SOURCE: The Rosen Law Firm PA

The Rosen Law Firm PA

October 09, 2009 20:00 ET

The Rosen Law Firm Files Securities Class Action Charging SpongeTech Delivery Systems, Inc. With Securities Fraud -- SPNGE.OB, SPNG.OB

NEW YORK, NY--(Marketwire - October 9, 2009) - The Rosen Law Firm today announced it has filed a class action lawsuit on behalf of all purchasers of SpongeTech Delivery Systems, Inc. ("SpongeTech" or the "Company") (OTCBB: SPNGE) (OTCBB: SPNG) stock between April 15, 2008 and October 5, 2009, inclusive (the "Class Period").

To join the SpongeTech class action, go to the website at http://www.rosenlegal.com or call Laurence Rosen, Esq. or Phillip Kim, Esq. toll-free at 866-767-3653 or email lrosen@rosenlegal.com or pkim@rosenlegal.com for information on the class action.

The case is pending in the United States District Court for the Southern District of New York as case no. 09-CV-8616 (JGK). You can obtain a copy of the complaint from the clerk of court or you may contact counsel for plaintiffs Laurence Rosen, Esq. or Phillip Kim, Esq. toll-free at 866-767-3653 or email lrosen@rosenlegal.com or pkim@rosenlegal.com.

NO CLASS HAS YET BEEN CERTIFIED IN THE ABOVE ACTION. UNTIL A CLASS IS CERTIFIED, YOU ARE NOT REPRESENTED BY COUNSEL UNLESS YOU RETAIN ONE. YOU MAY ALSO REMAIN AN ABSENT CLASS MEMBER. YOU MAY RETAIN COUNSEL OF YOUR CHOICE.

The complaint charges that SpongeTech, its CEO Michael Metter, CFO Steven Moskowitz and director Frank Lazauskas violated federal securities laws by issuing false and misleading financial information to investors and engaging in a stock manipulation scheme.

The complaint alleges that SpongeTech misrepresented its sales revenues, failed to disclose alleged short selling of the Company's stock by certain, and improperly forged opinion letters of counsel in order to permit the sale of the Company's stock. The complaint further alleges that as the truth of the scheme was disclosed publicly the price of SpongeTech stock fell dramatically -- damaging investors.

As a result of this alleged misconduct, the Company is the subject of a formal SEC investigation and the SEC has temporarily suspended trading in the Company's stock.

A class action lawsuit has already been filed on behalf of SpongeTech shareholders. If you wish to serve as lead plaintiff, you must move the Court no later than December 8, 2009. If you wish to join the litigation or to discuss your rights or interests regarding this class action, please contact plaintiff's counsel, Laurence Rosen, Esq. or Phillip Kim, Esq. of The Rosen Law Firm toll free at 866-767-3653 or via e-mail at lrosen@rosenlegal.com or pkim@rosenlegal.com.

The Rosen Law Firm focuses on prosecuting securities class action litigation and actions involving financial fraud. The Rosen Law Firm represents investors throughout the globe concentrating its practice in securities class actions.

Contact Information

  • Contact:
    Laurence Rosen, Esq.
    Phillip Kim, Esq.
    The Rosen Law Firm P.A.
    Tel: (212) 686-1060
    Weekends Tel: (917) 797-4425
    Toll Free: 1-866--767-3653
    Fax: (212) 202-3827
    350 5th Avenue, Suite 5508
    New York, New York 10118
    Email Contact
    Email Contact
    www.rosenlegal.com