RADNOR, Pa., Feb. 25 /PRNewswire/ -- The following statement was issued today by the law firm of Schiffrin Barroway Topaz & Kessler, LLP: Notice is hereby given that a class action lawsuit was filed in the United States District Court for the Southern District of New York on behalf of all purchasers of common stock of TeleTech Holdings, Inc. (NASDAQ:TTEC) ("TeleTech" or the "Company") between February 8, 2007 and November 8, 2007, inclusive and pursuant or traceable to the Company's March 30, 2007 Secondary Public Offering (the "SPO" or the "Offering")(the "Class Period").
If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Schiffrin Barroway Topaz & Kessler, LLP (Darren J. Check, Esq. or Richard A. Maniskas, Esq.) toll free at 1-888-299-7706 or 1-610-667-7706, or via e-mail at .
The Complaint charges TeleTech and certain of its officers and directors with violations of the Securities Act of 1933 and the Securities Exchange Act of 1934. TeleTech is a provider of business process outsourcing solutions. It supports approximately 300 business process outsourcing programs serving approximately 135 global clients in the automotive, communications, financial services, government, healthcare, retail, technology and travel and leisure industries. More specifically, the Complaint alleges that the Company failed to disclose and misrepresented the following material adverse facts which were known to defendants or recklessly disregarded by them: (1) that the Company's financial statements were overstated; (2) that specifically, the Company improperly accounted for compensation expenses and in doing so, backdated tens or hundreds of millions of dollars in options granted to executives between 1999 and 2007; (3) that the financial statements (including those presented in the Registration Statement), were overstated because the Company under- reported its employment taxes and compensation expenses, as well as its reserves, and over-reported its earnings and gross margins and failed to make the proper adjustments to operational and financial reports; (4) that the Company's financial statements were not prepared in accordance with Generally Accepted Accounting Principles; (5) that the Company lacked adequate internal and financial controls; and (6) that, as a result of the foregoing, the Company's financial statements were materially false and misleading at all relevant times.
On March 30, 2007 the Company conducted its SPO. In connection with the SPO, the Company filed a Registration Statement and Prospectus (collectively referred to as the "Registration Statement") with the SEC. As part of the SPO, Defendant Kenneth Tuchman registered as much as 5.75 million shares of his privately owned TeleTech common stock at $36.50 per share. Upon the completion of the SPO (which closed on April 4, 2007 after the underwriters exercised their Green Shoe shares), Defendant Tuchman profited handsomely to the tune of nearly $210 million. Following this, the Company continued to paint a picture of sound financial health and markets. However, on November 8, 2007, TeleTech shocked investors when it disclosed that it was reviewing its equity-based compensation practices and would likely have to restate previously issued financial statements, possibly going back to 1999. The Company concluded that financial statements for the periods 1999 through the second quarter of 2007 should not be relied upon. Upon the release of this news, shares of the Company's stock declined $2.18 per share, or 9.64 percent, to close on November 9, 2007 at $20.43 per share, on unusually heavy trading volume.
Plaintiff seeks to recover damages on behalf of class members and is represented by the law firm of Schiffrin Barroway Topaz & Kessler which prosecutes class actions in both state and federal courts throughout the country. Schiffrin Barroway Topaz & Kessler is a driving force behind corporate governance reform, and has recovered billions of dollars on behalf of institutional and individual investors from the United States and around the world.
For more information about Schiffrin Barroway Topaz & Kessler or to sign up to participate in this action online, please visit http://www.sbtklaw.com/ If you are a member of the class described above, you may, not later than March 25, 2008, move the Court to serve as lead plaintiff of the class, if you so choose. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Any member of the purported class may move the court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
CONTACT: Schiffrin Barroway Topaz & Kessler, LLP
Darren J. Check, Esq. Richard A. Maniskas, Esq. 280 King of Prussia Road
Radnor, PA 19087
1-888-299-7706 (toll free) or 1-610-667-7706
Or by e-mail at DATASOURCE: Schiffrin Barroway Topaz & Kessler, LLP CONTACT: Darren J. Check, Esq. or Richard A. Maniskas, Esq., +1-888-299-7706 (toll free) or 1-610-667-7706, both of Schiffrin Barroway Topaz & Kessler, LLP Web site: http://www.sbtklaw.com/
|