NEW YORK, Nov. 7, 2003 (PRIMEZONE) -- A class action complaint has been filed in the United States District Court for the Southern District of New York, case number 03 Civ. 8783, on behalf of all persons or entities who purchased or otherwise acquired LaBranche & Co., Inc. ("LaBranche" or the "Company") securities (Nasdaq: LAB) during the period between January 25, 2000 and October 15, 2003, both dates inclusive (the "Class Period"). The Complaint names LaBranche & Co., Inc., G. Michael LaBranche, Robert Murphy, Alfred O. Haywood, Jr., William J. Burke, III, and Harvey S. Traison as defendants.
To discuss this action, this announcement, or your rights or interests, please contact plaintiff's counsel, Eric J. Belfi or Gregory Linkh at Rabin, Murray & Frank 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 info@rabinlaw.com.
The Complaint alleges that defendants violated section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the Securities and Exchange Commission ("SEC"). In particular, the Complaint alleges that during the Class Period, Defendants repeatedly violated applicable law and regulations by engaging in an illegal scheme to inflate the Company's financial results by illegally "interpositioning" itself between customers, or "trading ahead" of customer orders. Thus, throughout the Class Period, LaBranche improperly recognized revenue from its illegal scheme while materially overstating and artificially inflating its financial results.
As a result of defendants' fraud, during the Class Period, LaBranche stock traded as high as $51.45 per share on February 16, 2001. Beginning in April 2003 investigations by the New York Stock Exchange and SEC were revealed, and in response LaBranche curtailed its improper trading (which had inflated its Class Period financial results), resulting in declining revenue and income.
Plaintiff is represented by the law firm of Rabin, Murray & Frank LLP. Rabin, Murray & Frank 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.
If you purchased or otherwise acquired LaBranche common stock during the Class Period described above, you may, no later than December 15, 2003, 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 plaintiff's counsel Eric J. Belfi or Gregory Linkh of Rabin, Murray & Frank 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.