NEW YORK, March 15, 2004 (PRIMEZONE) -- The law firm of Klayman & Toskes, P.A. ("K&T") (http://www.nasd-law.com) is continuing to pursue securities arbitration claims on behalf of Level 3 Communications, Inc. (Nasdaq:LVLT) investors with significant holdings.
K&T represents numerous technology and telecommunications investors with concentrated positions managed by full-service brokerage firms in securities arbitration lawsuits filed before the New York Stock Exchange ("NYSE") and the National Association of Securities Dealers ("NASD"). The claims seek compensatory damages directly related to the over-concentration in these technology and telecommunications stocks with specific reliance upon the brokerage firm's financial advisors and research analyst recommendations.
The above-mentioned suits allege that the brokerage firms recommended the over-concentration of invested assets in technology and telecommunications stocks. Concentration is defined as an investment of over 10% of portfolio assets in a single stock. The losses attributed to this over-concentration are the basis of the damages sought by K&T. Additionally, the claims focus on the firm's mismanagement of their clients' portfolios given the fact that there were option strategies available at the time that the stock position was concentrated that would have protected the value of the concentrated portfolio, known as a "zero cost" collar.
The sole purpose of this release is to investigate, on behalf of our clients, sales practice violations of licensed brokers at various major brokerage firms. The firm is pursuing arbitration suits before the NYSE and the NASD for securities violations including the misuse of margin in the establishment of these over-concentrations, the failure to recommend hedge strategies, the failure to supervise, misrepresentation and material omissions of fact. We would greatly appreciate any information from technology and telecommunication investors concerning the method or process used by various major brokerage firms with regard to clients' over-concentration and the handling of their accounts.
K&T has offices in California, Florida and New York and represents investors throughout the nation. If you wish to discuss this announcement, and have done business with any major brokerage firm with regard to the over-concentration in technology and telecommunications stocks or have information relevant to our lawsuits, please contact Lawrence L. Klayman, Esquire of Klayman & Toskes, P.A., 888-997-9956 or visit us on the web at http://www.nasd law.com.