CHICAGO, Aug. 22, 2002 (PRIMEZONE) -- Much Shelist Freed Denenberg Ament & Rubenstein, P.C. announces that class action lawsuits are pending in the United States District Court for the Southern District of Texas on behalf of purchasers of the securities of El Paso Corporation (NYSE:EP) ("El Paso" or the "Company") between July 25, 2001 and May 29, 2002, inclusive ("Class Period").
It has been alleged that El Paso, William Wise, El Paso's Chairman, President and Chief Executive Officer, Rodney D. Erskine, El Paso's President, Production of El Paso, and H. Brent Austin, El Paso's Chief Financial Officer, violated the federal securities laws by issuing a series of materially false and misleading statements to the market, which had the effect of artificially inflating the market price of El Paso's securities.
Much Shelist is currently investigating these claims. If you wish to discuss your rights and interests, or if you have information relevant to the lawsuit, you may contact Carol V. Gilden or Michael E. Moskovitz at Much Shelist Freed Denenberg Ament & Rubenstein, P.C., by calling a toll-free number 1-800-470-6824, or by sending an e-mail to investorhelp@muchshelist.com. Your e-mail should refer to El Paso.
According to the allegations, during the Class Period, El Paso manipulated both energy prices and accounting regulations in order to report materially inflated revenues from its energy-trading operations and to hide billions of dollars of debt in off-balance-sheet partnerships. On May 29, 2002, El Paso announced a plan to limit its investment in and exposure to energy trading and increase its investment in core natural gas businesses. As a result of the news, El Paso shares fell 23.4% to close at $27.01. On June 7, 2002, El Paso announced that it received an informal inquiry from the Securities and Exchange Commission staff regarding the issue of "round-trip" trades.
If you purchased El Paso securities during the Class Period and if you meet certain other legal requirements, you may file a motion in the court where the lawsuit has been filed to serve as a lead plaintiff. You must file your motion no later than September 16, 2002.
A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. The requirements for serving as a lead plaintiff are set forth in the Private Securities Litigation Reform Act of 1995 (15 U.S.C. Section 78u-4).
Much Shelist's history is one of experience, leadership and results. For more than 25 years, Much Shelist has represented plaintiffs in class action litigation in federal and state courts across the United States. The firm has successfully prosecuted cases involving securities fraud, antitrust violations, consumer fraud, unlawful business practices and insurance company fraud. Under Much Shelist's leadership, class members have obtained judgments and settlements in excess of $4 billion.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.