| Company: | American Business Financial Services, Inc. |
| Ticker Symbol: | NASD: ABFI |
| Class Period: | January 18, 2002 to December 23, 2004 |
| Date Filed: | Jan-18-05 |
| Lead Plaintiff Deadline: | Mar-16-05 |
| Court: | Eastern District, PA |
| Allegations: |
A securities class action was filed in the United States District Court for the Eastern District of Pennsylvania against American Business Financial Services, Inc. ("ABFI" or the "Company") (NasdaqNM:ABFI - News) and certain of its officers and directors. This suit asserts claims on behalf of purchasers of ABFI's notes, subordinated money market notes, subordinated debt securities or subordinated debentures (the "Notes") purchased during the period January 18, 2002 - December 23, 2004 (the "Class Period").
The complaint charges ABFI and certain of its officers and directors with violations of the Securities Act of 1933. ABFI's principal business is to originate, sell and service home equity and purchase money mortgage loans secured by residences.
The complaint alleges that throughout the Class Period, defendants issued registration statements and prospectuses containing untrue statements and material omissions concerning the operations and financial results of the Company. In November - December of 2004 with respect to some or all of the notes, ABFI stopped paying principal or interest on maturity and stopped honoring checks written on ABFI money market accounts.
On December 23, 2004, the Company issued a press release stating in part that the Company currently is unable to make any payments on Notes as they become due. The press release also stated that the Company "may seek protection under the federal bankruptcy laws or may be forced into involuntary bankruptcy." Members of the class have suffered damage as a result with their Notes declining materially in value or becoming worthless.
If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.
The complaint charges ABFI and certain of its officers and directors with violations of the Securities Act of 1933. ABFI's principal business is to originate, sell and service home equity and purchase money mortgage loans secured by residences.
The complaint alleges that throughout the Class Period, defendants issued registration statements and prospectuses containing untrue statements and material omissions concerning the operations and financial results of the Company. In November - December of 2004 with respect to some or all of the notes, ABFI stopped paying principal or interest on maturity and stopped honoring checks written on ABFI money market accounts.
On December 23, 2004, the Company issued a press release stating in part that the Company currently is unable to make any payments on Notes as they become due. The press release also stated that the Company "may seek protection under the federal bankruptcy laws or may be forced into involuntary bankruptcy." Members of the class have suffered damage as a result with their Notes declining materially in value or becoming worthless.
If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.
Register your Case
If you feel you qualify for damages or remedies that might be awarded in this American Business Financial Services class action please fill in our form on the right to submit your complaint.
If you are a current or former employee of this company, and have 401(k) shares, please use this form to register your complaint. Thank you.
