NEW YORK, Aug. 2, 2002 (PRIMEZONE) -- A class action complaint has been filed in the United States District Court for the Southern District of New York, civil action number 02 cv 6143, on behalf of all persons or entities who purchased Internet HOLDRS/SM/Trust ("Internet HOLDRS" or the "Company") (AMEX:HHH) depository receipts between September 22, 1999 and April 26, 2002, both dates inclusive (the "Class Period").
To discuss this action, this announcement, or your rights or interests, please contact plaintiff's counsel, Eric J. 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.
The complaint asserts claims under sections 11, 12(a)(2), and 15 of the Securities Act of 1933 based on false and misleading statements in the Registration Statement, which included a Prospectus, issued in connection with the initial public offering of the Internet HOLDRS depository receipts. The Internet HOLDRS depository receipts are "basket securities." Each Internet HOLDRS depository receipt represents an undivided beneficial ownership in the Internet companies specified in the Prospectus (the "Underlying Securities"). Thus, the price of the Internet HOLDRS is directly related to and moved with the price of the Underlying Securities. As alleged, the Prospectus was false and misleading and/or failed to disclose certain information concerning the Underlying Securities. Specifically, the complaint alleges that the Prospectus failed to disclose that during the Class Period the stock prices of Internet companies covered by Merrill Lynch, which included many of the Underlying Securities, were artificially inflated as a result of Merrill Lynch's analyst reports and stock ratings that did not set forth the true opinions held by those analysts of the subject Internet companies. Also alleged not to have been disclosed in the Prospectus is that Merrill Lynch's Internet group analysts, often under pressure from the Merrill Lynch's investment bankers, were initiating, continuing and/or manipulating research coverage to maintain and attract investment banking business. The complaint's allegations are based, in part, on information from the investigation of Merrill Lynch and its Internet group analysts conducted by the New York State Attorney General.
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 Internet HOLDRS during the Class Period described above, you may, no later than September 24, 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. Contact plaintiffs' counsel Eric J. Belfi or Sharon Lee of Rabin & Peckel LLP to further discuss this action, this announcement, or your rights or interests.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca