of federal securities laws by, among other things, issuing a series of materially false and misleading press releases concerning InterVoice's business, its financial results, the success of its integration with Brite and its prospects. As a result, InterVoice's stock was artificially inflated to as high as $38.75 per share, allowing defendants to collectively sell 525,916 shares of their InterVoice stock for $13.4 million in proceeds. On June 6, 2000, however, InterVoice shocked the market, revealing that it would report a loss of $0.03 to $0.05 and revenues of only $67-$68 million for the 1st Q F01 rather than the EPS of $0.22 and revenues of $89 million defendants had led the market to expect. Defendants blamed the shortfall on sales people who had begun leaving the Company in the months prior to this disclosure, some of which were unhappy with the integrated Company. Defendants also claimed they had implemented new guidance from the SEC, Staff Accounting Bulletin No. 101, Revenue Recognition in Financial Statements ("SAB 101") earlier than planned. These revelations caused InterVoice stock to plummet to as low as $5.75 per share before closing at $6.125, a decline of 85% from its Class Period high on volume of 15.5 million shares.
Plaintiff seeks to recover damages on behalf of himself and all other individual and institutional investors who purchased or otherwise acquired InterVoice securities between October 12, 1999 and June 6, 2000, excluding defendants and their affiliates. Plaintiff is represented by Faruqi & Faruqi, LLP, a law firm with extensive experience in prosecuting class actions, and significant expertise in actions involving corporate fraud.
If you wish to obtain information concerning joining this action you can do so under the "Join Lawsuit" section of our Website at www.faruqilaw.com
If you purchased InterVoice securities during the Class Period, you may, not later than August 6, 2001, move the court to serve as lead plaintiff of the class, if you so choose. In order to serve as lead plaintiff, however, you must meet certain legal requirements. If you wish to discuss this action, or have any questions concerning this notice or your rights or interests, please contact:
ANTHONY VOZZOLO, ESQ.
SHANE ROWLEY, ESQ.
FARUQI & FARUQI, LLP
320 East 39th Street
New York, NY 10016
Telephone: (877) 247-4292 or (212) 983-9330
e-mail Avozz@faruqilaw.com
Srowley@faruqilaw.com
www.faruqilaw.com
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca