NEW YORK, Aug. 25, 2005 (PRIMEZONE) -- The Brualdi Law Firm announces that a class action has been commenced in the United States District Court for the Western District of Pennsylvania on behalf of purchasers of the publicly traded securities of World Health Alternatives, Inc. (OTCBB:WHAIE) ("World Health Alternatives" or the "Company") between October 7, 2003 to August 18, 2005, inclusive (the "Class Period"). The complaint charges World Health Alternatives, certain of its officers and directors and its former auditor with violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder.
The complaint alleges that the Company's publicly filed financial statements during the Class Period were materially false and misleading in that, among other things, the Company underpaid more than $4 million in taxes during the Class period, and net income was consequently overstated by a comparable amount; that the Company was in breach of its lending agreements as a result of having misrepresented its financial condition to its lenders, resulting in the Company having fraudulently obtained more than $6.5 million from its lenders; and that the Company misstated the amount of debenture and warrants associated with the Company's preferred stock. In addition, the Company misstated the academic credentials of defendant McDonald in various SEC filings during the Class Period, misleading investors as to the training and integrity of the Company's senior management. As a result of these misstatements, the prices of the Company's publicly traded securities were artificially inflated during the Class Period. The disclosure of these misstatements caused the prices of the Company's securities to collapse, causing injury to members of the Class.
The complaint seeks to recover damages on behalf of all persons who purchased World Health Alternatives securities during the Class Period. The Brualdi Law Firm has extensive experience in prosecuting investor class actions involving financial fraud. The Brualdi Law Firm has prosecuted securities, antitrust and consumer class actions for more than 10 years. For more information about The Brualdi Law Firm, please visit their website at www.brualdilawfirm.com.
If you are a member of the Class described above, you may, no later than October 24, 2005, 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 case or your rights or interests, please contact Richard B. Brualdi, Esquire, The Brualdi Law Firm, 29 Broadway, Suite 2400, New York, New York 10006, rbrualdi@brualdilawfirm.com, 877-495-1187, fax number 212-952-0608.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca