HARTFORD, Conn., May 5 /PRNewswire/ -- The law firm of Schatz & Nobel, P.C., which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the District of Maryland on behalf of all persons who purchased the publicly traded securities of Martek Biosciences Corporation ("Martek") between December 9, 2004 and April 27, 2005 (the "Class Period").
The Complaint alleges that Martek violated federal securities laws by making materially false or misleading public statements. Specifically, the Complaint alleges that Martek flooded its major customers with inventory in excess of their allotted levels, so that Martek could meet its financial numbers and complete an $81.4 million stock offering. As a result of this channel manipulation, Martek's financial results were materially inflated and its statements about fiscal year 2005 financial performance were lacking in any reasonable basis when made. On April 27, 2005, Martek updated its earnings estimates and production plan for fiscal year 2005, revealing an anticipated decrease in third quarter sales. On this news, Martek shares fell from a close of $60.08 on April 27, 2005, to close at $32.49 on April 28, 2005.
If you are a member of the class, you may, no later than July 5, 2005, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a class member that acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members, including decisions concerning settlement. The securities laws require the Court to consider the class member(s) with the largest financial interest as presumptively the most adequate lead plaintiff(s).
For more information about the case, its claims, and your rights, please contact Schatz & Nobel toll-free at (800) 797-5499, or by e-mail at firstname.lastname@example.org. To view a copy of the Complaint initiating the class action, which was not filed by Schatz & Nobel, or for more information about this case, class action cases in general, or Schatz & Nobel, please visit our website: http://www.snlaw.net/.
Wayne T. Boulton or Nancy Kulesa
Tel.: (800) 797-5499
Schatz & Nobel, P.C.