Cohen Milstein Sellers & Toll PLLC Announces Class Action

Headline Legal News 2011/08/29 09:28   Bookmark and Share
Cohen Milstein Sellers & Toll PLLC announces that it has filed a class action lawsuit in the U.S. District Court for the Southern District of New York against SinoTech Energy Limited, and certain of its officers, directors and underwriters.

The lawsuit, which is captioned Crayder v. SinoTech Energy Limited, et al., 11-CV-05935, alleges violations of the United States securities laws on behalf of purchasers of SinoTech's American Depository Shares ("ADSs") from November 3, 2010 through August 16, 2011 (the "Class Period"), including purchasers of ADSs in the Company's November 3, 2010 initial public offering (the "November IPO"). Claims for November IPO purchasers arise under Sections 11, 12(a)(2) and 15 of the Securities Act of 1933 (the "Securities Act"). Claims for other Class Period purchasers fall under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (the "Exchange Act") and Rule 10b-5 promulgated thereunder by the United States Securities and Exchange Commission.

The lawsuit asserts numerous problems with SinoTech's previously issued financial statements and declarations about its future prospects. Among other claims, the complaint alleges that: (1) the Company's sole import agent, which accounted for more than $100 million worth of oil drilling equipment orders, is an empty shell company with no sign of operations; (2) the Company's only chemical supplier is also an empty shell company, with little or no revenues; (3) the Company's largest subcontracting customer, which provides the vast majority of SinoTech's revenues, has unverifiable operations with minimal revenues; (4) the financial statements SinoTech issued in the United States are inconsistent with similar filings the Company made in China; (5) the Company has engaged in undisclosed related-party transactions in violation of Generally Accepted Accounting Principles; and (6) positive statements the Company made regarding its internal financial controls were false and misleading.

On August 16, 2011, a research analyst writing under the name Alfred Little published an investigative report (the "Report") detailing these and other problems at SinoTech. The day the Report was issued, the Company's stock price plummeted more than 40%, falling from $4.02 per share on August 15, 2011 to $2.35 per share at the close of trading on August 16, 2011 - a decline of $1.67 per share on unusually high trading volume. The NASDAQ halted SinoTech trading after the market closed on August 16, 2011, announcing that trading would remain halted until the Company "fully satisfied NASDAQ's request for additional information." To date, trading has not resumed.

If you purchased the common stock of SinoTech and wish to serve as lead plaintiff, you must move the Court no later than October 18, 2011 to request that the Court appoint you as lead plaintiff. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. To be appointed lead plaintiff, the Court must decide that your claim is typical of the claims of other class members, and that you will adequately represent the class. Your share in any recovery will not be enhanced or diminished by the decision whether or not to serve as a lead plaintiff. Any member of the proposed class may retain Cohen Milstein Sellers & Toll PLLC or other attorneys to serve as your counsel in this action, or you may do nothing and remain an absent class member.

Cohen Milstein Sellers & Toll PLLC has significant experience in prosecuting investor class actions and actions involving securities fraud. The firm has offices in Washington, D.C., New York, Philadelphia, Chicago, and West Palm Beach, and is active in major litigation pending in federal and state courts throughout the nation.

The firm’s reputation for excellence has repeatedly been recognized by courts which have appointed the firm to lead positions in complex multi-district or consolidated litigation. Cohen Milstein Sellers & Toll PLLC has taken a lead role in numerous important cases on behalf of defrauded investors, and has been responsible for a number of outstanding recoveries which, in the aggregate, total over a billion dollars. Prior results do not guarantee a similar outcome. For more information visit www.cohenmilstein.com.
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Court approves Harry and David reorganization plan

Legal Insight 2011/08/29 09:28   Bookmark and Share
Harry & David will emerge from bankruptcy protection in the middle of September, the specialty foods company said Tuesday, after its plan for reorganization was approved in court.

The emergence will likely occur on or around Sept. 13, giving the company plenty of time to ramp up for the crucial holiday season.

Kay Hong, the interim CEO who is heading the restructuring, said that Harry and David is returning as a stronger company that is better positioned for long-term profitable growth. The restructuring plan was approved by the United States Bankruptcy Court for the District of Delaware

With consumer priorities reshuffled during the recession, the demand fruit basket and gourmet gifts evaporated. Harry & David entered Chapter 11 bankruptcy protection in March.

Hong said the company looks forward to the holiday season with strong lineup of new products and plans "to deliver a terrific gift experience and unparalleled customer service as Harry & David has done for generations."

Harry & David Holdings Inc., based in Medford, Ore., sells under the Harry & David, Wolferman's and Cushman's brands online and in stores.


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Del. pediatrician gets life for abusing patients

Headline Legal News 2011/08/26 10:08   Bookmark and Share
A Delaware pediatrician convicted of sexually abusing scores of young patients over more than a decade was sentenced Friday to life in prison.

Earl Bradley showed no emotion as a judge sentenced him to 14 life sentences for 14 counts of first-degree rape. Bradley was also sentenced to 165 years for multiple counts of assault and continuous sexual exploitation of a child.

Bradley was arrested in Dec. 2009 after a 2-year-old girl complained to her mother after an office visit that the doctor had hurt her.

Investigators searched his office complex, decorated with Disney characters and miniature amusement park rides, and seized dozens of homemade videos.

Bradley's public defenders presented no defense at his trial, opting instead for a swift verdict so they could more quickly appeal the judge's decision to allow the videos as evidence. The defense contends they were improperly seized by investigators acting outside the scope of their search warrant.




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No choking charges for Wis. Supreme Court justice

Headline Legal News 2011/08/26 10:07   Bookmark and Share
A conservative Wisconsin state Supreme Court justice who staved off an unusually intense campaign to replace him this summer will not face criminal charges over allegations that he tried to choke a liberal colleague, a prosecutor said Thursday.

Sauk County District Attorney Patricia Barrett, a special prosecutor in the case, said that after reviewing investigators' reports, she decided there's no basis to file charges against either Justice David Prosser or Justice Ann Walsh Bradley, who accused Prosser of choking her.

Barrett, who is a Republican, told The Associated Press that the accounts of the other justices who were present when the alleged altercation occurred varied widely, however she declined to elaborate.

"I believe a complete review of the report suggests there is a difference of opinion. There are a variety of statements about what occurred ... the totality of what did happen does not support criminal charges against either Justice Bradley or Justice Prosser," Barrett said.

Walsh Bradley accused Prosser of choking her in June while the justices were deliberating the merits of a lawsuit challenging Republican Gov. Scott Walker's contentious law stripping public workers of most of their collective bargaining rights. Walsh Bradley, 61, is seen as part of the court's three-justice liberal minority, while Prosser, a 68-year-old former Republican legislator, is considered part of the four-justice conservative majority. The factions have been feuding for years.

The court delivered its verdict the day after the alleged incident, ruling 4-3 to uphold the law and allowing it to finally take effect. As expected, Prosser voted with the majority.


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Judge to hear arguments over Loughner's medication

Topics in Legal News 2011/08/25 10:08   Bookmark and Share
Attorneys for the Tucson shooting rampage suspect are making another attempt to stop the forced medication of their client at the Missouri prison facility where mental health experts are trying to make him psychologically fit to stand trial.

A federal judge will hear arguments Friday over a request by Jared Lee Loughner's defense team to halt the pychotropic drug medications.

U.S. District Judge Larry Burns rejected a similar request by Loughner's attorneys in late June. The 9th Circuit Court of Appeal halted the medication but later allowed it to resume after prison officials determined Loughner's outbursts there posed a danger.

Loughner has pleaded not guilty to 49 charges in the Jan. 8 shooting that killed six people and wounded 13 others, including Rep. Gabrielle Giffords.

He has been at a federal prison facility in Springfield, Mo., since late May after mental health experts determined he suffers from schizophrenia. A judge ruled him mentally unfit to stand trial.


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RI 'Survivor' winner won't get free lawyer

Court Watch 2011/08/25 10:07   Bookmark and Share
A Rhode Island judge is refusing to grant free legal counsel to help the winner of the first season of the CBS reality show "Survivor" appeal a nine-month prison sentence.

Judge William Smith on Thursday rejected 50-year-old Richard Hatch's request for a court-appointed attorney to help him fight the sentence handed down in March for violating the terms of his supervised release by failing to settle his tax bill.

Hatch, of Newport, spent more than three years in prison for not paying taxes on his $1 million "Survivor" winnings. He was released in 2009 and ordered to refile his 2000 and 2001 taxes and pay what he owed. Smith ruled he never did and returned him to prison.

Hatch, who claims he is "destitute," is scheduled to be released in December.


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