SOURCE: Kahn Gauthier Swick, LLC

August 03, 2006 17:02 ET

Shareholders File Lawsuit Against Scottish Re Group LTD - (NYSE: SCT) - KGS Announces Action

NEW ORLEANS, LA -- (MARKET WIRE) -- August 3, 2006 -- Kahn Gauthier Swick, LLC ("KGS") announces that a class action lawsuit has been filed in the United States District Court for the Southern District of New York on behalf of shareholders who purchased, exchanged or otherwise acquired the common stock and other securities of Scottish Re Group LTD ("Scottish Re'' or the "Company'') (NYSE: SCT) between December 16, 2005 and July 28, 2006.

NO CLASS HAS YET BEEN CERTIFIED IN THIS ACTION AND, UNTIL A CLASS IS CERTIFIED, YOU ARE NOT REPRESENTED BY COUNSEL UNLESS YOU RETAIN AN ATTORNEY.

The action against Scottish Re and certain of the Company's executive officers charges violations of federal securities laws. On July 28, 2006, the Company's Chief Executive resigned in the face of a shocking second quarter loss of $130 million. Scottish Re now states that it has suspended its dividends and hired investment bankers to track down additional capital. On this news, share prices have declined from $16.00 to $6.50 -- erasing millions of dollars in shareholder value. These revelations were also in stark contrast to statements made by Scottish Re in February 2006, that the Company was operating at or above plan, and to statements made in early-May 2006, when the Company reported reduced earnings for the first quarter of 2006, yet failed to make any adjustments to its earnings or revenue forecasts.

If you would like to discuss your legal rights, you may e-mail or call KGS, without obligation or cost to you. You may contact Managing Partner Lewis Kahn of KGS direct, toll free 1-866-467-1400, ext., 100, or 504-648-1850, or by email at lewis.kahn@kglg.com.

KGS ENCOURAGES INVESTORS TO ACT NOW, AS YOU HAVE ONLY UNTIL OCTOBER 2, 2006, TO MOVE THE COURT TO SERVE AS LEAD PLAINTIFF.

Contact Information