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Kaplan Fox Files Securities Class Action
Securities Class Action | 2010/10/06 14:25
Kaplan Fox & Kilsheimer LLP (www.kaplanfox.com) has filed a class action suit against Apollo Group, Inc. that alleges violations of the Securities Exchange Act of 1934 on behalf of purchasers of Apollo's common stock during the period February 12, 2007 through August 3, 2010, inclusive (the "Class").

The case is pending in the United States District Court for the District of Arizona. A copy of the complaint may be obtained from Kaplan Fox or the Court.

The Complaint alleges that throughout the Class Period, Defendants represented that Apollo's student enrollment in its programs, and its revenues and profits were growing, but the positive statements regarding the Company's performance and growth made by defendants were materially false and misleading when made, and were known by defendants to be false or were recklessly disregarded because the defendants failed to disclose that the Company's purported growth and profits were achieved through an improper course of conduct, including fraudulently inducing students to enroll in Apollo's scholastic and educational programs and engaging in other manipulative recruiting tactics. Further, the Complaint alleges that during the Class Period Apollo insiders sold over $450 million dollars of their privately held Apollo stock at artificially inflated prices.

The Complaint further alleges that the truth about Apollo's improper recruiting tactics began to emerge on January 7, 2010, when, after the close of trading, the Company issued a press release disclosing, among other things, that the U.S. Department of Education expressed a concern that some students had enrolled and began attending classes before completely understanding the implications of enrollment, including their eligibility for student financial aid. On January 8, 2010, the next trading day, Apollo shares declined from a close on January 7, 2010 of $63.94 per share to close at $60.50 per share, a decline of $3.44 per share or approximately 5.4% on heavier than usual volume.

Then, the Complaint alleges, on August 3, 2010, the United States Government Accounting Office (the "GAO") published a report finding that certain for-profit schools (i) used deceptive recruiting practices; (ii) inflated their tuition costs; and (iii) engaged in other "troubling" practices. The Complaint alleges that, as a result of these disclosures, between August 3, 2010, and August 6, 2010, shares of the Company declined from a close of $47.14 per share on August 2, 2010, to a close of $42.83 per share on August 5, 2010, a decline of $4.34 per share or approximately 9%.

If you are a member of the proposed Class, you may move the court no later than October 15, 2010 to serve as a lead plaintiff for the Class. You need not seek to become a lead plaintiff in order to share in any possible recovery.

Plaintiff seeks to recover damages on behalf of the Class and is represented by Kaplan Fox & Kilsheimer LLP. Our firm, with offices in New York, San Francisco, Los Angeles, Chicago and New Jersey, has many years of experience in prosecuting investor class actions and actions involving financial fraud. For more information about Kaplan Fox & Kilsheimer LLP, or to review a copy of the complaint filed in this action, you may visit our website at www.kaplanfox.com.



Izard Nobel LLP Announces Class Action Lawsuit
Securities Class Action | 2010/10/06 14:24
The law firm of Izard Nobel LLP, which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the District of Vermont on behalf of purchasers of the common stock of Green Mountain Coffee Roasters ("Green Mountain" or the "Company") between July 28, 2010 and September 28, 2010, inclusive (the "Class Period").

The Complaint charges Green Mountain and certain of its officers and directors with violations of federal securities laws. It is alleged that defendants made materially false and misleading statements related to the Company's business and operations. Specifically, the Complaint alleges that Green Mountain issued inaccurate and unreliable financial statements that were not prepared in accordance with Generally Accepted Accounting Principles and SEC rules, which artificially inflated the Company's stock price.

On September 28, 2010, after the close of trading, the Company announced it was under investigation by the SEC for issues related to improper revenue recognition. The announcement also revealed that certain of the Company's previously issued financial statements would be restated. On this news, shares of the Company's stock fell from $37 per share to a close of $31.06 per share on the following trading day.

If you are a member of the class, you may, no later than November 29, 2010, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a class member that acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members.

While Izard Nobel LLP has not filed a lawsuit against the defendants, to view a copy of the Complaint initiating the class action or for more information about the case, and your rights, visit: www.izardnobel.com/greenmountain/, or contact Izard Nobel LLP toll-free: (800) 797-5499, or by e-mail: firm@izardnobel.com. For more information about class action cases in general, please visit our website: www.izardnobel.com.



Stocks Lack Direction, VIX Closes Down, Gold Outshines
Stock Market News | 2010/10/06 14:21

The market struggled to find direction amid expectations for QE2 and discouraging employment data from the private sector in September. Stocks ended Wednesday mixed on relatively low volume, as investors digested the data and took a step back prior to same-store sales tomorrow and the all-important September jobs report on Friday.

The Dow Jones Industrial Average ended up 22.93 points, or 0.21%, to close at 10,967. The S&P 500 fell 0.80 points, or 0.07%, to close at 1159, and the Nasdaq was down 19.17 points, or 0.80%, to finish at 2380.

Gold continued its stellar run, rising as high as nearly $1,350 an ounce, before slipping back slightly, while copper prices hit a two-year high, boosted in part by a weaker U.S. dollar. Benchmark crude added $0.41, to settle at $83.23 a barrel, on the New York Mercantile Exchange.




Vanguard Strikes Back in Mutual Fund Price Wars
Stock Market News | 2010/10/06 11:22

Vanguard on Wednesday morning lowered the minimum initial investments for the low-cost Admiral Share classes of more than 50 active and passive funds. It dropped the ante for broad market index fund Admiral Shares to $10,000 from $100,000. Many of Vanguard's actively managed stock and bond funds also lowered their Admiral Shares minimums to $50,000 from $100,000.

The news means big savings for investors. For example, Admiral Shares of Vanguard Total Stock Market Index (NASDAQ:VTSAX - News) charge a rock-bottom fee of 0.07%, while Investor Shares with a minimum investment of $3,000 cost 0.18%. Fees for the Admiral Shares narrowly eke past Schwab Total Stock Market Index (NASDAQ:SWTSX - News), which last year lowered its expense ratio to 0.09% (after fee waivers) and has a minimum investment of $100. Meanwhile, Fidelity Spartan Total Market Index (NASDAQ:FSTMX - News) has a minimum investment of $10,000 and charges 0.10%.

The cost savings are similarly strong with Vanguard Total Bond Market Index VBTLX, where the Admiral Shares cost 0.12%, and the Investor Shares charge 0.22%. Another noteworthy difference is Vanguard Wellington Admiral Shares (NASDAQ:VWENX - News), which cost 0.23% compared with the 0.34% fee on Investor Shares.

While a $10,000 hurdle on index funds and $50,000 for active funds is steep for many investors, Vanguard says nearly half their individual investor client base should now qualify for the Admiral Shares. Investors rolling over assets from employer 401(k) plans may find the lower minimums more attractive.



Tech execs tell White House IT can curb deficit
Topics in Legal News | 2010/10/06 10:21

Top U.S. technology bosses met with White House officials on Wednesday to recommend how to use technology to cut deficits by $1 trillion over 10 years and offer advice on boosting the country's sluggish economy.

The Technology CEO Council said six chief executives led by IBM Corp's Samuel Palmisano would suggest ways to boost government worker productivity and save taxpayer money.

"America's growing national debt is undermining our global competitiveness," the council said. "How we choose to confront and address this challenge will determine our future environment for growth and innovation."

President Barack Obama is anxious to counter claims he is anti-business and has frequently invited corporate chiefs to the White House to pick their brains.

He also has voiced openness to lowering corporate tax levels and cutting red tape after criticism that his reforms raise the cost of doing business in the United States.

Voters, worried by U.S. unemployment stuck near 10 percent, are likely to punish Obama's Democrats in November midterm congressional elections, while Republicans have turned a record budget deficit into a potent criticism of Obama's presidency.

The technology executives will meet with top Obama advisers, including National Economic Council Director Larry Summers and White House Council of Economic Advisers Chairman Austan Goolsbee, as well as Federal Reserve Chairman Ben Bernanke.

The other corporate bosses were Motorola Inc's Greg Brown, Intel Corp's Paul Otellini, Micron Technology Inc's Steven Appleton, Michael Splinter of Applied Materials Inc and EMC Corp's Joseph Tucci.



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Securities fraud, also known as stock fraud and investment fraud, is a practice that induces investors to make purchase or sale decisions on the basis of false information, frequently resulting in losses, in violation of the securities laws. Securities Arbitration. Generally speaking, securities fraud consists of deceptive practices in the stock and commodity markets, and occurs when investors are enticed to part with their money based on untrue statements.
 
 
 

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