LITTLE ROCK, Ark., May 7, 2004 (PRIMEZONE) -- A class action complaint has been filed in the United States District Court for the Northern District of Texas on behalf of all persons or entities who purchased or otherwise acquired Abatix Corporation ("Abatix" or the "Company") securities (Nasdaq:ABIX) between April 14, 2004 at 5:05 p.m. EST to April 16, 2004, at 9:27 a.m. EST, both times inclusive (the "Class Period"). The Complaint names Terry Shaver, Frank Cinatl IV, and the Company as defendants.
The Complaint alleges that defendants violated the Securities Exchange Act of 1934 by making a series of materially false and misleading statements concerning the Abatix's business agreement with Goodwin Group LLC during the Class Period. Specifically, the Complaint alleges that Abatix knew but failed to disclose certain material facts, including that: (i) the Company had not verified the proprietary nature of RapidCool or that the Company had in fact, obtained the "exclusive worldwide rights to distribute RapidCool;" (ii) that Abatix had not verified that Goodwin Group LLC was the assignee of patents relating to RapidCool products, nor had defendants verified the ownership of any patent applications filed with respect to the product line; and (iii) defendants knew but failed to disclose that they had only been permitted to perform limited due diligence on the proprietary nature of RapidCool products before signing the distributorship agreement. As a result, the price of the Company's securities were artificially inflated during the Class Period and caused plaintiff and the other members of the Class to suffer damages.
Plaintiff is represented by the law firm of Emerson Poynter LLP. Emerson Poynter LLP has substantial experience representing investors in securities fraud class action lawsuits such as this. The firm has offices in Houston, Texas and Little Rock, Arkansas, but represents investors throughout the nation.
If you purchased or otherwise acquired Abatix securities during the Class Period described above, you may move the Court to serve as lead plaintiff no later than June 22, 2004. To serve as lead plaintiff, however, you must meet certain legal requirements. For more information regarding this action and your rights, please call or email the firm: