NU Online News Service, May 20, 2004, 6:44 p.m. EDT – Several law firms say they are organizing class-action lawsuits against BISYS Group Inc., New York.[@@]
BISYS announced Wednesday that it will be restating its earnings and delaying the filing of its Form 10-Q quarterly report as the result of a move to increase a write-down of life insurance commissions receivable to more than $70 million. Earlier, BISYS had announced the write-down would amount to about $25 million.
Schiffrin & Barroway L.L.P., Bala Cynwyd, Pa., a law firm, says it has filed a class-action lawsuit in the U.S. District Court in New York on behalf of all investors who bought BISYS securities between Oct. 23, 2000, and May 17.
Similar lawsuits were filed by other law firms, including Lerach Coughlin Stoia & Robbins, San Diego, and Geller Rudman P.L.L.C., New York. Another law firm, Scott + Scott L.L.C., Colchester, Conn., says it “has commenced an investigation” of the BISYS financial restatement, which covers the years from 2001 to 2004.
BISYS sells administrative support and other services to investment firms, insurance companies and banks.