NEW YORK, Aug. 31, 2011 (GLOBE NEWSWIRE) -- Pomerantz Haudek Grossman & Gross LLP is investigating claims on behalf of investors of News Corporation ("News Corp." or the "Company") who purchased News Corp. shares from March 3, 2011 through and including July 11, 2011 (the "Class Period"). Such investors are advised to contact Rachelle R. Boyle at rrboyle@pomlaw.com or 888-476-6529, ext. 350.
The investigation concerns whether the Company violated the Securities Exchange Act of 1934 by issuing materially false and misleading statements and omissions. Specifically, the investigation concerns the Company's failure to disclose that News of the World employees allegedly had been hacking into the cell phone messages of more than 4,000 people with the knowledge and consent of News of the World editors. News of the World is a United Kingdom newspaper run by News International, the wholly-owned British newspaper division of News Corp. Revelation of this illegal activity prompted News Corp. to announce that it was closing the newspaper. Upon this news, News Corp. shares fell from over $18 per share in early July to below $14 per share in August 2011. Additionally, News Corp.'s proposal to purchase British Sky Broadcasting Group plc was withdrawn following the allegations.
The Pomerantz Firm, with offices in New York, Chicago, and Washington, D.C., is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 70 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.