BALTIMORE, June 7, 2004 (PRIMEZONE) -- Law Offices Of Charles J. Piven, P.A. today announced that a class action and derivative lawsuit was commenced on behalf of purchasers and holders of the securities of the Smith Barney and Salomon Brothers families of funds (the "Funds") owned and operated by Citigroup, Inc., and certain of its subsidiaries and affiliates, between March 22, 1999 and March 22, 2004, inclusive (the "Class Period") and on behalf of the Funds, seeking to pursue remedies under the Securities Act of 1934, the Investment Advisers Act of 1940, the Investment Company Act of 1940 and the common law.
The Funds, and the symbols for the respective Funds, that may be the subject of the claims asserted in the Complaint are as follows:
Salomon Brothers All Cap Value Fund (Sym: SUBAX, SUBBX, SUBZX) Salomon Brothers Balanced Fund (Sym: STRAX, STRBX, STRCX) Salomon Brothers California Tax Free Bond Fund (Sym: CCAIX, SCUBX, SCULX) Salomon Brothers Capital Fund (Sym: SCCAX, SPABX, SACPX, SCCCX) Salomon Brothers High Yield Bond (Sym: SAHYX, SBHYX, SHYOX, SHYCX) Salomon Brothers International Equity Fund (Sym: SAIEX, SAIBX, SAICX) Salomon Brothers Investors Value Fund (Sym: SINAX, SBINX, SAIFX, SINOX) Salomon Brothers Large Cap Growth Fund (Sym: SLCAX, SALBX, SALCX) Salomon Brothers Mid Cap Fund (Sym: SMDAX, SMDBX, SMDZX) Salomon Brothers National Tax Free Bond Fund (Sym: CFNIX, SNABX, SNALX) Salomon Brothers New York Tax Free Bond Fund (Sym: CFTNX, SNFBX, SNFLX) Salomon Brothers SB Adjustable Rate Income Fund (Sym: SJRAX, SJRBX, SJRZX) Salomon Brothers SB Capital and Income Fund (Sym: SOLAX, SOLBX, SOLZX) Salomon Brothers SB Convertible Fund (Sym: SVEAX, SVEBX, SCEZX) Salomon Brothers SB Growth & Income Fund (Sym: SSWAX, SSWBX, SSWZX) Salomon Brothers Short/Intermediate U.S. Government Fund (Sym: SUSAX, SUSBX, SUSCX) Salomon Brothers Small Cap Growth (Sym: SASMX, SBSMX, SCSMX) Salomon Brothers Strategic Bond Fund (Sym: SSTAX, SBSBX, SSTCX) Smith Barney Aggressive Growth Fund (Sym: SHRAX, SAGBX, SAGCX) Smith Barney All Cap Growth and Value Fund (Sym: SPAAX, SPBBX, SPBLX) Smith Barney Appreciation Fund (Sym: SHAPX, SAPBX, SAPCX, SAPYX) Smith Barney Arizona Municipals Fund (Sym: SLAZX, SAZBX, SAZLX) Smith Barney Balanced Portfolio (Sym: SBBAX, SCBBX, SCBCX) Smith Barney California Municipals Fund (Sym: SHRCX, SCABX, SCACX) Smith Barney Classic Values Fund (Sym: SCLAX, SCLBX, SCLLX) Smith Barney Conservative Portfolio (Sym: SBCPX, SBCBX, SBCLX) Smith Barney Diversified Large Cap Growth Fund (Sym: CFLGX, CLCBX, SMDLX) Smith Barney Diversified Strategic Income Fund (Sym: SDSAX, SLDSX, SDSIX) Smith Barney Dividend and Income Fund (Sym: SUTAX, SLSUX, SBBLX) Smith Barney Financial Services Fund (Sym: SBFAX, SBFBX, SFSLX) Smith Barney Florida Portfolio (Sym: SBFLX, FLABX, SFLLX) Smith Barney Fundamental Value Fund (Sym: SHFVX, SFVBX, SFVCX) Smith Barney Georgia Portfolio (Sym: SBGAX, SBRBX, SGALX) Smith Barney Global All Cap Growth and Value Fund (Sym: SPGAX, SPGGX, SPGLX) Smith Barney Global Government Bond Portfolio (Sym: SBGLX, SBGBX, SGGLX) Smith Barney Global Portfolio (Sym: CAGAX, CAGBX, SGPLX) Smith Barney Government Securities Fund (Sym: SGVAX, HGVSX, SGSLX) Smith Barney Group Spectrum Fund (Sym: SGSAX, SGSBX, SFTLX) Smith Barney Growth Portfolio (Sym: SCGRX, SGRBX, SCGCX) Smith Barney Hansberger Global Value Fund (Sym: SGLAX, SGLBX, SGLCX) Smith Barney Health Sciences Fund (Sym: SBIAX, SBHBX, SBHLX) Smith Barney High Growth Portfolio (Sym: SCHAX, SCHBX, SCHCX) Smith Barney High Income Fund (Sym: SHIAX, SHIBX, SHICX) Smith Barney Income Portfolio (Sym: SCAAX, SCIAX, SCILX) Smith Barney Intermediate Maturity CA Municipals Fund (Sym: ITCAX, STDBX, SIMLX) Smith Barney Intermediate Maturity NY Municipals Fund (Sym: IMNYX, SNMBX, SINLX) Smith Barney International All Cap Growth Portfolio (Sym: SBIEX, SBIBX, SBICX) Smith Barney International Large Cap Fund (Sym: CFIPX, SILCX, SILLX) Smith Barney Investment Grade Bond Fund (Sym: SIGAX, HBDIX, SBILX) Smith Barney Large Cap Core Fund (Sym: GROAX, GROBX, SCPLX) Smith Barney Large Cap Growth and Value Fund (Sym: SPSAX, SPSBX, SPSLX) Smith Barney Large Cap Value Fund (Sym: SBCIX, SBCCX, SBGCX) Smith Barney Large Capitalization Growth Fund (Sym: SBLGX, SBLBX, SLCCX, SBLYX) Smith Barney Limited Term Portfolio (Sym: SBLTX, STMBX, SMLLX) Smith Barney Managed Governments Fund (Sym: SHMGX, MGVBX, SMGLX) Smith Barney Managed Municipals Fund (Sym: SHMMX, SMMBX, SMMCX) Smith Barney Massachusetts Municipals Fund (Sym: SLMMX, SMABX, SMALX) Smith Barney Mid Cap Core Fund (Sym: SBMAX, SBMDX, SBMLX, SMBYX) Smith Barney Municipal High Income Fund (Sym: STXAX, SXMT, SMHLX) Smith Barney National Portfolio (Sym: SBBNX, SBNBX, SBNLX) Smith Barney New Jersey Municipals Fund (Sym: SHNJX, SNJBX, SNJLX) Smith Barney New York Portfolio (Sym: SBNYX, SMNBX, SBYLX) Smith Barney Oregon Municipals Fund (Sym: SHORX, SORBX, SORLX) Smith Barney Pennsylvania Portfolio (Sym: SBPAX, SBPBX, SPALX) Smith Barney S & P 500 Index Fund (Sym: SBSPX) Smith Barney SB Adjustable Rate Income Fund (Sym: ARMZX, ARMBX, ARMGX) Smith Barney SB Capital and Income Fund (Sym: SOPAX, SOPTX, SBPLX) Smith Barney SB Convertible Fund (Sym: SCRAX, SCVSX, SMCLX, SCVYX) Smith Barney SB Growth & Income Fund (Sym: GRIAX, GRIBX, SGAIX) Smith Barney Short Duration Municipal Income Fund (Sym: SHDAX, SHDBX, SHDLX) Smith Barney Short-Term Investment Grade Bond Fund (Sym: SBSTX, SHBBX, SSTLX) Smith Barney Small Cap Core Fund (Sym: SBDSX, SBDBX, SBDLX) Smith Barney Small Cap Growth Fund (Sym: SBSGX, SBYBX, SBSLX) Smith Barney Small Cap Growth Opportunities Fund (Sym: CFSGX, SMOBX, SGOLX) Smith Barney Small Cap Value Fund (Sym: SBVAX, SBVBX, SBVLX) Smith Barney Social Awareness Fund (Sym: SSIAX, SESIX, SESLX) Smith Barney Technology Fund (Sym: SBTAX, SBTBX, SBQLX) Smith Barney Total Return Bond Fund (Sym: TRBAX, TRBBX, SBTLX) Smith Barney U.S. Government Securities Fund (Sym: SBCGX, SBUBX, SBULX)
The case, numbered 04-cv-4055, is pending before the Honorable Naomi Reice Buchwald in the United States District Court for the Southern District of New York against defendants Salomon Brothers Asset Management, Inc., Smith Barney Fund Management LLC, Citigroup Asset Management, Citigroup Global Markets, Inc. (f/k/a Salomon Smith Barney, Inc.) ("SSB"), Citigroup Global Markets Holdings, Inc., Citigroup, Inc., R. Jay Gerken, Dwight B. Crane, Joseph J. McCann, Burt N. Dorsett, Cornelius C. Rose, Jr. Elliot S. Jaffee, each of the Funds and the registrants of the Funds.
The Complaint alleges that defendants violated Sections 11, 12(a)(2) and 15 of the Securities Act of 1933; Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder; Sections 34(b), 36(b) and 48(a) of the Investment Company Act of 1940; Section 206 of the Investment Advisers Act of 1940; and the common law. The Complaint charges that defendants engaged in an unlawful and deceitful course of conduct designed to improperly financially advantage defendants to the detriment of plaintiff and the other members of the Class. The complaint alleges that defendants, in clear contravention of their disclosure obligations and fiduciary responsibilities, failed to properly disclose that SSB had been aggressively pushing its sales personnel to sell Smith Barney and Salomon Brothers funds by creating various undisclosed incentives for brokers to sell the proprietary funds. In addition, according to the complaint, unbeknownst to investors, the investment advisers to the Funds (Citigroup Asset Management, SSB, Salomon Brothers Asset Management, Inc. and Smith Barney Fund Management LLC) paid excessive commissions, directly or indirectly, to SSB, the broker dealer, which came directly out of the Funds' assets, as payments to SSB for its steering clients towards the proprietary funds. The Complaint further alleges that the investment advisers profited from this scheme by earning increased management fees, while Citigroup Global Markets benefited from increased commissions and Citigroup profited as the ultimate parent of Citigroup Global Markets and the investment advisers. The Complaint also alleges that the clear losers were plaintiff and the other members of the Class, whose assets were diverted to line defendants' pockets without any benefit to them whatsoever.
No class has yet been certified in the above action. Until a class is certified, you are not represented by counsel unless you retain one. If you are a member of the proposed Class, you may, no later than July 27, 2004, request that the Court appoint you to serve as a lead plaintiff for the Class. 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. You may retain Law Offices Of Charles J. Piven, P.A. or other counsel of your choice to serve as your counsel in this action.
If you are a purchaser and/or holder of the securities of the Smith Barney and Salomon Brothers families of funds owned and operated by Citigroup, Inc. and certain of its subsidiaries and/or affiliates during the Class Period and want to discuss your legal rights, you may e-mail or call Law Offices Of Charles J. Piven, P.A. who will, without obligation or cost to you, attempt to answer your questions. Law Offices Of Charles J. Piven has been involved in class action and derivative securities litigation for over ten years. You may contact Law Offices Of Charles J. Piven, P.A. at The World Trade Center-Baltimore, 401 East Pratt Street, Suite 2525, Baltimore, Maryland 21202, by email at hoffman@pivenlaw.com or by calling 410/986-0036.