Investor Sues Asconi Corp. For Stock Fraud, Berman DeValerio Pease Tabacco Burt & Pucillo Announces -- ACD

Boston, Massachusetts, UNITED STATES


WEST PALM BEACH, Fla., May 14, 2004 (PRIMEZONE) -- An investor sued Asconi Corp. ("Asconi" or the "Company") (AMEX:ACD) today, claiming the wine maker and two of its top officers issued misleading financial statements to the investing public.

Berman DeValerio Pease Tabacco Burt & Pucillo (www.bermanesq.com) filed the class action in the U.S. District Court for the Middle District of Florida. The lawsuit seeks damages for violations of federal securities laws on behalf of all investors who bought Asconi common stock from June 11, 2001, through and including March 23, 2004 (the "Class Period").

To receive a copy of the complaint, you may contact the court, call the firm at (800) 349-4612 or go to http://www.bermanesq.com/pdf/Asconicplt.pdf. The complaint, Nacuta v. Asconi Corp., et. al., is filed as Civil Action No. 6:04-CV-721-ORL-28JGG.

The lawsuit claims that the defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and the rules and regulations promulgated thereunder, including U.S. Securities and Exchange Commission ("SEC") Rule 10b-5.

The complaint names as defendants: Asconi Corp.; Constantin Jitaru, who was at all relevant times Asconi's president, chairman and chief executive officer; and Anatolie Sirbu, who was at all relevant times Asconi's chief financial officer, treasurer and secretary.

The complaint alleges that Asconi issued materially false and misleading information to the investing public during the Class Period that artificially inflated the Company's stock price by overstating earnings and failing to disclose related party transactions.

On March 23, 2004, Asconi announced that it was the subject of an SEC investigation and that the Company would be restating its previously reported financial results, the complaint says. Specifically, Asconi revealed that it would be required to take a charge against earnings for the 2003 issuance of common stock to Mr. Jitaru and Mr. Sirbu which was not disclosed until December 2003, at the earliest. Asconi further disclosed that certain of its other related party transactions were also subject to regulatory scrutiny and may require additional restatements, possibly involving financials for the previous three years.

On this news, Asconi stock fell sharply, dropping from a closing price of $6.64 per share on March 22, 2004 to $4.93 before trading of the Company's common stock was halted on March 23, 2004.

On May 3, 2004, Asconi announced that its review and restatement efforts would be extended to include the Company's financial statements for all of fiscal years 2001, 2002 and 2003.

If you purchased Asconi common stock from June 11, 2001, through and including March 23, 2004, you may wish to contact the following attorneys at Berman DeValerio Pease Tabacco Burt & Pucillo to discuss your rights and interests.


 Michael J. Pucillo, Esq.
 Jay W. Eng, Esq.
 Northbridge Centre, Suite 1701
 515 North Flagler Drive
 West Palm Beach, FL 33401
 (800) 349-4612
 lawfla@bermanesq.com

If you wish to apply to be lead plaintiff in this action, a motion on your behalf must be filed with the court no later than June 15, 2004. You may contact the attorneys at Berman DeValerio to discuss your rights regarding the appointment of lead plaintiff and your interest in the class action, or you may submit information online at http://www.bermanesq.com/Securities/Signup1.asp?caseid=510. Please note, you may also retain counsel of your choice and need not take any action at this time to be a class member.

Berman DeValerio Pease Tabacco Burt & Pucillo prosecutes class actions nationwide on behalf of institutions and individuals, chiefly victims of securities fraud, antitrust law violations, and consumer fraud. The firm consists of 33 attorneys in Boston, San Francisco and West Palm Beach, Florida.

More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca



        

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