February 10, 2007
Class Action Lawsuit Filed Against New Century
HARTFORD, Conn., Feb. 9, 2007 (PRIME NEWSWIRE) — The law firm of Schatz Nobel Izard, P.C., which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the Central District of California on behalf of all persons who purchased or otherwise acquired the publicly traded securities of New Century Financial Corp. (“New Century'’ or the “Company'’) (NYSE:NEW - News) between May 4, 2006 through February 7, 2007, inclusive, (the “Class Period'’).
The Complaint alleges that New Century and certain of its officers and directors violated Federal Securities laws. Specifically, defendants made false and misleading statements and concerning the Company’s operations and financial results for the first three quarters of 2006. New Century is a mortgage finance company that makes a substantial number of residential mortgage loans. It does not hold these loans but sells the loans to banks and investors. The purchasers can require New Century to repurchase loans which become troubled.
