BATON ROUGE, La., April 15, 2002 (PRIMEZONE) -- A shareholder has sued Eagle Building Technologies, Inc. (OTCBB:EGBT), accusing the company and its former chairman of misleading investors, LeBlanc & Waddell LLC announced today.
The class-action complaint was filed April 8, 2002 in the U.S. District Court for the Southern District of Florida, West Palm Beach Division. It seeks damages for violations of federal securities laws on behalf of all investors who bought Eagle Building common stock from April 18, 2001 through February 14, 2002 (the Class Period).
According to the complaint, Eagle Building reported fabricated revenue from the company's construction business in India and deceived the public about the nature of its Indian operations. The complaint also says that the defendants issued false statements about purportedly "revolutionary" airport security technology in a news release issued two weeks after the September 11, 2001 attacks on New York and Washington.
On February 14, 2002, the company announced that it would be forced to issue earnings restatements for fiscal years 2000 and 2001. That same day, the complaint said, the U.S. Securities and Exchange Commission began an investigation into the company's foreign operations and its post-September 11 statements about an airport security system, mail sterilization technology and money laundering detection software.
News of the alleged fraud triggered a sharp drop in Eagle Building's stock price, which had traded as high as $12.30 a share during the Class Period, the complaint said. On February 14, the company's share price fell 68% to $1.44.
If you purchased Eagle Building common stock during the period April 18, 2001 through February 14, 2002, you may wish to contact the following attorneys at LeBlanc & Waddell LLC to discuss your rights and interests.
Roger LeBlanc, Esq. Chad A. Dudley, Esq. LeBlanc & Waddell, LLC 5353 Essen Lane, Suite 420 Baton Rouge LA 70809 rogerleblanc@lw-law.net (800) 988-3514
If you wish to apply to be lead plaintiff in this action, a motion must be filed on your behalf with the court no later than May 31, 2002. You may contact the attorneys at LeBlanc & Waddell LLC to discuss your rights regarding the appointment of lead plaintiff and your interest in the class action. You may also retain counsel of your choice. To be a member of the class, however, you need not take any action at this time.
With offices in Baton Rouge, New Orleans, Shreveport, Monroe and Slidell, Louisiana, LeBlanc & Waddell, LLC represents investors in securities class action lawsuits and has experience in prosecuting class actions. The firm prides itself on its responsiveness to shareholders and their needs in each case.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca