HARTFORD, Conn., June 6, 2008 (PRIME NEWSWIRE) -- The law firm of Schatz Nobel Izard P.C., which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the District of Massachusetts on behalf of the purchasers of the Fidelity Ultra-Short Bond Fund ("Ultra-Short Bond Fund" or the "Fund") (Nasdaq:FUSFX) who purchased the Fund within three years of the filing of this lawsuit (the "Class").
The Complaint charges Fidelity Management & Research Company ("FMR Co.") and certain related entities, among others, violated federal securities laws. FMR Co. is the investment advisor to the entire group of mutual funds under the Fidelity name.
According to the Complaint, on or about August 23, 2002, defendants began offering shares of the Ultra-Short Bond Fund pursuant to an initial registration statement, filed with the SEC as a Form 485BPOS (the "Registration Statement"). It is alleged that defendants solicited investors to purchase shares of the Ultra-Short Bond Fund by making statements that described the Fund as a fund that: (i) "Seeks a high level of current income consistent with the preservation of capital"; (ii) "allocates its assets across different market sectors and maturities"; (iii) has a "similar overall interest rate risk to the Lehman Brothers 6 Month Swap Index"; and (iv) is geared toward the "preservation of capital." As alleged in the Complaint, these statements were materially false and misleading because defendants did not adequately disclose the risks associated with investing in the Fund, including, for example, that the Fund was: (i) failing to compete with the Lehman Brothers 6 Month Swap Index; and (ii) so heavily invested in high-risk mortgage-backed securities.
If you are a member of the class, you may, no later than August 4, 2008, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a class member that acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members.
While Schatz Nobel Izard P.C. has not filed a lawsuit against the defendants, to view a copy of the Complaint initiating the class action or for more information about the case, class action cases in general, and your rights, please contact Schatz Nobel Izard P.C. toll-free at (800) 797-5499, or by e-mail at firm@snilaw.com, or visit our website: www.snilaw.com.