Rigrodsky & Long, P.A. Announces Class Action Lawsuit Against National Lampoon, Inc.
10 December 2010 - 10:03AM
Business Wire
Rigrodsky & Long, P.A. announces that a class action lawsuit
has been filed in the United States District Court for the Central
District of California on behalf of all persons or entities who
purchased or otherwise acquired the common stock of National
Lampoon, Inc. (“National Lampoon” or the “Company”) (Pink Sheets:
NLMP) (formerly NYSE Amex: NLN) between March 1, 2008 and December
15, 2008, inclusive (the “Class Period”), alleging violations of
the Securities Exchange Act of 1934 (the “Complaint”).
The Complaint names National Lampoon and certain of the
Company’s current and former executive officers and directors as
defendants. National Lampoon is a media and entertainment company
that develops, produces, and distributes comedic content. It
licenses the National Lampoon brand, as well as content from its
library for use in movies, television programming, radio
broadcasts, recordings, electronic games, and live events.
The Complaint alleges that during the Class Period, the Company
and its former CEO, Daniel Laikin, were engaged in an unlawful
scheme to inflate the price of National Lampoon stock by paying
“consultants” to purchase the Company’s stock. The scheme involved
an effort to manipulate the price of National Lampoon stock by
paying undisclosed kickbacks to individuals to purchase and hold
the stock to create the illusion of market interest in the stocks.
The objective was to induce the investing public to purchase the
stock based on this artificial trading volume and, thus, increase
the stock’s value.
On December 15, 2008, former CEO Daniel Laikin and others were
charged with conspiracy and securities fraud by federal
prosecutors, in connection with this market manipulation scheme.
That same day, National Lampoon’s stock was suspended by the SEC.
When the Company’s stock resumed trading on February 5, 2009, it
fell from $0.73 per share to $0.50 per share and then plummeted to
$0.10 per share in the following days causing huge losses for the
Company’s investors.
If you wish to serve as lead plaintiff, you must move the Court
no later than February 7, 2011. A lead plaintiff is a
representative party acting on behalf of other class members in
directing the litigation. If you wish to discuss this action or
have any questions concerning this notice or your rights or
interests, please contact Timothy J. MacFall, Esquire or Noah R.
Wortman, Case Development Director of Rigrodsky & Long, P.A.,
919 North Market Street, Suite 980 Wilmington, Delaware, 19801 at
(888) 969-4242, by e-mail to info@rigrodskylong.com, or via our
website: http://www.rigrodskylong.com/news/NationalLampoonInc-NLMP.
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 proposed 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.
While Rigrodsky & Long, P.A. did not file the Complaint in
this matter, the firm, with offices in Wilmington, Delaware and
Garden City, New York, regularly litigates securities class,
derivative and direct actions, shareholder rights litigation and
corporate governance litigation, including claims for breach of
fiduciary duty and proxy violations in the Delaware Court of
Chancery and in state and federal courts throughout the United
States.
Attorney advertising. Prior results do not guarantee a similar
outcome.
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