SOURCE: Premier Information Management, Inc.

November 12, 2008 18:53 ET

Premier Information Management, Inc. Files Suit for $252M Damages

PHOENIX, AZ--(Marketwire - November 12, 2008) - Premier Information Management, Inc. (PINKSHEETS: PIFR) today filed suit against Bank of America Corp. (BAC) seeking $252M in damages alleging collaboration and cooperation in the assistance of fraudulent activities that critically damaged the company for nearly three years.

The Complaint alleges that Bank of America knowingly violated the terms and procedures related to the provisions of the Medallion Guarantee Program. Medallion Stamps are a mandatory requirement to transfer stock and warrant that a person's signature is genuine and the person has authority and legal capacity to sign. The Compliant then alleges Bank of America provided signature guarantees to blank stock powers, certificates, and documents in the names of individuals some of whom were long since deceased. The medallion guaranteed documents were then used to illegally transfer millions of Premier's publically trading stock for immediate sale. The Complaint alleges the illegal actions quickly reduced the stock price from $3.04 to just a few cents.

"Our losses due to Bank of America participation as alleged in our complaint has been devastating to operations and extends not just to our stock price and market capitalization but to our relationships with corporate and private investors. Furthermore, clients, vendors, and staff have all suffered tremendously as a direct result of these illegally obtained shares," said Tom Miller, CEO of Premier Information Management.

"We hope that Bank of America steps up to the plate and puts us back to where we were before the damages began. We urge all issuers and customers to investigate the procedures and controls used by their local Bank of America branch. Quite frankly, the scope of damages this lawsuit could spur goes far beyond anything Premier is currently seeking. From my perspective this is one can of worms that will affect the bank and the securities industry for some time," said David Stothart, Corporate Consultant to Premier. The full complaint can be viewed through Maricopa Superior Court ref. CV2008-093400.

About Premier Information Management, Inc.

Premier Information Management, Inc. provides business critical information to the global Insurance and Healthcare industries by integrating fast and efficient database driven electronic content management systems to reduce and manage costly risk. Utilizing proprietary software with specially integrated modules, Premier realizes significant increases in data-in/out-report efficiencies delivering decision-critical reports significantly faster than the industry standard. Utilizing the most secure, flexible, and cost effective means to capture, manage and transmit sensitive information, Premier's EDI solutions are the new standard in the information management industry.

For more information, including company news and investor relations information, visit the company's website at: www.premierinformationmanagement.com.

Safe Harbor Statement

This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by words or phrases such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. Among other things, the business outlook and quotations from management in this press release contain forward-looking statements. Statements that are not historical facts, including statements about Premier's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Premier does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

Contact Information

  • For more information contact:
    David Stothart
    (800) 700 0339
    Email Contact