A Class action complaint was filed on behalf of all persons who acquired Clarent Corporation (NASDAQ:CLRN) securities between April 19, 2001 and September 4, 2001, inclusive (the "Class Period").
The complaint alleges that Clarent and certain of its officers and directors violated the Securities Exchange Act of 1934 by, among other things, filing with the SEC and reporting to the investing public materially false and misleading financial statements concerning Clarent's financial accounting and/or its internal controls for the first and second quarters of 2001.
On September 4, 2001, Clarent issued a press release stating, among other things, that Clarent "has discovered information suggesting that the Company's previously reported revenues for the first and second quarters of fiscal 2001 may have been materially overstated. . . In addition, the Company now believes its revenues for the second half of fiscal 2001 and for fiscal 2002 will be substantially below previously anticipated levels, and that the related losses will be significantly larger than expected." Trading on Clarent stock was halted in response to Clarent's announcement.

Update

On January 6, 2005, the Court approved notice of the class action and The Garden City Group as claims administrator. If you purchased Clarent stock between March 29, 2000 and August 31, 2001, and don't receive a notice by mail, notices can be downloaded from Garden City's website. Requests for exclusion must be postmarked no later than February 14, 2005. If you are a member of the class and do not timely submit a request for exclusion, you will be bound by the results of the action.