NEW YORK, Jan. 7, 2002 (PRIMEZONE) -- Kirby McInerney & Squire, LLP has filed a class action lawsuit on behalf of purchasers of shares of the Van Wagoner Emerging Growth Fund (Nasdaq:VWEGX) (the "Fund") between April 28, 2000 and June 30, 2001, inclusive. A copy of the complaint is available on our website at www.kmslaw.com. You can also contact us by phone at (888) 529-4787 or by email at obraun@kmslaw.com.
The action is pending against defendants Van Wagoner Funds, Inc., Van Wagoner Capital Management, Inc., Sunstone Financial Group, Inc., Van Wagoner Emerging Growth Fund, Ernst & Young, LLP, Garrett R. Van Wagoner, Larry P. Arnold and Robert S. Colman for violation of Sections 11, 12(a)(2) and 15 of the Securities Act of 1933. As alleged in the Complaint, defendants issued materially false and misleading statements concerning the Fund's net asset value ("NAV") and performance. The complaint also alleges that Ernst & Young, LLP failed to follow Generally Accepted Accounting Practices and Generally Accepted Auditing Standards, by specifically approving the valuations of net assets utilized by Van Wagoner between the end of 1999 and the end of 2000.
On June 30, 2001, defendants' gross overvaluation of the private placement investments was disclosed when defendants revalued nine such private placement investments originally valued at $28.6 million on December 31, 2000 to a total of $9.00 and marked down an additional 2 holdings by precisely 50% or 75%. During the class period, the Fund's value decreased by approximately 75%.
Members of the class described above may, no later than February 16, 2002, move the Court to serve as lead plaintiff of the class pursuant to the Private Securities Litigation Reform Act of 1995. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. Lead plaintiffs must meet certain legal requirements as set forth in the Act. Class members need not seek appointment as lead plaintiff in order to share in any recovery resulting from this litigation. If you wish to retain Kirby McInerney & Squire to represent you in this action you can sign up online at www.kmslaw.com.
Kirby McInerney & Squire, LLP, has repeatedly demonstrated its expertise in the field of securities litigation. The firm's efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling hundreds of millions of dollars, and its achievements and quality of service have been chronicled in numerous published decisions.
For more information contact Ira M. Press, Esq. or Orie Braun at (888) 529-4782 or obraun@kmslaw.com or visit our website www.kmslaw.com.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.