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Company: Tellium, Inc.
Ticker Symbol: NASD: TELM
Class Period: May 17, 2001 TO February 1, 2002
Court: District of NJ
Date Filed: Jan-16-03
Allegations:
The complaint alleges that defendants failed to disclose that:
(i) Qwest agreed to purchase Tellium products, in return, Qwest executives received lucrative shares of Tellium in conjunction with its IPO, a fact that was not disclosed to the public;
(ii) Qwest did not need the large number of switches they had ordered from Tellium and, in fact, had no strong obligation to purchase more switches in the future and could avoid their contractual obligations with relative ease;
(iii) after issuing positive statements about the Company's financial standing, defendants Bunting and Glassmeyer unloaded large amount of their shares
(iv) and because the Company issued false and misleading statements about Tellium's business and the Qwest contract, the Company's shares have been traded at artificially inflated prices, as high as $29 per share.

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