NEW YORK, May 12, 2004 (PRIMEZONE) -- The Law Firm of Geller Rudman, PLLC announced today that a class action lawsuit has been filed in the United States District Court for the Southern District of California on behalf of purchasers of The Titan Corporation ("Titan" or the "Company") (NYSE:TTN) common stock during the period between July 24, 2003 and March 22, 2004, 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.geller rudman.com/view_case.asp?cID=268.
The Complaint alleges that Titan, Gene Ray, Mark Sopp, and Deanna Lund violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b 5 promulgated thereunder. The Complaint alleges that defendants made material misstatements with respect to the Company's financial results. More specifically, the Complaint alleges that defendants failed to disclose and indicate the following in defendants' effort to get its merger with Lockheed Martin Corporation ("Lockheed Martin") approved by shareholders and various regulators: (1) that foreign consultants for Titan were engaging in questionable and potentially illegal activities; (2) that foreign consultants for Titan made improper payments to foreign government officials in violation of Foreign Corrupt Practices Act; (3) that Titan improperly accounted for the funds used in these payments; and (4) as a result, Titan's improper accounting for such payments allowed Titan to enter into a definitive merger agreement with Lockheed Martin.
On February 13, 2004, Titan announced that representatives of Lockheed Martin and Titan recently initiated meetings with the Department of Justice and the Securities and Exchange Commission to advise of an internal review relating to certain agreements between Titan and international consultants and related payments in foreign countries.
On March 5, 2004, Lockheed Martin announced that it had learned of allegations that improper payments were made, or items of value were provided, by consultants for Titan or its subsidiaries to foreign officials. Also on March 5, 2004, Titan confirmed that it had learned of allegations that improper payments were made, or items of value were provided, by consultants for the company or its subsidiaries to foreign officials. The allegations were identified as part of an ongoing review conducted with Lockheed Martin of payments to Titan's international consultants in connection with the proposed acquisition of Titan by Lockheed Martin.
News of this shocked the market with shares of Titan falling $1.82 per share to close at $19.11 per share.
On March 22, 2004, The Wall Street Journal reported that internal investigators of both Titan and Lockheed Martin had found that Titan had made potentially improper payments overseas. According to the article, Titan made millions of dollars in suspicious payments, some as recently as last year, while competing for business in Africa, the Middle East, and Asia. Moreover, the article reported that the Company was scheduled to hold talks with the Department of Justice about a possible plea agreement.
On news of this shares of Titan fell $0.43 per share to close at $19.73 per share.
If you bought Titan common stock between July 24, 2003 and March 22, 2004, inclusive, and you wish to serve as lead plaintiff, you must move the Court no later than June 4, 2004. If you are a member of this class, you can join this class action online at http://www.geller rudman.com. Any member of the purported class may move the Court to serve as lead plaintiff through Geller Rudman or other counsel of their choice, or may choose to do nothing and remain an absent class member.
Geller Rudman, PLLC is a national law firm that represents investors and consumers in class action and corporate governance litigation. It is one of the country's premier firms in the area of securities fraud, with in-house finance and forensic accounting specialists and extensive trial experience. Since its founding, Geller Rudman, PLLC has grown to become one of the most respected and successful firms representing investors and consumers in class action litigation. The firm came of age under the client focused realities of the Private Securities Litigation Reform Act of 1995, which provided new opportunities for institutional investors to assume leadership in combating securities fraud.
The firm's lawyers have achieved substantial recoveries for aggrieved investors and consumers in class action lawsuits prosecuted in state and federal courts throughout the nation. Geller Rudman, PLLC maintains a widely recognized reputation for excellence, as courts have repeatedly appointed the firm to major positions in intricate multi-district or consolidated litigations. In this regard, Geller Rudman, PLLC has successfully pursued hundreds of class action lawsuits, has taken a lead role in numerous complex litigations on behalf of defrauded investors and consumers and has been responsible for billions in recoveries as well as landmark corporate governance changes. The firm maintains offices in Boca Raton 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.geller-rudman.com.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca