NEW YORK, July 12, 2002 (PRIMEZONE) -- Kaplan Fox (kaplanfox.com) has filed a class action against Merrill Lynch & Co., Inc., ("Merrill Lynch" or the "Company") and certain of its officers and directors, in the United States District Court for the Southern District of New York on behalf of all persons or entities who purchased or otherwise acquired Merrill Lynch's Internet Infrastructure HOLDRS/SM Trust ("IIH" or the "Trust") (AMEX:IIH) between February 24, 2000 and April 8, 2002, inclusive (the "Class Period").
The complaint alleges that Merrill Lynch and certain of its officers and directors violated the federal securities laws. The complaint alleges, among other things that during the Class Period defendants issued a series of false and misleading statements, and omissions of material fact, within a Registration Statement and Prospectus filed with the SEC on February 24, 2000, for the issuance and initial public offering of one billion Internet Infrastructure HOLDRS. Taking advantage of the profitable Internet wave, Merrill Lynch created multiple trusts that were composed of underlying securities of companies in the technology sector. Each Internet Infrastructure HOLDRS represents an undivided beneficial ownership in 20 specific companies in the Internet infrastructure sector of the technology industry (the "underlying securities"). The price of the Internet Infrastructure HOLDRS was directly related to, and shifted with, the price of the underlying securities.
Merrill Lynch research analysts in the Internet group, issued inflated rating and biased reports for the companies whose stocks comprised the trusts and for additional Internet stocks. In so doing, defendants created a false demand for the securities that comprised the trusts, which in turn inflated the price of the Internet Infrastructure HOLDRS Trust as well. Merrill Lynch engaged in such conduct despite knowing that the valuation of the Internet companies cold not be sustained, and that eventually fall in value. As a result, investors were damaged, by purchasing Internet Infrastructure HOLDRS Trust at artificially inflated levels during the Class Period.
Plaintiff seeks to recover damages on behalf of the Class and is represented by Kaplan Fox & Kilsheimer LLP. Our firm, with offices in New York, San Francisco, Chicago and New Jersey, has many years of experience prosecuting investor class actions and actions involving financial fraud. For more information about Kaplan Fox & Kilsheimer LLP, you may visit our website at www.kaplanfox.com
If you are a member of the Class, you may move the court no later than August 4, 2002 to serve as a lead plaintiff for the Class. In order to serve as a lead plaintiff, you must meet certain legal requirements.
If you have any questions about this Notice, the action, your rights, or your interests, please e-mail us at mail@kaplanfox.com or contact:
Frederic S. Fox, Esq. Jonathan K. Levine, Esq. Donald R. Hall, Esq. Kaplan Fox & Kilsheimer LLP 805 Third Avenue, 22nd Floor New York, NY 10022 (800) 290-1952 (212) 687-1980 Fax: (212) 687-7714 E-mail address: mail@kaplanfox.com Laurence D. King, Esq. Kaplan Fox & Kilsheimer LLP 601 Montgomery Street San Francisco, CA 94111 (415) 772-4700 Fax: (415) 772-4707 E-mail address: mail@kaplanfox.com
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca