Bodisen Biotech reports that New York Federal Court presiding over the eight consolidated class actions against Bodisen and its management grants initial motion to dismiss the cases.
Tuesday, September 30, 2008
SHAANXI, China, September 30, 2008 (PRIME NEWSWIRE) -- Bodisen Biotech, Inc. (the ``Company'') (LSE: BODI.L - News) (Other OTC: BBCZ.PK - News) (website: http://www.bodisen.com) today announced that the New York Federal Court presiding over the eight consolidated class actions against Bodisen and its management granted our initial motion to dismiss the cases.
In addition, the court has notified Bodisen that it also granted our second motion to dismiss, which challenged the subject matter jurisdiction of the court over about 40% of the class and thus sought to reduce the number of potential class plaintiffs significantly. The court has not provided us this written decision, however, we hope to receive it soon.
The court had initially given plaintiffs 20 days to amend the complaint to see if they can fix the defects in the allegations that formed the basis for our motion and the decision of court. However, on September 25, 2008, the court entered an order directing the Clerk of the Court to enter judgment and close the case. On September 26, 2008, the Clerk of the Court entered judgment as follows: "the complaint is dismissed in this action; accordingly, the case is closed."
Mr. Bo Chen, Company CEO and Chairman, stated "we are extremely pleased with the court¡¯s ruling, which gives Bodisen the opportunity to focus on re-building the Company. We have waited a long time and spent a lot of money fighting these suits. We are not 100% cleared of all legal liabilities, however, we are satisfied with the direction these cases are taking. This is all very good news for Bodisen, and we are very happy to get on with our lives."
About Bodisen Biotech, Inc.
Bodisen Biotech, Inc. is a leading manufacturer of liquid and organic compound fertilizers, pesticides, insecticides and agricultural raw materials certified by the Petroleum Chemical Industry Administrative office of China (Chemical Petroleum Production Administrative Bureau), Shaanxi provincial government and Chinese government. The Company is headquartered in Shaanxi province and is a Delaware corporation. The Company's environmentally friendly ``green'' products have been proven to improve soil and plant quality and to increase crop yields.
Safe Harbor Statement
This press release may contain forward-looking statements within the meaning of the ``safe harbor'' provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on the current expectations or beliefs of Bodisen Biotech, Inc. management and are subject to a number of factors and uncertainties, and the outcome of events may differ materially from those described in the forward-looking statements.
Bodisen Biotech, Inc.
Joseph Visconti, U.S. Representative