Contact me if you are interested in joining a new class action lawsuit.  I am putting together a list of names and damages by Monday to present to the lawyer.  If you wish to remain anonymous until the law firm issues a PR and a deadline to join, I'll just use your message board alias and damages in the list.

 

We are talking to a law firm next week to discuss a new class action lawsuit against Pegasus Wireless Corporation for failing to disclose the convertible debt and risks to shareholders.  The NASD and SEC may also be listed as defendants in the same or separtate lawsuits.  They should be held accountable for gross negligence and incompetence.

 

Class action period will most likely start at the beginning of Q3, 2006 (July 3, 2006) when management allegedly discovered the convertible debt.  We will probably use the 2007--Q2 filing date of August 15, 2007 as the end of the class action period (August 15, 2007).

 

Proposed class action period:
 
July 3, 2006 (Q3-2006 Start) to August 15, 2007 (Q2-2007 filed).
 
Share price range:
 
July 3, 2006 - Close: $44.45, High: $45, Low: $41.45
August 15, 2007 - Close: $0.075, High: $0.088, Low: $0.071 

 

 

Summary of Shares Issued to Pay Convertible Debt
 
2006 Q2: 78,683,859 outstanding shares (pre-split) as of June 30, 2006 (See 10-Q filed on July 25, 2006)
2006 Q3: 26,380,080 shares (pre-split) issued to pay $263,800.80 debt (See 10-Q filed Nov 22, 2006)
2006 Q4: 10,500,000 shares (pre-split) issued to pay $105,000 debt (See 10-K filed April 3, 2007)
2007 Q1: 13,000,000 shares (post-split) issued to pay $130,000 debt (See 10-Q filed May 21, 2007)
2007 Q2: 7,300,000 shares (post-split) issued to pay $73,000 debt (See 10-Q filed August 15, 2007)
 
Source: Company SEC filings at http://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001126752

 

Share dilution due to convertible debt: 26,076,016 shares / 41,908,848 shares = 62.2% of outstanding shares (as of June 30, 2007)

 

Tony - phillypa_65@yahoo.com