|Same Morgan? I can't quite summon up his first name...|
VIANALE & VIANALE LLP FILES CLASS ACTION LAWSUIT AGAINST WORLD INFORMATION TECHNOLOGY INC.
BOCA RATON, FL (August 26, 2004) –– Vianale & Vianale LLP commenced a securities fraud class action lawsuit in the U.S. District Court for the Southern District of New York on behalf of purchasers of the securities of World Information Technology, Inc. (“World Information” or the “Company”) (OTC: WRLT.PK) between January 3, 2003 and March 16, 2004, inclusive. View the complaint on Vianale & Vianale’s website: vianalelaw.com, or call toll-free 888-657-9960.
The complaint alleges that the Company, its officers, directors and outside auditor violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934. World Information purported to be a leading “online, member-created, Internet community.” Throughout the class period, the Company reported artificially inflated sales, accounts receivable and net income. Despite these violations, the Company’s outside auditor, Beckstead & Watts, LLP (“B&W”), certified the Company’s 2002 financial statements. In September 2003, B&W wrote to CEO Gary D. Morgan, questioning the validity of the Company’s accounts receivable and noting problems with the Company’s internal financial controls, but did not withdraw its audit report. In January 2004, B&W resigned as the Company’s auditor, followed by CFO Steven D. Fellows who resigned in February 2004. On March 16, 2004, the Company announced that the Securities and Exchange Commission had temporarily suspended trading of the Company’s securities due to the inaccuracy and incompleteness of the Company’s financial statements.