COLCHESTER, Conn., Dec. 18, 2006 (PRIME NEWSWIRE) -- On December 18, 2006, Scott+Scott, LLP, filed a class action against Hansen Natural Corp. ("Hansen" or the "Company") (Nasdaq:HANS) and certain officers and directors in the U.S. District Court for the Central District of California. The action is on behalf of Hansen securities purchasers during the period November 12, 2001 through November 9, 2006, inclusive (the "Class Period"), for violations of the Securities Exchange Act of 1934. The complaint alleges that defendants made false and misleading statements and material omissions regarding the Company's financial statements. As a result, the price of the Company's securities was inflated during the Class Period, thereby harming investors.
If you purchased Hansen securities during the Class Period and wish to serve as a lead plaintiff in the action, you must move the Court no later than January 9, 2007. Any purported class member may move the Court to serve as lead plaintiff through counsel of its choice, or may choose to do nothing and remain an absent class member. If you wish to discuss this action or have questions concerning this notice or your rights, please contact Scott+Scott (scottlaw@scott-scott.com, 800/404-7770, 860/537-5537) or visit the Scott+Scott website, www.scott-scott.com, for more information. There is no cost or fee to you.
According to the complaint, during the Class Period, the price of Hansen stock was artificially inflated as a result of Defendants' dissemination of false and misleading statements concerning the Company's financial statements, which failed to disclose that stock options granted to defendants were fraudulently backdated, resulting in the improper recording of executive compensation and expenses. As revealed on October 31, 2006, Hansen shocked the market when it disclosed that the Company had received a letter from the Securities and Exchange Commission requesting that the Company voluntarily produce certain documents and information relating to the Company's stock option grant practices from January 1, 1996 to the present. Then on November 6, 2006, in response to the SEC's investigation of the Company's wayward option grant award practices, the Company announced that outside counsel and a special committee of Hansen's Board of Directors would commence an investigation. Following this, on November 9, 2006, Hansen finally announced that it would fail to timely file SEC Form 10-Q for the quarter ended September 30, 2006. As of result of this announcement, the price of Hansen stock tumbled 14.2%, losing $4.14 per share, to close at $24.88, on heavy trading volume of over 19.3 million shares.
The plaintiff is represented by Scott+Scott, a firm with significant experience in prosecuting investor class actions. The firm dedicates itself to client communication and satisfaction and currently is litigating major securities, antitrust and employee retirement plan actions throughout the United States. The firm represents pension funds, charities, foundations, individuals and other entities worldwide.
More information on this and other class actions can be found on the Class Action Newsline at www.primenewswire.com/ca