A class action lawsuit has been filed in United States District Court for the Northern District of California on behalf of purchasers of JDS Uniphase Corporation (NASDAQ:JDSU) securities between July 27, 1999 and July 26, 2001, inclusive.
The complaint alleges that the Company, certain of its high-ranking officers and its controlling shareholder violated federal securities laws by deliberately inflating the stock price of JDSU through the issuance of false and misleading reports, press releases and statements to securities analysts. Specifically, defendants misrepresented the demand for the Company's products, misrepresented the success of its acquisitions, and failed to timely account for changes in goodwill. The complaint alleges that defendants needed to maintain an artificially inflated stock price in order to successfully negotiate stock-for-stock acquisitions. In addition, defendants also used the opportunity to sell off over 25 million shares of their personal holdings of JDSU stock at artificially inflated prices.
The complaint alleges that as a result of the defendants' conduct, plaintiff and other members of the Class suffered damages.
Plaintiff seeks to recover damages on behalf of all those who purchased JDSU common stock during the Class Period, excluding defendants and their affiliates.

Update

On July 26, 2002, the Court consolidated all the related securities class actions against JDS Uniphase, appointed the Connecticut Retirement Plans and Trust Funds as lead plaintiff and approved the selection of Goodkind Labaton Rudoff & Sucharow as lead counsel for the class. Plaintiffs filed a Second Amended Consolidated Complaint, and on January 6, 2005, the Court denied in part, and granted in part, defendants' motion to dismiss the Complaint. In December 2005, the court certified the class.