PHILADELPHIA, Feb. 24, 2003 (PRIMEZONE) -- The law firm of Spector, Roseman & Kodroff, P.C. announces that a securities class action lawsuit was commenced in the United States District Court for the District of New Jersey on behalf of purchasers of Bio-Technology General Corporation ("Bio-Technology" or the "Company") (Nasdaq:BTGC) between April 19, 1999 and August 2, 2002, inclusive (the "Class Period").
The suit alleges Bio-Technology defrauded investors by releasing false and misleading financial statements about its revenue and earnings, causing the company's stock to reach an artificially high price. On August 2, 2002 the Company announced that it would have to revise and restate its prior financial results for 1999, 2000, 2001 and the first quarter of 2002. According to the complaint, Bio-Technology violated Generally Accepted Accounting Principles and Securities and Exchange Commission rules, improperly accounting for:
a) development and startup costs associated with a new drug;
b) compensation charges resulting from stock option awards to certain
employees and former employees; and
c) revenue from a 1999 product sale in which significant
uncertainties about the realization of the invoiced amount arose.
Bio-Technology stock fell from a high of $4.16 on August 1, 2002 to a low of $3.49 on August 2, 2002.
If you purchased Bio-Technology securities during the Class Period, you may, no later than March 11, 2003, move to be appointed as a Lead Plaintiff in this class action. A Lead Plaintiff is a representative, chosen by the Court, that acts on behalf of other class members in directing the litigation. The Private Securities Litigation Reform Act of 1995 directs Courts to assume that the class member(s) with the "largest financial interest" in the outcome of the case will best serve the class in this capacity. Courts have discretion in determining which class member(s) have the "largest financial interest," and have appointed Lead Plaintiffs with substantial losses in both absolute terms and as a percentage of their net worth.
If you have sustained substantial losses in Bio-Technology securities during the Class Period, please contact Spector, Roseman & Kodroff, P.C. at classaction@srk-law.com for a more thorough explanation of the Lead Plaintiff selection process. If you have relatively small losses, your ability to participate in any recovery will be protected by the Lead Plaintiff(s), and you need take no affirmative steps at this time.
If you wish to join this action, please visit http://www.srk-law.com/dbjoinaclassaction.asp. If you would like to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff's counsel Robert M. Roseman toll-free at 888-844-5862 or via E-mail at classaction@srk-law.com. For more detailed information about the firm please visit its website at http://www.srk-law.com.
Spector, Roseman & Kodroff, P.C., located in Philadelphia, Pennsylvania and San Diego, California, concentrates its practice in complex litigation including actions dealing with securities laws, antitrust, contract and commercial claims. The firm is active in major litigation pending in federal and state courts throughout the United States. The firm's reputation for excellence has been recognized on repeated occasions by courts which have appointed the firm as lead counsel in numerous major class actions involving violations of the federal securities laws and the federal antitrust laws, and consumer fraud. As a result of the efforts of the firm, and its members, hundreds of millions of dollars have been recovered on behalf of thousands of defrauded shareholders and companies.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca