Schoengold & Sporn, P.C. Announces Filing of Securities Class Action Suit Against Ariba, Inc.

Apr 27, 2001, 01:00 ET from Schoengold & Sporn, P.C.

    NEW YORK, April 27 /PRNewswire/ -- Schoengold & Sporn, P.C. announced
 today that a securities class action lawsuit was filed in the United States
 District Court for the Southern District of New York against defendants Ariba,
 Inc. ("Ariba"), Morgan Stanley & Co., Inc. ("Morgan Stanley"); Keith J. Krach
 and Edward P. Kinsey on behalf of purchasers of the securities of
 Ariba (Nasdaq: ARBA) between June 23, 1999 and December 6, 2000, inclusive.
     The securities class action complaint charges the defendants with
 violations of the federal securities laws (Sections 11, 12 and 15 of the
 Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of
 1934 and Rule 10b-5 promulgated thereunder).  The complaint alleges that on
 June 23, 1999, Ariba commenced an initial public offering of 5 million of its
 shares of common stock at an offering price of $23 per share (the "Ariba
 IPO"). In connection therewith, Ariba filed a registration statement, which
 incorporated a prospectus (the "Prospectus"), with the SEC. The complaint
 further alleges that the Prospectus was materially false and misleading
 because it failed to disclose, among other things, that: (i) Morgan Stanley
 had solicited and received excessive and undisclosed commissions from certain
 investors in exchange for which Morgan Stanley allocated to those investors
 material portions of the restricted number of Ariba shares issued in
 connection with the Ariba IPO; and (ii) Morgan Stanley had entered into
 agreements with customers whereby Morgan Stanley agreed to allocate Ariba
 shares to those customers in the Ariba IPO in exchange for which the customers
 agreed to purchase additional Ariba shares in the aftermarket at pre-
 determined prices. As alleged in the complaint, the SEC is investigating
 underwriting practices in connection with several other initial public
 offerings
     Plaintiff seeks to recover damages on behalf of class members, and is
 represented by the law firm of Schoengold & Sporn, P.C., 19 Fulton Street,
 Suite 406, New York, New York 10038, Tel. 212-964-0046,
 Toll Free 866-348-7700, Fax: 212-267-8137, E-Mail: SCHOENGOLD@AOL.COM,
 http://WWW.SCHOENGOLDANDSPORN.COM, who has extensive experience and expertise
 prosecuting class actions on behalf of investors and shareholders.
     Schoengold & Sporn, P.C. began specializing in shareholder class and
 derivative securities litigation in 1968, and courts have long noted the
 firm's experience and ability in complex securities litigation.  The firm has
 been a lead counsel, co-lead counsel, or member of an Executive Committee in
 many complex securities class actions, including the highly publicized Wedtech
 securities case (member of the Executive Committee).  The favorable $77.5
 million Wedtech settlement was reported in the Wall Street Journal on
 February 10, 1992, page B6, as a:
 
     "$77.5 million settlement . . . reached in a securities fraud case
     stemming from the Wedtech scandal . . . The settlement with 29 defendants
     . . . is believed to be one of the largest ever in a civil securities
     fraud case. . . 'This is a global settlement,' said Samuel Sporn, a
     plaintiffs' attorney at the New York law firm Schoengold & Sporn.  Mr.
     Sporn said the settlement represents almost half of the more than
     $160 million in stocks and bonds that Wedtech sold to the public between
     1983 and 1986."
 
     If you are a member of the class described above, you may seek to join in
 the above class action on or no later than May 21, 2001, by moving the Court
 to serve as lead plaintiff.  This is not a prerequisite to participation as a
 class member.
     If you would like to further discuss your rights or receive an information
 packet, you may call collect or otherwise contact the undersigned, who will be
 pleased to assist:
 
     CONTACT:  Schoengold & Sporn, P.C.
               19 Fulton Street, Suite 406
               New York, New York 10038
               Tel:  212-964-0046
               Toll Free: (800) 232-8092
               Fax: 212-267-8137
               E-Mail: SCHOENGOLD@AOL.COM
 
                     MAKE YOUR OPINION COUNT -- Click Here
                http://tbutton.prnewswire.com/prn/11690X14181759
 
 

SOURCE Schoengold & Sporn, P.C.
    NEW YORK, April 27 /PRNewswire/ -- Schoengold & Sporn, P.C. announced
 today that a securities class action lawsuit was filed in the United States
 District Court for the Southern District of New York against defendants Ariba,
 Inc. ("Ariba"), Morgan Stanley & Co., Inc. ("Morgan Stanley"); Keith J. Krach
 and Edward P. Kinsey on behalf of purchasers of the securities of
 Ariba (Nasdaq: ARBA) between June 23, 1999 and December 6, 2000, inclusive.
     The securities class action complaint charges the defendants with
 violations of the federal securities laws (Sections 11, 12 and 15 of the
 Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of
 1934 and Rule 10b-5 promulgated thereunder).  The complaint alleges that on
 June 23, 1999, Ariba commenced an initial public offering of 5 million of its
 shares of common stock at an offering price of $23 per share (the "Ariba
 IPO"). In connection therewith, Ariba filed a registration statement, which
 incorporated a prospectus (the "Prospectus"), with the SEC. The complaint
 further alleges that the Prospectus was materially false and misleading
 because it failed to disclose, among other things, that: (i) Morgan Stanley
 had solicited and received excessive and undisclosed commissions from certain
 investors in exchange for which Morgan Stanley allocated to those investors
 material portions of the restricted number of Ariba shares issued in
 connection with the Ariba IPO; and (ii) Morgan Stanley had entered into
 agreements with customers whereby Morgan Stanley agreed to allocate Ariba
 shares to those customers in the Ariba IPO in exchange for which the customers
 agreed to purchase additional Ariba shares in the aftermarket at pre-
 determined prices. As alleged in the complaint, the SEC is investigating
 underwriting practices in connection with several other initial public
 offerings
     Plaintiff seeks to recover damages on behalf of class members, and is
 represented by the law firm of Schoengold & Sporn, P.C., 19 Fulton Street,
 Suite 406, New York, New York 10038, Tel. 212-964-0046,
 Toll Free 866-348-7700, Fax: 212-267-8137, E-Mail: SCHOENGOLD@AOL.COM,
 http://WWW.SCHOENGOLDANDSPORN.COM, who has extensive experience and expertise
 prosecuting class actions on behalf of investors and shareholders.
     Schoengold & Sporn, P.C. began specializing in shareholder class and
 derivative securities litigation in 1968, and courts have long noted the
 firm's experience and ability in complex securities litigation.  The firm has
 been a lead counsel, co-lead counsel, or member of an Executive Committee in
 many complex securities class actions, including the highly publicized Wedtech
 securities case (member of the Executive Committee).  The favorable $77.5
 million Wedtech settlement was reported in the Wall Street Journal on
 February 10, 1992, page B6, as a:
 
     "$77.5 million settlement . . . reached in a securities fraud case
     stemming from the Wedtech scandal . . . The settlement with 29 defendants
     . . . is believed to be one of the largest ever in a civil securities
     fraud case. . . 'This is a global settlement,' said Samuel Sporn, a
     plaintiffs' attorney at the New York law firm Schoengold & Sporn.  Mr.
     Sporn said the settlement represents almost half of the more than
     $160 million in stocks and bonds that Wedtech sold to the public between
     1983 and 1986."
 
     If you are a member of the class described above, you may seek to join in
 the above class action on or no later than May 21, 2001, by moving the Court
 to serve as lead plaintiff.  This is not a prerequisite to participation as a
 class member.
     If you would like to further discuss your rights or receive an information
 packet, you may call collect or otherwise contact the undersigned, who will be
 pleased to assist:
 
     CONTACT:  Schoengold & Sporn, P.C.
               19 Fulton Street, Suite 406
               New York, New York 10038
               Tel:  212-964-0046
               Toll Free: (800) 232-8092
               Fax: 212-267-8137
               E-Mail: SCHOENGOLD@AOL.COM
 
                     MAKE YOUR OPINION COUNT -- Click Here
                http://tbutton.prnewswire.com/prn/11690X14181759
 
 SOURCE  Schoengold & Sporn, P.C.