Amazon faces law suits.
Amazon.com is being sued by shareholders who allege the e-tailer and several executives violated US securities laws by distributing ‘false and misleading’ financial statements.
The lawsuits allege Amazon misrepresented its financial condition, particularly in relation to investments in joint ventures that came under the Amazon Commerce Venture Partners scheme. The suits claim the investments appeared to be generating revenues, but resulted in losses.
Law firms Keller Rohrback, Weiss & Yourman and Millberg Weiss have sued on behalf of shareholders that purchased Amazon securities between 2 February and 9 March 2000.
While Faruqui & Faruqui and Wechsler Harwood Halebian & Feffer are acting for stockholders that bought securities between 2 February and 30 October 2000.
Both of the suits and are seeking to recover damages. Amazon was unavailable for comment.
– Cath Everett writes for vnunet.com.