TUSCALOOSA, Ala., July 21, 2004 (PRIMEZONE) -- On July 9, 2004, an investor sued Cumberland Casualty & Surety Company ("Cumberland") and Dorinco Reinsurance Company ("Dorinco") for securities fraud related to their participation in the offering and sale of an Insured Risk Management Program ("IRMP") offered through participating investment advisors and securities broker-dealers.
Dice & Gregory, LLC filed the class action in the United States District Court for the Northern District of Alabama. The lawsuit seeks damages for violations of federal securities laws and of Florida law on behalf of investors who invested in the IRMP from October 16, 1998, through and including the date of filing of the Complaint (the "Class Period").
To receive a copy of the complaint, you may contact the court, call the firm at 888-454-2041, or email kyork@diceandgregory.com
The lawsuit claims that the defendants violated sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and the rules and regulations promulgated thereunder, including rule 10b-5 of the United States Securities and Exchange Commission.
The complaint names as defendants Cumberland Casualty & Surety Company and Dorinco Reinsurance Company, Joseph M. Williams, Cumberland's president; Carol S. Black, Secretary and Chief Financial Officer of Cumberland; and Fernando Ruiz, president and chief executive officer of Dorinco.
The complaint alleges that the defendants offered and sold securities to the investing public utilizing false statements which they knew or recklessly disregarded were misleading in that they contained misrepresentations and failed to disclose material facts necessary in order to make the statements made, in light of the circumstances under which they were made, not misleading.
Specifically, the complaint alleges that the IRMP was marketed as an account management program which would be insured against market losses after five (5) years but which was in fact not so insured.
If you invested in the IRMP, you may wish to contact the following attorney at Dice & Gregory, LLC to discuss your rights:
Steven P. Gregory, Esq. 2824 Seventh Street Tuscaloosa, Alabama 35401 (888) 454-2041 sgregory@diceandgregory.com
If you wish to be lead plaintiff in this action, a motion on your behalf must be filed with the court no later than September 6, 2004. You may contact the attorneys at Dice & Gregory to discuss your rights regarding the appointment of lead plaintiff and your interest in the class action, or you may submit information to kyork@diceandgregory.com. Please note that you may retain counsel of your choice and need not take any action at this time to become a class member.
Dice & Gregory, LLC's complex litigation practice prosecutes securities and consumer class actions and derivative lawsuits on behalf of investors and consumers nationwide.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca