RADNOR, Pa., Sept 28 /PRNewswire/ -- The following statement was issued today by the law firm of Schiffrin Barroway Topaz & Kessler, LLP:
Notice is hereby given that a class action lawsuit was filed in the United States District Court for the District of Puerto Rico on behalf of all purchasers of securities of W Holding Company, Inc. ("W Holding" or the "Company") from April 24, 2006 through June 26, 2007, inclusive (the "Class Period").
If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Schiffrin Barroway Topaz & Kessler, LLP (Darren J. Check, Esq. or Richard A. Maniskas, Esq.) toll free at 1-888-299-7706 or 1-610-667-7706, or via e-mail at
The Complaint charges W Holding and certain of its officers and directors with violations of the Securities Exchange Act of 1934. W Holding operates as the holding company for Westernbank Puerto Rico, which offers business and consumer financial services in Puerto Rico and over the Internet. More specifically, the Complaint alleges that the Company failed to disclose and misrepresented the following material adverse facts which were known to defendants or recklessly disregarded by them: (1) that the Company had failed to write-down certain impaired loans; (2) that the Company would take a charge of at least $80 million due to collateral deficiencies; (3) that, as a result of the above, the Company's reported income, book value per share, and asset quality was overstated; (4) that the Company's financial results were not prepared in accordance with Generally Accepted Accounting Principles; (5) that the Company lacked adequate internal and financial controls; and (6) that, as a result of the foregoing, the Company's financial statements were materially false and misleading at all relevant times.
On June 26, 2007, the Company shocked investors when it disclosed that one of its larger asset-based loans was impaired, and that there was a "significant" collateral deficiency with respect to the impaired loan. The Company indicated that it believed the collateral deficiency to be at least $80 million. Further, the Company stated that an independent firm was retained to review the impaired loan, the Company's entire asset-based lending portfolio, and the asset-based lending division's systems of internal controls. On this news, the Company's shares fell $1.87 per share, or over 37.3 percent, to close on June 26, 2007 at $3.14 per share, on unusually heavy trading volume.
Plaintiff seeks to recover damages on behalf of class members and is represented by the law firm of Schiffrin Barroway Topaz & Kessler which prosecutes class actions in both state and federal courts throughout the country. Schiffrin Barroway Topaz & Kessler is a driving force behind corporate governance reform, and has recovered billions of dollars on behalf of institutional and individual investors from the United States and around the world.
For more information about Schiffrin Barroway Topaz & Kessler or to sign up to participate in this action online, please visit http://www.sbtklaw.com/ .
If you are a member of the class described above, you may, not later than November 20, 2007, move the Court to serve as lead plaintiff of the class, if you so choose. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Schiffrin Barroway Topaz & Kessler or other counsel of your choice, to serve as your counsel in this action.
CONTACT: Schiffrin Barroway Topaz & Kessler, LLP
Darren J. Check, Esq.
Richard A. Maniskas, Esq.
280 King of Prussia Road
Radnor, PA 19087
1-888-299-7706 (toll free) or 1-610-667-7706
Or by e-mail at
