ATLANTA, Feb. 14, 2003 (PRIMEZONE) -- Chitwood & Harley LLP announces that a class action lawsuit is pending in the United States District Court for the Southern District of Ohio, Western Division against MCSI, Inc., Michael Peppel and Ira Stanley. The suit was filed on behalf of purchasers of the common stock of MCSi, Inc. (Nasdaq:MCSI), between July 24, 2001 and February 26, 2002, inclusive ("Class Period").
Chitwood & Harley LLP is currently investigating these claims. If you wish to discuss this action or have any questions concerning this notice or your rights with respect to this matter, you may contact Jennifer Morris at 1-888-873-3999 (toll-free) or by e-mail at jlm@classlaw.com. You may also contact us through our website, www.classlaw.com by clicking on MCSI. If you wish to serve as lead plaintiff in this action, you must file a motion to do so no later than March 28, 2003. Any member of the purported class may move the Court to serve as lead plaintiff through counsel of his or her choice, or may choose to do nothing and remain an absent class member.
The complaint charges defendants with violations of federal securities laws by, among other things, issuing a series of materially false and misleading press releases concerning MCSi's financial results and business prospects. Specifically, the complaint alleges that MCSi touted the success of its businesses -- particularly the high-margin systems integration business. These statements were false and misleading as they failed to disclose that MCSi's business was actually corroding and that its integration business was not operating on as a successful level as represented. As a result, the price of the Company's securities were artificially inflated throughout the Class Period, allowing insiders to sell massive amounts of stock following two follow-on public offerings.
On February 26, 2002, however, the Company shocked the market by reporting a 29% decline in shares for the fourth quarter of 2001. In reaction to this announcement, shares of MCSi common stock plunged by 40%, falling from $17.35 per share close on February 25, 2002 to a close of $10.40 per share on February 26, 2002.
In order to serve as lead plaintiff, you must meet certain legal requirements which Chitwood & Harley would be happy to discuss with you. Chitwood & Harley is a class action law firm that represents victims of securities fraud and corporate mismanagement. Chitwood & Harley has been appointed lead counsel in major actions throughout the United States and has been instrumental in obtaining significant recoveries on behalf of its clients. Clients and courts alike have praised the results achieved by Chitwood & Harley.
Recently, the federal judge in In re BankAmerica Securities Litigation, which resulted in last year's highest settlement in a securities class action, commented favorably on counsel's performance stating: "Class members were well served by experienced attorneys who, through considerable time and effort, obtained a significant recovery for their clients," and, "(a)s the Court has remarked throughout this litigation, class counsel ... have performed at exceptionally high levels, and all parties have been exceedingly well represented."
For more information about Chitwood & Harley LLP, please visit our website at www.classlaw.com or contact Jennifer Morris at 1-888-873-3999 (toll-free), by e-mail at jlm@classlaw.com or at 1230 Peachtree Street, Suite 2300, Atlanta, Georgia 30309.