NEW YORK, Feb. 15, 2002 (PRIMEZONE) -- A class action complaint has been filed in the United States District Court for the Southern District of New York on behalf of all persons or entities who purchased Tyco International, Ltd. ("Tyco" or the "Company") common stock (NYSE:TYC) between December 13, 1999 and February 4, 2002, both dates inclusive (the "Class Period"). Tyco International, Ltd., Dennis Kozlowski and Mark Swartz are named as defendants in the action.
The Complaint alleges that defendants violated Section 10(b) and 20(a) of the Securities and Exchange Act of 1934 by issuing a series of false and misleading statements, and omissions of material fact during the Class Period concerning Tyco's financial statements as a result of improper accounting. In particular, it is alleged that the Company failed to disclose that it had acquired over 700 companies since 1999, totaling approximately $8 billion. It is also alleged that Tyco failed to disclose the impact of new accounting rules, and classifying nearly all of its acquisition costs as goodwill. Defendants Kozlowski and Swartz returned over $100 million in stock to the Company to cover up their stock activity. The Company also paid another director $20 million for his part in Tyco's recent acquisition of CIT Group, Inc. Further, as a result of these false and misleading statements the price of Tyco common stock was artificially inflated throughout the Class Period causing plaintiff and the other members of the Class to suffer damages.
Plaintiff is represented by the law firm of Rabin & Peckel LLP. Rabin & Peckel LLP and its predecessor firms have devoted its practice to shareholder class actions and complex commercial litigation for more than thirty years and have recovered hundreds of millions of dollars for shareholders in class actions throughout the United States. You can learn more information about Rabin & Peckel at www.rabinlaw.com.
If you purchased Tyco common stock during the Class Period described above, you may, no later than April 5, 2002, move the Court to serve as lead plaintiff. To serve as lead plaintiff, however, you must meet certain legal requirements. You can join this action as a lead plaintiff online at www.rabinlaw.com. If you wish to discuss this action further or have any questions concerning this announcement, or your rights or interests, please contact plaintiff's counsel, Eric Belfi or Maurice Pesso, Rabin & Peckel LLP, 275 Madison Avenue, New York, NY 10016, by telephone at (800) 497-8076 or (212) 682-1818, by facsimile at (212) 682-1892, or by e-mail at email@rabinlaw.com.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.