NEW YORK, June 19 /PRNewswire/ -- Kaplan Fox & Kilsheimer LLP (http://www.kaplanfox.com/) reminds investors that the firm filed a class action suit in the United States District Court for the Central District of California against Occam Networks, Inc. ("Occam" or the "Company")(NASDAQ:OCNW) and certain of its officers, on behalf of all persons or entities who purchased the common stock of Occam between May 2, 2006 and April 17, 2007, inclusive (the "Class Period").
If you are a member of the proposed Class, you may move the court no later than June 25, 2007 to serve as a lead plaintiff for the Class. You need not seek to become a lead plaintiff in order to share in any possible recovery.
The Complaint alleges that during the Class Period, defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 by publicly issuing a series of false and misleading statements regarding the Company's business and financial results, thus causing Occam's common stock to trade at artificially inflated prices. In particular, the Complaint alleges that, unknown to investors, during the Class Period, defendants knew or recklessly disregarded that Occam's reported financial results were the product of improper revenue recognition, in violation of generally accepted accounting principles ("GAAP"), concerning the Company's commitments to provide customers with software, hardware and software maintenance, hardware and software upgrades, training, and other services in connection with customers' purchases of the Company's network equipment and that during the Class Period the Company's internal controls were materially defective.
The Complaint further alleges that certain of Occam's materially false and misleading financial reports were included in the Company's Registration Statement and Prospectus that were filed with the SEC in connection with the Company's November 7, 2006 public offering of 5,250,000 shares of common stock at $14.00 per share.
Finally, the Complaint alleges that on April 2, 2007, after the close of trading, Occam surprised investors by disclosing that it would not file its Annual Report on Form 10-K for the year ended December 31, 2006 on time because "its Audit Committee is reviewing the Company's commitments to provide customers with software, hardware and software maintenance, hardware and software upgrades, training, and other services in connection with customers' purchases of the Company's network equipment. The Audit Committee is also considering whether these commitments impact revenue recognition and the adequacy of the Company's internal controls relating to the documentation of customer commitments as part of the terms and conditions of sale." On April 3, 2007, the next trading day, Occam shares declined from $11.10 per share, at the close of trading on April 2, 2007, to close at $8.51 per share at the close of trading on April 3, 2007, a decline of $2.59 per share or approximately 23%, on heavier than usual volume. Then on April 17, 2007, after the close of trading, Occam disclosed that it would "not file its Annual Report on Form 10-K for the fiscal year ended December 31, 2006 by today's 15- day extended filing deadline." On April 18, 2007, Occam shares declined from $8.91 per share at the close of trading on April 17, 2007, to close at $8.54 per share, a decline $0.37 per share or approximately 4%, on heavier than usual volume.
On April 23, 2007, the Company disclosed that it received a notice from NASDAQ stating that because the Company had not filed its annual report on time, Occam was not in compliance with NASDAQ marketplace rules.
Plaintiff seeks to recover damages on behalf of the Class and is represented by Kaplan Fox & Kilsheimer LLP. Our firm, with offices in New York, San Francisco, Los Angeles, Chicago and New Jersey, has many years of experience in prosecuting investor class actions and actions involving financial fraud. For more information about Kaplan Fox & Kilsheimer LLP, or to review a copy of the complaint filed in this action, you may visit our website at http://www.kaplanfox.com/.
If you have any questions about this Notice, the action, your rights, or your interests, please e-mail us at or contact: Frederic S. Fox Laurence D. King
Joel B. Strauss KAPLAN FOX & KILSHEIMER LLP
Jeffrey P. Campisi 555 Montgomery Street, Suite 1501
KAPLAN FOX & KILSHEIMER LLP San Francisco, California 94111
805 Third Avenue, 22nd Floor (415) 772-4700
New York, New York 10022 Fax: (415) 772-4707
(800) 290-1952 E-mail address:
(212) 687-1980
Fax: (212) 687-7714
E-mail address: DATASOURCE: Kaplan Fox & Kilsheimer LLP CONTACT: New York, Frederic S. Fox, Joel B. Strauss, Jeffrey P. Campisi, +1-800-290-1952, +1-212-687-1980 or fax, +1-212-687-7714, , San Francisco, Laurence D. King, +1-415-772-4700 or fax, +1-415-772-4707, , all of KAPLAN FOX & KILSHEIMER LLP Web site: http://www.kaplanfox.com/
|