September 30, 2008 - Bodisen Biotech, Inc. (¡°Bodisen¡± or the ¡°Company'') (LSE: BODI.L) (Other OTC: BBCZ.PK) (website: http://www.bodisen.com) today announces that the New York Federal Court presiding over the eight consolidated class actions against Bodisen and its management has granted the Company¡¯s initial motion to dismiss the cases.
In late 2006, various shareholders of the Company filed eight purported class actions in the U.S. District Court for the Southern District of New York against the Company and certain of its officers and directors (among others), asserting claims under the federal securities laws.
The court had initially given plaintiffs 20 days to amend the complaint to see if they could fix the defects in the allegations that formed the basis for the Company¡¯s motion and the decision of court. However, the court subsequently directed that the judgment be entered and the case closed. Accordingly 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."
In addition, the court has notified Bodisen that it also granted the Company¡¯s 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.
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".
About Bodisen Biotech, Inc.
Bodisen Biotech, Inc. is a 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.
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.
0086 29 8707 4957
Charles Stanley Securities (Nominated Adviser)
Richard Thompson / Philip Davies
020 7149 6000
Bodisen Biotech, Inc.
Joseph Visconti, U.S. Representative