COLCHESTER, Conn., March 7, 2005 (PRIMEZONE) -- Scott + Scott, LLC, which has had an ongoing investigation into Delphi Corporation (NYSE:DPH) for months on behalf of client shareholders will file a securities class action lawsuit. Delphi's internal audit committee released preliminary findings of an ongoing investigation. The internal committee's investigation found that Delphi had been overstating pre-tax income and cash from operations from at least 2001. Financial statements from at least 2001 will have to be restated. In that year, the Company overstated pre-tax income by $61 million dollars and cash from operations by $200 million. For additional information, you can contact the firm at 800/332-2259.
The Company, based in Troy, Michigan, was quoted that there is probably more financial news to be reported. Alan Dawes resigned his post as chief financial officer, and John Sheehan will fill the job until a permanent successor for Dawes is named, the company said.
Furthermore, Delphi said its chief accountant and controller Paul Free has left the company and John Blahnik, its vice president of mergers and acquisitions, was demoted to a non-officer position.
Scott + Scott, LLC, a Connecticut-based law firm with offices in Ohio and California, is a law firm with a national practice and reputation. Scott + Scott dedicates itself to client communication and satisfaction. The firm is currently litigating major securities, antitrust and employee retirement plan cases throughout the United States and represents pension funds, charities, foundations, individuals and other entities worldwide, in both class and non-class cases. Please visit our website at http://www.scott-scott.com to learn more about the firm, its practice and other cases. If you wish to discuss this action with an attorney or have any questions concerning this notice, your rights or any matter within our expertise, please contact attorney Neil Rothstein at nrothstein@scott-scott.com or by calling 800-404-7770 (EST) or 800-332-2259 (PST). You can dial direct in California at 619-233-4565. Scott + Scott, LLC is located at 108 Norwich Avenue, Colchester, CT 06415; phone: 860/537-3818; fax: 860/537-4432. This release is issued in accordance with the applicable federal law of the United States.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.