NEW YORK, April 20, 2007 (PRIME NEWSWIRE) -- The Rosen Law Firm today announced that it has commenced an investigation into allegations that Medis Technologies, Ltd. ("Medis" or the "Company") (Nasdaq:MDTL) may have violated federal securities laws by issuing materially false and misleading statements concerning certain "Commercial Sales" it made to Microsoft.
On April 13, 2007 the Company issued a press release announcing that it has begun commercial sales of its 24/7 fuel cell Power Packs to Microsoft and that the first shipment of Microsoft branded Power Packs were made that day. This announcement caused the Company's stock to dramatically rise on April 13, 2007. Company CEO and Chairman Robert K. Lifton stated the moment was "historic."
Later that day, the Company issued additional information about the Microsoft deal through its business development manager Andrew Udis, as reported by the publication Inside Greentech. Mr. Udis indicated that the products were "branded" by Microsoft, that the products would be sold around the world by Microsoft, and that the ultimate unit commitment was expected to be in the "millions."
On April 17, 2007, after market close, it was reported by certain media outlets that according to a Microsoft spokesperson, Microsoft only purchased a small amount of Medis' products, the products were not Microsoft branded, that Microsoft had no intention to sell them to consumers but rather distribute them free at an upcoming event, nor did Microsoft have any plans for development of the product.
These adverse announcements and the Company's continued silence caused the Company's stock to fall.
The Rosen Law Firm is investigating whether the Company issued materially false and misleading statements to the investing public concerning its deal with Microsoft. As a result of these allegations, the Rosen Law Firm is preparing a class action lawsuit on behalf of investors who purchased Medis common stock, purchased call options or sold put options during the period from April 13, 2007 through and including April 17, 2007.
You may access the website at http://www.rosenlegal.com to participate in the proposed class action.
If you purchased Medis securities and would like further information concerning your legal rights, please contact Laurence Rosen, Esq. or Phillip Kim, Esq. toll-free at 866-767-3653 or email lrosen@rosenlegal.com or pkim@rosenlegal.com or visit the website at www.rosenlegal.com
The Rosen Law Firm has expertise in prosecuting investor securities litigation and extensive experience in actions involving financial fraud. The Rosen Law Firm represents investors throughout the nation, concentrating its practice in securities class actions.