FOX & KILSHEIMER LLP ANNOUNCES CLASS
ACTION SUIT AGAINST eCONNECT, INC.
NEW YORK - - The following statement was issued today by the law firm of
Kaplan Fox & Kilsheimer LLP:
A class action has been commenced in the United States District Court for the Central District of California Western Division on behalf of all persons who purchased or otherwise
acquired the common stock of eConnect, Inc. (OTC Bulletin Board: ECNC; "eConnect" or the "Company") between November 18, 1999 and March 13, 2000, inclusive (the "Class Period").
The Complaint alleges that
eConnect and its President, CEO and Chairman, Thomas S. Hughes, violated the Securities Exchange Act 1934. The lawsuit charges that, during the class period, defendants made false and misleading statements and/or
omissions concerning the financial condition and business prospects of the Company. The complaint alleges, among other things, that during the Class Period, eConnect made misrepresentations concerning the revenue
generated from its Powerclick website and misrepresentations regarding its licensing agreement with Palm Pilot. As a result of defendants' false and misleading statements, the Company's common stock traded at
artificially prices during the class period.
On March 13, 2000, the United States Securities and Exchange Commission suspended trading in eConnect's common stock based upon questions concerning the accuracy of
eConnect's publicly released information. In addition, eConnect is subject to a SEC consent decree as a result of the Company's failure to file timely its annual and quarterly SEC documents.
seeks to recover damages on behalf of the Class and is represented by Kaplan Fox & Kilsheimer LLP and Girard & Green LLP. Both firms have extensive experience in prosecuting investor class actions and
actions involving financial fraud. For more information about Kaplan Fox & Kilsheimer LLP, you may visit its website at www.KaplanFox.com.
If you are a member of the Class, you may move the court no later than May 13, 2000, to serve as a lead plaintiff for the Class. In order to serve as a lead plaintiff, you must meet certain legal requirements.
have any questions about this Notice, the action, your rights, or your interests, please contact:
Frederic S. Fox, Esq.
Laurence D. King, Esq.
Hae Sung Nam, Esq..
Kaplan Fox & Kilsheimer LLP
Fax: (212) 687-7714
E-mail address: mail@KaplanFox.com
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