BALA CYNWYD, Pa., July 9, 2002 (PRIMEZONE) -- Shareholders of CMS Energy Corp. ("CMS" or the "Company") (NYSE:CMS) who desire to serve as a lead plaintiff in a shareholder class action lawsuit now pending in federal court in Michigan (02-72004) must submit an application with the Court by July 16, 2002 according to the law firm of Schiffrin & Barroway, LLP.
The lawsuit seeks damages for violations of the federal securities laws on behalf of all investors who purchased CMS Energy Corp. securities between August 3, 2000 and May 10, 2002 (the "Class Period").
Schiffrin & Barroway, LLP has prosecuted shareholder class actions for over fourteen years and has recovered more than $1 billion for investors. If you are a shareholder of CMS Energy Corp. and want to learn more about this lawsuit and about becoming a lead plaintiff, you may visit our website at http://www.sbclasslaw.com/cgi/signup.cgi.
The complaint alleges that the Michigan-based CMS Energy Corp., throughout the Class Period, improperly recognized approximately $4.4 billion in revenues by engaging in transactions lacking any economic substance using what are known as "round-trip" trading transactions. The improperly recognized revenues were, according to the complaint, reported in the Company's quarterly and annual press releases and in financial filings with the Securities and Exchange Commission ("SEC"), throughout the Class Period. On May 10, 2002, CMS announced that the SEC was investigating the propriety of its "round-trip" trading practices. In response to the announcement, CMS' common stock price collapsed, falling from a high of $20.06 on May 10, 2002 to a low of $15.72 on May 13, 2002--a drop of more than 21% on extremely heavy trading volume.
If you purchased CMS Energy Corp. securities between August 3, 2000 and May 10, 2002, you may be a member of the class and have until July 16, 2002 to move the court to become a lead plaintiff. In order to serve as lead plaintiff, however, you must meet certain legal requirements. To be a member of the class, however, you do not need to take any action at this time. Should you decide to seek appointment as a lead plaintiff, you may retain Schiffrin & Barroway, or retain counsel of your choice.
To learn more about your rights and interests in this case and your ability to potentially recoup your losses, please contact Schiffrin & Barroway (Marc A. Topaz, Esq. or Stuart L. Berman, Esq.) directly at 888-299-7706 (toll free) or 610-822-2221, fax number 610-822-0002, e-mail at info@sbclasslaw.com or visit our website at www.sbclasslaw.com.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca