LITTLE ROCK, Ark., June 16, 2002 (PRIMEZONE) -- The Emerson Firm, a securities class action law firm, announced today that a class action has been filed in the United States District Court for the Northern District of Georgia on behalf of purchasers of Mirant Corporation ("Mirant" or the "Company") (NYSE:MIR) publicly traded securities during the period between January 19, 2001 and May 6, 2002, inclusive (the "Class Period"). A copy of the complaint filed in this action is available from the Court, or can be obtained from The Emerson Firm.
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 materially false and misleading statements to the market between January 19, 2001 and May 6, 2002. As alleged in the complaint, Mirant reaped illegal profits in California by artificially manipulating energy prices through a variety of improper tactics. The complaint alleges that Mirant's fraudulent practices have resulted in investigations by both the Attorney General of the State of California, and the Federal Energy Regulatory Commission, as well as a number of lawsuits filed by California, and consumers. The complaint further alleges that during the Class Period, while Mirant announced quarter-after-quarter of outstanding growth, and assured investors that problems in the California market had been properly accounted for, Mirant, in fact, failed to: (a) provide for the return of illegally obtained revenue, through a charge to earnings; (b) provide for professional fees associated with the investigations arising from the fraud through a charge to earnings; and (c) disclose the fact that the illegally obtained revenue was subject to forfeiture and that investigations surrounding the illegally obtained revenue would result in the expenditure of material amounts for legal and professional fees. As a result, alleges the complaint, defendants' Class Period financial statements were materially overstated, and failed to comply with Generally Accepted Accounting Principles ("GAAP").
If you bought Mirant publicly traded securities between January 19, 2001 and May 6, 2002 inclusive, and you wish to serve as lead plaintiff, you must move the Court no later than July 29, 2002. If you are a member of this class, you can join this class action by contacting the Firm. Any member of the purported class may move the Court to serve as lead plaintiff through The Emerson Firm or other counsel of their choice.
The Emerson Firm 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 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.
THE EMERSON FIRM
Investor Relations Department:
Tanya R. Autry
P.O. Box 25336
Little Rock, AR 72221-5336
Toll Free: 1-800-663-9817
E-mail: tanya.autry@worldnet.att.net
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca