NEW YORK, April 10, 2003 (PRIMEZONE) -- Notice is hereby given that a class action lawsuit was commenced in the United States District Court for the Western District of Tennessee on behalf of all purchasers of Accredo Health, Inc. ("Accredo" or the "Company") (Nasdaq:ACDO) securities between June 16, 2002 and April 7, 2003, inclusive (the "Class Period"). A copy of the complaint filed in this action can be viewed on the firm's website at www.faruqilaw.com
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 Accredo's financial results and business prospects. Specifically, the complaint alleges that Accredo failed to disclose the following adverse facts, among others: (a) that the Company artificially inflated its operating results by failing to timely record an impairment value of certain receivables that it had acquired in a recent acquisition; (b) as a result of the foregoing, the Company's financial statements published during the Class Period were not prepared in accordance with Generally Accepted Accounting Principles; and (c) that the Company would not have been able to meet its stated earnings guidance had it properly reserved for its accounts receivable. As a result, the price of the Company's securities were artificially inflated during the Class Period, allowing certain Accredo insiders to sell over $12 million worth of personally held Accredo stock. On March 24, 2003, however, the Company shocked the market when it announced it was reducing previously issued earnings guidance and that it was examining the adequacy of reserves for accounts receivable it acquired in a recent acquisition. Upon this revelation, Accredo's common stock fell in excess of 40% on extremely heavy trading volume.
Plaintiff seeks to recover damages on behalf of himself and all other individual and institutional investors who purchased or otherwise acquired Accredo securities between June 16, 2002 and April 7, 2003, excluding defendants and their affiliates. Plaintiff is represented by Faruqi & Faruqi, LLP, a law firm with extensive experience in prosecuting class actions, and significant expertise in actions involving corporate fraud.
If you wish to obtain information concerning joining this action you can do so under the "Join Lawsuit" section of our website at www.faruqilaw.com
If you purchased Accredo securities during the Class Period, you may, not later than June 9, 2003, move the court to serve as lead plaintiff of the class, if you so choose. In order to serve as lead plaintiff, however, you must meet certain legal requirements. If you wish to discuss this action, or have any questions concerning this notice or your rights or interests, please contact:
David H. Leventhal, Esq. Faruqi & Faruqi, LLP 320 East 39th Street New York, NY 10016 Telephone: (877) 247-4292 or (212) 983-9330 e-mail: dleventhal@faruqilaw.com
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca