|Class Period:||Mar-19-03 to Feb-13-08|
|Lead Plaintiff Deadline:||Nov-15-09|
|Court:||Southern District of New York|
The complaint alleges that Defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 by engaging in a manipulative scheme to defraud purchasers of Wachovia-managed ARS. ARS are either municipal or corporate debt securities or preferred stocks which pay interest at rates set at periodic "auctions." ARS generally have long-term maturities or no maturity dates.
The Complaint alleges that throughout the class period, Wachovia Securities and A.G. Edwards engaged in deceptive and manipulative tactics directed at ARS investors to create the appearance of a functioning auction market. Such manipulative conduct included: (1) maintaining a policy of intervening in every auction for which Wachovia Securities and A.G. Edwards served as the sole or lead auction dealer, to create the appearance of stability in the ARS market, mask the inherent illiquidity of Wachovia-managed ARS, and prevent auction failures; (2) making false and misleading statements and incomplete disclosures about the liquidity of Wachovia-managed ARS and the role of each of the Defendants in propping up the ARS market; (3) routinely intervening in auctions to set the rates of interest or dividends paid on those securities and deprive investors of the information necessary to assess the risk and volatility of Wachovia-managed ARS; and (4) providing a par daily "liquidity" service to A.G. Edwards customers to conceal risk and encourage investors to purchase Wachovia-managed ARS.
If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.