NEW YORK, August 28, 2003 (PRIMEZONE) -- The Law Firm of Cauley Geller Bowman & Rudman, LLP announced today that a class action lawsuit has been filed in the United States District Court for the Southern District of New York, located at 500 Pearl Street, New York, NY 10007, on behalf of purchasers of Impath, Inc. ("Impath" or the "Company") (Other OTC:IMPH) (Nasdaq:IMPHE) publicly traded securities during the period between February 21, 2001 and July 29, 2003, inclusive (the "Class Period"). A copy of the complaint filed in this action is available from the Court, or can be viewed on the firm's website at http://www.cauleygeller.com/show_case.asp?ccode=147&pcode=10&pp=4.
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 numerous positive statements throughout the Class Period regarding the Company's financial performance. As alleged in the complaint, these statements were each materially false and misleading when made as they failed to disclose and misrepresented the following material adverse facts which were then known to defendants or recklessly disregarded by them: (a) that the Company was failing to timely record an impairment in the value of its accounts receivables. As a result, the Company's reported financial results were artificially inflated throughout the Class Period; (b) that the Company was failing to properly account for its GeneBank (TM) asset, thereby overstating its reported financial results; and (c) as a result of the foregoing, the Company's financial statements published during the Class Period were not prepared in accordance with Generally Accepted Accounting Principles and were therefore materially false and misleading.
On July 30, 2003, Impath shocked the market when it issued a press release announcing that it had initiated an investigation into possible accounting irregularities involving accounts receivables which the Company believes have been materially overstated and will likely require restatement. Following this announcement, shares of Impath common stock were halted from trading.
If you bought Impath publicly traded securities between February 21, 2001 and July 29, 2003, inclusive, and you wish to serve as lead plaintiff, you must move the Court no later than September 29, 2003. If you are a member of this class, you can join this class action online at http://www.cauleygeller.com/show_case.asp?ccode=147&pcode=10&pp=4. Any member of the purported class may move the Court to serve as lead plaintiff through Cauley Geller or other counsel of their choice, or may choose to do nothing and remain an absent class member.
Cauley Geller is a national law firm that represents investors and consumers in class action and corporate governance litigation. It is one of the country's premiere firms in the area of securities fraud, with in-house finance and forensic accounting specialists and extensive trial experience. Since its founding, Cauley Geller has recovered in excess of two billion dollars on behalf of aggrieved shareholders. The firm maintains offices in Boca Raton, Little Rock and New York.
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.cauleygeller.com.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca