NEW YORK, May 1, 2002 (PRIMEZONE) -- Wechsler Harwood Halebian & Feffer LLP ("Wechsler Harwood") announces it has filed a class action lawsuit in the United States District Court for the Southern District of Texas (the "Court"'), on behalf of all persons and entities who purchased the publicly traded securities of Dynegy, Inc. ("Dynegy" or the "Company") (NYSE:DYN) during the period from April 17, 2001 through and including April 24, 2002 (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 Dynegy securities. The Complaint alleges, inter alia, that Dynegy and its senior officers inflated the price of the Company's stock in order to pursue an accelerated securities sale program. The Complaint further alleges that defendants utilized a practice known as "Project Alpha" to create cash flow and bolster its perception in the financial community. Among other things, defendants' wrongful conduct (i) artificially inflated the price of Dynegy's stock during the Class Period; (ii) deceived the investing public, including plaintiff and other Class members, into acquiring Dynegy's securities at artificially inflated prices; (iii) allowed the Individual Defendants to extract millions of dollars in bonuses for creating the appearance of the Company's phenomenal cash flow from operations growth; and (iv) allowed Dynegy to sell nearly half a billion dollars of its own securities to the unsuspecting public. The Complaint seeks damages on behalf of all purchasers of Dynegy publicly traded securities during the Class Period.
If you purchased securities of Dynegy during the Class Period, you may move the Court, no later than June 25, 2002, to serve as lead plaintiff for the Class. In order to serve as lead plaintiff, you must meet certain legal standards.
Wechsler Harwood has taken a leading role in many important actions on behalf of defrauded shareholders. The Wechsler Harwood website (www.whhf.com) has more information about the firm. If you wish to discuss this action with us, or have any questions concerning this notice or your rights and interests with regard to the case, please contact the following:
Wechsler Harwood Halebian & Feffer LLP 488 Madison Avenue, 8th Floor New York, New York 10022 Toll Free Telephone: (877) 935-7400 David Leifer, Wechsler Harwood Shareholder Relations Department: dleifer@whhf.com
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca