NEW YORK, Oct. 29, 2012 (GLOBE NEWSWIRE) -- Greenfield & Goodman, LLC and Cuneo Gilbert & LaDuca, LLP today announced that shareholder litigation has been commenced in the United States District Court for the Central District of California by William Sokolowski, a purchaser of the common stock of STEC, Inc. ("STEC" or the "Company"), who suffered substantial losses following disclosure of material facts that had been concealed prior to his purchases. STEC is based in Santa Ana, California.
The Complaint in the Sokolowski action refers to conduct of the principal shareholders of STEC, Manouchehr and Mehrdad Moshayedi and other officers and directors of the Company before and during the period June 16, 2009 and February 23, 2010 (the "Relevant Period"), seeking to recover losses under the Securities Exchange Act of 1934 (the "Exchange Act") and to obtain other relief pursuant to relevant California state law derivatively for the benefit of STEC.
The Complaint charges the Moshayedi brothers and certain of the former officers and executives of STEC with violations of the Exchange Act, breach of fiduciary duty and other serious wrongdoing. The Complaint alleges that, before and throughout the Relevant Period, the defendants made material misrepresentations and failed to disclose material adverse facts about the Company's true financial condition, business and prospects.
The Complaint alleges that defendants caused the Company to disseminate financial statements that were not fairly presented in conformity with Generally Accepted Accounting Principles and were materially false and misleading, and failed to make complete and timely disclosures concerning certain business contracts. It further alleges that Manouchehr, Mehrdad and Massoud Moshayedi (as well as trusts controlled by them) sold STEC common stock in a secondary public offering on August 6, 2009 for $267.8 million and/or during other times for more than $100 million while in possession of material information not disclosed to the public. The SEC has since sued Manouchehr Moshayedi.
If you wish to discuss this action or have any questions concerning your rights or interests or would like to receive the Complaint by e-mail, please contact plaintiff's counsel, Richard D. Greenfield, Esq. of Greenfield & Goodman, LLC at 917-495-4446, or via e-mail at firstname.lastname@example.org or Matthew Miller, Esq. of Cuneo, Gilbert & LaDuca at 202-789-3960, or via e-mail at email@example.com.
Richard D. Greenfield, Esq. of Greenfield & Goodman, LLC has over 35 years of experience in banking, securities and consumer litigation, having served as Lead or Co-Lead Counsel for plaintiffs in many shareholder class and derivative actions. Mr. Greenfield is a former director of a NYSE-listed bank holding company.
Cuneo Gilbert & LaDuca, a firm with offices in Washington, D.C., New York, Los Angeles, St. Louis and Alexandria, Va., specializes in the representation of plaintiffs in consumer, antitrust, civil rights and securities class actions and is active in major litigations pending in federal and state courts throughout the United States.
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Source:Cuneo Gilbert & LaDuca, LLP;Greenfield & Goodman, LLC