|Milberg Weiss Announces Class Action Suit Against Ariba, Inc. |
NEW YORK , NY, Mar 21, 2001 (INTERNET WIRE via COMTEX) -- The law firm of Milberg Weiss Bershad Hynes & Lerach LLP announces that a class action lawsuit was filed on March 20, 2001, on behalf of purchasers of the securities of Ariba, Inc. ("Ariba or the "Company") (NASDAQ: ARBA chart, msgs) between June 23, 1999 and December 23, 1999 inclusive. A copy of the complaint filed in this action is available from the Court, or can be viewed on Milberg Weiss' website at: www.milberg.com/ariba/
The action, numbered 01 Civ. 2359, is pending in the United States District Court for the Southern District of New York, located at 500 Pearl Street, New York, NY 10007, against defendants Ariba, Morgan Stanley & Co. Incorporated ("Morgan Stanley"); Keith J. Krach and Edward P. Kinsey. The Honorable John S. Martin Jr. is the Judge presiding over the case.
The complaint alleges violations of Sections 11, 12(a)(2) and 15 of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. On June 23, 1999, Ariba commenced an initial public offering of 5 million of its shares of common stock at an offering price of $23 per share (the "Ariba IPO"). In connection therewith, Ariba filed a registration statement, which incorporated a prospectus (the "Prospectus"), with the SEC. The complaint further alleges that the Prospectus was materially false and misleading because it failed to disclose, among other things, that: (i) Morgan Stanley had solicited and received excessive and undisclosed commissions from certain investors in exchange for which Morgan Stanley allocated to those investors material portions of the restricted number of Ariba shares issued in connection with the Ariba IPO; and (ii) Morgan Stanley had entered into agreements with customers whereby Morgan Stanley agreed to allocate Ariba shares to those customers in the Ariba IPO in exchange for which the customers agreed to purchase additional Ariba shares in the aftermarket at pre-determined prices. As alleged in the complaint, the SEC is investigating underwriting practices in connection with several other initial public offerings.
If you bought the securities of Ariba between June 23, 1999 and December 23, 1999 you may, no later than May 21, 2001, request that the Court appoint you as lead plaintiff in this action. 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. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Milberg Weiss Bershad Hynes & Lerach LLP, or other counsel of your choice, to serve as your counsel in this action.
Milberg Weiss Bershad Hynes & Lerach LLP, a 170-lawyer firm with offices in New York City, San Diego, San Francisco, Los Angeles, Boca Raton, Seattle and Philadelphia, is active in major litigations pending in federal and state courts throughout the United States. Milberg Weiss has taken a leading role in many important actions on behalf of defrauded investors, consumers, and companies, as well as victims of World War II and other human rights violations, and has been responsible for more than $30 billion in aggregate recoveries. The Milberg Weiss Web site (www.milberg.com) has more information about the firm.
If you wish to discuss this action with us, or have any questions concerning this notice or your rights and interests with regard to the case, please contact the following attorneys:
Steven G. Schulman or Samuel H. Rudman One Pennsylvania Plaza, 49th fl., New York, NY, 10119-0165
CONTACT: Steven G. Schulman
Samuel H. Rudman