MILWAUKEE, August 6, 2003 (PRIMEZONE) -- The Law Firm of Ademi & O'Reilly, LLP announced that on July 18, 2003 it commenced a class action law suit in the United States District Court for the Northern District of California on behalf of purchasers of Crompton Corporation ("Crompton") (NYSE:CK) publicly traded securities, including former Crompton & Knowles and Witco shareholders who exchanged their shares of stock for CK Witco stock pursuant to the merger during the period between October 26, 1998 and October 8, 2002 (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.ademilaw.com/cases/Crompton.pdf.
If you wish to serve as lead plaintiff, you must move the Court by September 16, 2003. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff's counsel, Guri Ademi at 1-866-264-3995 or via e-mail at gademi@ademilaw.com. If you are a member of this class, you can view a copy of the complaint as filed or join this class action online at http://www.ademilaw.com/cases/Crompton/php. Any member of the purported class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
The complaint charges Crompton and certain of its officers and directors with violations of the Securities Act of 1933 and the Securities Exchange Act of 1934. Crompton manufactures and markets a wide variety of polymer and specialty products. The complaint alleges that during the Class Period, defendants caused Crompton's shares to trade at artificially inflated levels through the issuance of false and misleading financial statements by: (a) agreeing to charge prices at certain levels and otherwise to fix, increase, maintain or stabilize prices of rubber chemicals sold in the United States; (b) selling rubber chemicals at the agreed upon prices; and (c) inflating their profits via the above acts.
As a result, the Company's shares traded at inflated prices enabling the Company to refinance its debt and consummate a major acquisition using its inflated securities as currency.