Friday February 28 12:46 PM EDT |
Lawsuit Brought Against The WideCom Group Inc.
MISSISSAUGA, Ontario, Feb. 28 /PRNewswire/ -- The WideCom Group Inc. (the "Company") announced today that a lawsuit was filed yesterday afternoon in New York state court by Brett Whiton, a New York resident, alleging among other things that the Company's recent warrant redemption notice was in breach of the Company's agreement with Whale Securities Co., L.P. and the Company's and its officers' fiduciary duties. The lawsuit did not specify a specific amount of damages being sought, but has requested that the court enjoin the Company's warrant redemption program. The plaintiff has also requested to represent the Company's warrant holders as a class.
Raja S. Tuli, President of WideCom, stated "The primary bases of the lawsuit -- that the Company was required to obtain the prior consent of Whale Securities, and that the Company failed to do so -- are based on the plaintiff's lack of knowledge of the facts. We are intending to vigorously defend this matter."
The WideCom Group Inc. designs, manufactures and markets high-speed, high- performance, wide-format document management systems. WideCom's product lines include its 36" WIDEfax(R) facsimile machines, engineering scanners and direct imaging plotters. WideCom distributes its products directly through VARs, OEMs and distributors internationally. SOURCE WideCom Group Inc.