Electronic Game Card, Inc. hit by investor lawsuit

An investor in Electronic Game Card, Inc. (Public, OTC:EGMI) filed a lawsuit in United States District Court for the Central District of California on behalf of all persons who purchased or otherwise acquired securities of Electronic Game Card, Inc. (OTCBB.EGMI) between April 5, 2007 and February 19, 2010, against Electronic Game Card, Inc.

If you are purchased shares of Electronic Game Card, Inc. (Public, OTC:EGMI) between April 5, 2007 and February 19, 2010, you have certain options and there are strict and short deadlines running. Deadline: April 30, 2010. Those EGMI investors should contact the Shareholders Foundation at:

mail@shareholdersfoundation.com or at: +1 (858) 779 – 1554

According to the complaint the plaintiff alleges that Electronic Game Card, Inc. and certain of its executive officers violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 by issuing between April 5, 2007 and February 19, 2010 false and misleading statements.
The Complaint alleges that on February 10, 2010, Electronic Game Card, Inc. postponed a conference call, which was slated to discuss important internal issues at Electronic Game Card, Inc.. The postponement resulted in an immediate sixteen percent drop in stock price. On February 19, 2010, Electronic Game Card, Inc. (“EGC”) announced that: (a) its independent auditors withdrew its audit opinions for EGC’s financial statements for the years ended December 31, 2006, 2007, and 2008; and (b) its financial reporting for the years ended December 31, 2006, 2007, and 2008 as well as its quarterly reports for its first three quarters of 2009 needed to be adjusted and reissued. Also on February 19, 2010, the United States Securities and Exchange Commission halted trading in EGC securities. As a result, class members have suffered substantial damages and their shares are currently illiquid. Electronic Game Card, Inc., located in New York, is a designer and manufacturer of a gaming device. The gaming device is marketed under the name of EGC Electronic GameCard referred to as GameCard. The shape of a pocket GameCard is approximately the size of a credit card, operated electronically by touch and incorporating a microchip and liquid crystal display (LCD) screen showing numbers or icons. EGC designs its GameCards to play game types, formats and prize structures as required by its customers and is building a software library of generic game formats of themes.
Electronic Game Card reported in 2007 Total Revenue of $6.04million with a Net Income of $3.46million and in 2008 Total Revenue of $10.65million with a Net Income of $6.27million. Shares of Electronic Game Card, Inc. (Public, OTC:EGMI) traded recently at $0.88 per share, down from its 52weekHigh of $2.24 per share.

Source: http://www.prlog.org/10559775-electronic-game-card-inc-hit-by-investor-lawsuit.html