NEW YORK, May 31, 2002 (PRIMEZONE) -- A class action complaint has been filed in the United States District Court for the Southern District of Texas, Houston Division, case number H-02-2030, on behalf of all persons or entities who purchased Seitel, Inc. ("Seitel" or the "Company") common stock (NYSE:SEI) between July 13, 2000 and April 1, 2002, both dates inclusive (the "Class Period"). Seitel, Inc., Paul A. Frame, Debra D. Valice, Marcia H. Kendrick, and Herbert M. Pearlman are named as defendants in the action.
The Complaint alleges that defendants violated Section 10(b) of the Securities and Exchange Act of 1934 by issuing a series of materially false and misleading statements concerning the Company's financial results for fiscal 2000 and 2001. In particular, it is alleged that during the Class Period a material amount of the Company's reported revenue was derived from improper recognition of revenue on certain data licensing contracts in violation of generally accepted accounting principles. The Complaint alleges that as a result of these false and misleading statements the price of Seitel common stock was artificially inflated throughout the Class Period causing plaintiff and the other members of the Class to suffer damages and enabling the individual defendants to sell their shares at artificially inflated prices for proceeds in excess of $10.3 million.
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 LLP at www.rabinlaw.com.
If you purchased Seitel common stock during the Class Period described above, you may, no later than July 1, 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 Sharon Lee, 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. www.rabinlaw.com
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca