NEW YORK, May 8, 2001 (PRIMEZONE) -- The law firm of Shalov Stone & Bonner hereby gives the following advisory concerning the previously announced class action on behalf of Winstar Communications Inc. (Nasdaq:WCIEQ) and (Nasdaq:WCII) investors who purchased Winstar securities in the period from June 2000 to April 2, 2001. The complaint names Winstar, William Rouhana, Richard Uhl and Nathan Kantor as defendants. The lawsuit was filed by the law firm of Shalov Stone & Bonner in New York City (www.lawssb.com). Shalov Stone & Bonner conducted the investigation leading to the filing of the Winstar action and it was the first law firm to take action in these cases.
If you would like to participate in this action or would like additional information about the lawsuit, please visit the firm's Website at www.lawssb.com
Shalov Stone & Bonner has taken a leading role in many important actions on behalf of defrauded investors and consumers. The firm is frequently retained by investors to conduct investigations and initiate actions involving allegations of corporate fraud. The members of the firm possess significant experience and expertise conducting investigations and legal actions of this nature. The firm's experience and accomplishments are discussed on its Website -- www.lawssb.com
The complaint alleges that the defendants made material misrepresentations and omissions of material facts concerning the company's business performance during the relevant time. According to the complaint, throughout the relevant time period, defendants repeatedly assured investors that the company was performing well, that the company was enjoying strong growth and that it was well-funded to follow its growth-oriented business plan through the first quarter of 2002. At the same time, however, the complaint alleges that the defendants knew or recklessly disregarded that Winstar was overstating revenues and assets. In April 2001, contrary to prior representations, Winstar announced that it was halting its expansion and laying off thousands of employees. The company's stock price collapsed, and the company filed for bankruptcy protection. The lawsuit was filed in the United States District Court for the Southern District of New York.
You may contact the firm by mail or email. Shalov Stone & Bonner (Ralph M. Stone), 276 Fifth Avenue, Suite 704, New York, New York 10001, email: ralph@lawssb.com
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.