NEW YORK, Oct. 7, 2005 (PRIMEZONE) -- Pomerantz Haudek Block Grossman & Gross LLP (www.pomerantzlaw.com) has filed a class action lawsuit in the United States District Court, Northern District of Georgia, Atlanta Division, against Immucor, Inc. ("Immucor") or the "Company") (Nasdaq:BLUD)(Nasdaq:BLUDE) and certain of its officers and directors, on behalf of purchasers of the common stock of Immucor during the period from January 7, 2005 to August 29, 2005, inclusive (the "Class Period").
The Complaint alleges that throughout the Class Period, defendants knowingly or recklessly misrepresented the Company's prospects, financial results and operations. The Company also concealed certain internal control problems, all of which caused the Company's stock price to trade at artificially inflated prices in violation of Section 10(b) and 20(a) the Securities Exchange Act of 1934 (the Exchange Act).
The true facts, which were known by the defendants during the Class Period but concealed from the investing public, were: (1) the Company lacked requisite internal controls to issue accurate financial results and projections and to prevent insider trading violations by its officers and directors; (2) the Company lacked the necessary personnel to issue accurate financial reports and projections; and (3) the Company's financial statements were presented in violation of Generally Accepted Accounting Principles (GAAP").
These false statements caused Immucor stock to trade at artificially inflated levels during the Class Period, trading as high as $ 34.98, which allowed top officers to reap millions of dollars in insider trading proceeds. As the market learned the true information about Immucor, the inflation caused by defendants' misrepresentations was removed and the price of Immucor common stock fell by nearly 13% from its Class Period high.
On Friday, August 26, 2005, Immucor announced that the SEC had formalized its probe into payments made by its Italian subsidiary to people associated with government medical facilities. The fact that the SEC upgraded its investigation from an informal inquiry into a formal investigation indicates the severity of Immucor's actions.
On August 29, 2005, after the market closed, Immucor announced that it had revised its net income for fiscal 2005 to account for a previously unrecorded accrual for employee bonuses and furthermore made an announcement that it had accepted the resignation of defendant Steven Ramsey from the post of Chief Financial Officer.
On this news, Immucor's stock collapsed to as low as $22.67 per share before closing at $24 per share on a staggering volume of 6.2 million shares. This volume is nearly ten times the average daily volume, wherein the average trading volume in Immucor common stock over the previous three months was 791,802 shares.
If you purchased the securities of Immucor during the Class Period, you have until October 31, 2005 - 60 days after the first notice on August 31, 2005 - to ask the Court to appoint you as lead plaintiff for the Class. Lead plaintiffs must meet certain legal requirements. Shareholders outside the United States may also join the action, regardless of where they live or which exchange was used to purchase the securities. If you wish to review a copy of the Complaint, to discuss this action, or have any questions, please contact Teresa L. Webb (tlwebb@pomlaw.com) or Carolyn S. Moskowitz (csmoskowitz@pomlaw.com) of the Pomerantz Firm at 888.476.6529 (or 888.4-POMLAW), toll free. Those who inquire by e-mail are encouraged to include their mailing address and telephone number.