LOS ANGELES, March 16, 2007 (PRIME NEWSWIRE) -- Notice is hereby given that Glancy Binkow & Goldberg LLP has filed a Class Action lawsuit in the United States District Court for the Southern District of New York on behalf of a class (the "Class") consisting of all purchasers of the common stock of Worldspace, Inc. ("Worldspace" or the "Company") (Nasdaq:WRSP) pursuant or traceable to the Company's initial public offering commencing August 4, 2005.
A copy of the Complaint is available from the court or from Glancy Binkow & Goldberg LLP. Please contact us by phone to discuss this action or to obtain a copy of the Complaint at (310) 201-9150 or Toll Free at (888) 773-9224, by email at info@glancylaw.com, or visit our website at www.glancylaw.com.
The Complaint charges Worldspace and certain of the Company's executive officers, among others, with violations of federal securities laws. Among other things, plaintiff claims that defendants' material omissions and dissemination of materially false and misleading statements concerning Worldspace's operations and financial performance caused the Company's stock price to become artificially inflated. Worldspace designs, develops, constructs and deploys a satellite-based radio and data broadcasting service providing various international, national and regional radio programming services including music, news and entertainment channels, primarily to subscribers in India and China. The Complaint alleges that defendants made materially false and misleading statements to the investing public and misrepresented or failed to disclose that expired subscriptions were included in the Company's subscriber count for as many as 90 days following expiration of an initial three-month promotional period, causing the Company's stock price to become artificially inflated, inflicting damages on investors. Plaintiff alleges that subscribers who declined to continue or to pay for a subscription were not timely removed from the Company's subscriber count; rather than report these subscriptions as expired, or "churned," defendants continued to include these subscriptions in the Company's subscriber count for an additional 90 days.
At the time these facts and their effects on the Company's operating results and future business prospects were fully disclosed, the price of the Company's common stock declined, inflicting damages on investors. Plaintiff seeks to recover damages on behalf of Class members and is represented by Glancy Binkow & Goldberg LLP, a law firm with significant experience in prosecuting class actions, and substantial expertise in actions involving corporate fraud.
If you are a member of the Class described above, you may move the Court, not later than May 15, 2007, 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 Notice or your rights or interests with respect to these matters, please contact Michael Goldberg, Esquire, of Glancy Binkow & Goldberg LLP, 1801 Avenue of the Stars, Suite 311, Los Angeles, California 90067, by telephone at (310) 201-9150 or Toll Free at (888) 773-9224 or by e-mail to info@glancylaw.com.
More information on this and other class actions can be found on the Class Action Newsline at www.primenewswire.com/ca