CAR_Public/040621.mbx              C L A S S   A C T I O N   R E P O R T E R

               Monday, June 21, 2004, Vol. 6, No. 121

                          Headlines

ANTI-SPAM LITIGATION: Canadian, Relatives Settle Yahoo! Lawsuit
ARCHER DANIELS: Reaches $400M Pact For Corn Syrup Antitrust Suit
BISYS GROUP: Shareholders File Securities Fraud Suits in S.D. NY
BLACK BOX: Lawsuit Settlement Hearing Set For September 10, 2004
CABLE & WIRELESS: VA Court Dismisses Shareholder Fraud Lawsuit

CABLEVISION SYSTEMS: Lipman & Plesur Lodges Overtime Suit in NY
CARRIER COMMERCIAL: Recalls 16,000 Heaters Due To Injury Hazard
CIVIL SERVICE: Reaches $100M Settlement in Mortgage Penalty Suit
CLASS ACTION BILL: Chamber of Commerce Backs Out of Discussion
CONNECTICUT LIGHT: CT Residents To Sue Over Power Line Project

DREYFUS CORPORATION: Plaintiff Dismisses Mutual Fund Fraud Suit
EL PASO: Pays $570 Million Portion of Gas Prices Antitrust Pact
ENRON CORPORATION: Utility Shows "Proof" of Energy Price-gouging
GUAM: Government Settles Overtime, Tax Credit Lawsuits
HOLOCAUST LITIGATION: Swiss Banks To Release WWII-Era Records

HOLOCAUST LITIGATIN: High Court Orders Review of WWII-Era Suits
HUFFY BICYCLE: Recalls 12T Cranbrook Bicycles For Injury Hazard
INFONET SERVICES: Settlement Hearing Set July 26,2004 in C.D. CA
JOHNSON & JOHNSON: Employee Lodges NJ Race Discrimination Suit
LINN INC.: Recalls 2,157 Amplifiers & Speakers For Fire Hazard

MARTHA STEWART: Govt Witness Denies Charges of Perjury in Trial
MASSACHUSETTS: Inmates Sue Bristol County Sheriff Over Charges
MCI WORLDCOM: Parker & Waichman Offers Free Case Evaluations
NON-PROFIT HOSPITALS: Faces Several Lawsuits Over Charity Care
PETROECUADOR: ChevronTexaco Files Suit With NY Arbitration Panel

QFC INC.: WA Court Allows Lawsuit Over Advantage Card to Proceed
QWEST COMMUNICATIONS: CO Judge Approves $25M Suit Settlement
ROYAL FOOD: Recalls Raw Almonds Due To Salmonella Contamination
SOUTH KOREA: Government Plans To Revise Consumer Protection Act
TENNESSEE VALLEY: Argues For Dismissal of Price Fixing Lawsuit

TOBACCO LITIGATION: FL Court Postpones Oral Arguments in Engle

                   New Securities Fraud Cases

99 CENTS: Chitwood & Harley Lodges Securities Suit in C.D. CA
ALLIANCE GAMING: Charles J. Piven Lodges Securities Suit in NV
KEY ENERGY: Schatz & Nobel Lodges Securities Suit in W.D. TX
LEHMAN ABS: Kirby McInerny Lodges Securities Suit in S.D. NY
LEXAR MEDIA: Murray Frank Launches Securities Lawsuit in N.D. CA

MERIX CORPORATION: Stoll Stoll Lodges Securities Lawsuit in OR
MERIX CORPORATION: Schiffrin & Barroway Files Stock Suit in OR
VICURON PHARMACEUTICALS: Charles Piven Files PA Securities Suit
VICURON PHARMACEUTICALS: Scahtz Nobel Lodges PA Securities Suit


                           *********


ANTI-SPAM LITIGATION: Canadian, Relatives Settle Yahoo! Lawsuit
---------------------------------------------------------------
A Canadian man and two of his relatives settled for an
undisclosed "six figure" sum the lawsuit filed against them for
sending unsolicited e-mail messages to users of Yahoo! Inc.'s
email service, the Associated Press reports.

In March, Yahoo! sued Eric Head, his father and brother,
alleging they ran a huge spamming operation that sent $94
million junk e-mail messages in one month alone to Yahoo! Mail
users.  The allegations focused on Mr. Head, 25, who ran the e-
mail business called Gold Disk Canada from the family home in
Kitchener, Ontario.  He has shut down his operation and become a
drummer in a rock band.

"Eric is out of business," Huey Cotton, a Los Angeles lawyer who
represented the men, told the Associated Press reports. "He's
going to play in a band and find a way to use his knowledge to
help protect kids on the Internet."

The three have settled the lawsuit and agreed to pay Yahoo at
least $100,000, Toronto's Globe and Mail reported in Tuesday's
editions.  The exact amount is confidential, but a lawyer for
the family told the newspaper it was "six figures." The
settlement was reached several weeks ago and approved by a judge
on Thursday.

In a statement, Mr. Head expressed regret.  "I urge everyone who
is involved in the commercial bulk e-mail business to cease all
operations unless and until they are completely compliant with
the requirements of the new United States anti-spam laws," he
said, according to an AP report.


ARCHER DANIELS: Reaches $400M Pact For Corn Syrup Antitrust Suit
----------------------------------------------------------------
Archer Daniels Midland Co. reached a $400 million settlement for
a federal antitrust suit, charging it with conspiring to fix the
price of high fructose corn syrup, the Associated Press reports.

The suit was filed after the government investigated the
Company's role in a price-fixing scandal involving the livestock
feed supplement lysine and citric acid, used in food, detergents
and other products.  20 corn syrup buyers filed the suit in the
United States District Court in Peoria, Illinois, alleging that
the Company's actions cost them $1.6 billion.  Plaintiffs
included the Coca-Cola Co. and PepsiCo.

The jury trial for the suit was set for September and the
Company could have faced damages of nearly $5 billion, as jurors
could have tripled any award if they found the company
responsible.  The settlement could potentially extend to about
2,700 plaintiffs who bought the corn-based sweetener from 1991
to 1995.

"We are pleased to have reached a resolution with our customers
in the food and beverage industries," G. Allen Andreas, chairman
and CEO of Decatur, Ill.-based ADM, said in a statement late
Thursday, AP reports.  "In light of the potential exposure
inherent in litigation, the board of directors concluded that it
was in the best interests of the company to dispose of this
matter."


BISYS GROUP: Shareholders File Securities Fraud Suits in S.D. NY
----------------------------------------------------------------
The Bisys Group, Inc. and certain of its current and former
officers face several securities class actions filed in the
United states District Court for the Southern District of New
York, following the Company's May 17, 2004 announcement
regarding the restatement of its financial results.

The complaints purport to be brought on behalf of all
shareholders who purchased the Company's securities between
October 23, 2000 and May 17, 2004.  The complaints generally
assert that the Company and certain of its officers allegedly
violated the federal securities laws in connection with the
purported issuance of false and misleading information
concerning the Company's financial condition.  The complaints
seek damages in an unspecified amount against the Company.


BLACK BOX: Lawsuit Settlement Hearing Set For September 10, 2004
----------------------------------------------------------------
The United States District Court for the Western District of
Pennsylvania will hold a fairness hearing for the proposed
settlement for the class action filed against Black Box
Corporation on behalf of all persons who purchased the common
stock of the company during the period from October 15, 2002
through and including March 11, 2003.

The Court has scheduled a fairness hearing to approve the
proposed settlement before the Honorable William L. Standish,
United States District Judge, at the United States Courthouse
for the Western District of Pennsylvania, 829 U.S. Courthouse,
Pittsburgh, PA 15219 at 2:30 p.m., on September 10, 2004.

For more details, contact In re Black Box Securities Litigation
by Mail: c/o The Garden City Group, Inc. - Claims Administrator
P.O. Box 9000 #6224, Merrick, NY  11566-9000 or by Phone:
866-808-3586 OR Samuel H. Rudman, Esq. of Geller Rudman, PLLC by
Mail: 200 Broadhollow Rd., Suite 406 Melville, NY 11747 by
Phone: 631-367-7100 OR Gregory Castaldo, Esq. of Schiffrin &
Barroway, LLP by Mail: Three Bala Plaza East, Suite 400, Bala
Cynwyd, PA 19004 by Phone: 610-667-7706


CABLE & WIRELESS: VA Court Dismisses Shareholder Fraud Lawsuit
--------------------------------------------------------------
The United States District Court for the Eastern District of
Virginia dismissed the securities class action filed against
U.K. carrier and internet services group Cable and Wireless
(UK:CW) (CWP), Reuters UK reports.

Investors in the United States filed a class action suit against
C&W in December 2002 alleging that it failed to disclose a huge
potential tax liability and accusing the firm of issuing false
and misleading statements that cost investors dearly.


CABLEVISION SYSTEMS: Lipman & Plesur Lodges Overtime Suit in NY
---------------------------------------------------------------
The law firm of Lipman & Plesur, LLP on behalf of a former call-
center employee has initiated a lawsuit seeking class action
status in the U.S. District Court in Central Islip against his
former employer Cablevision Systems Corporation, Newsday.com
reports.

Robert Wolfson, 43, who worked in the company's Woodbury call
center for nearly three years, says he wasn't being paid for the
time it took to get his customer service computer up and running
to answer calls.

In the suit he also claims that the Cablevision refused to pay
him for work he was required to perform before and after his
shift, including booting up his computer and opening the
programs necessary to start his shift, which he terms as "off-
the-clock" tasks.

The "off-the-clock" tasks could take 15 to 20 minutes, Wolfson
said, because he had to find a workstation, log on and open
about 20 programs so that he could begin helping customers by
his 11 a.m. start time. If employees weren't set up and ready to
take calls, their performance appraisals would suffer, he said,
reports Newsday. To remedy this Wolfson arrived early to get set
up but claimed supervisors refused to pay him for the time.

The extra time often pushed his workweek over 40 hours, making
him eligible for overtime, according to the complaint and one of
his lawyers, Robert D. Lipman of Lipman & Plesur in Jericho.

Attorney Robert D. Lipman also stated that the suit could
involve at least 1,000 employees at Cablevision call centers
throughout the tri-state area and millions of dollars in back
wages.

For more details, contact Robert D. Lipman of Lipman & Plesur by
Mail: 500 N. Broadway, Suite 105, Jericho, NY 11753 by Phone:
516-931-0050 or visit their Web site:
http://www.lipmanplesur.com/index.html


CARRIER COMMERCIAL: Recalls 16,000 Heaters Due To Injury Hazard
---------------------------------------------------------------
Tyler Refrigeration, of Waxahachie, Texas, a division of Carrier
Commercial Refrigeration Inc., of Charlotte, N.C. and Electro-
Heat Inc., of Allegan, Mich. is cooperating with the United
States Consumer Product Safety Commission by voluntarily
recalling about 16,000 Defrost heaters used in grocery store
frozen food cases.

Moisture building up pressure inside the defrost heater can
cause it to forcefully eject from the frozen food case, possibly
injuring bystanders. Carrier Commercial Refrigeration Inc. has
reports of four incidents where the defrost heater forcefully
ejected, and in two instances, the defrost heater penetrated
through the end of the frozen food case. In one incident, a
consumer's leg was broken.

The recalled defrost heater was used in Tyler's "wide island"
frozen food end cap cases in grocery stores. The recalled
defrost heaters (which are not visible to consumers) are
Electro-Heat Defrost Heater Model 51957100. The Tyler wide
island frozen food end cap cases with the recalled heaters are
models NCE, NFE, NGE, NCGE, NFJEA, NCJEA, NCJGEA and NFJGEA. The
model and serial number is located on the data plate, which is
on the front inner panel of the case.

Made in the U.S.A. the defrost heaters were sold to grocery
stores nationwide who use these wide island frozen food end cap
cases with defrost heaters to display food items. The cases were
sold by Tyler Refrigeration from the mid-1970s to the present.

Tyler will replace the recalled defrost heater with a Cal-rod
hairpin style heater in all wide island frozen food and ice
cream end cap cases.

For more details, contact Tyler Refregiration by Phone:
(800) 992-3744 x804 between 8 a.m. and 5 p.m. ET Monday through
Friday or visit their Web site:
http://www.tylerrefrigeration.comOR Margaret Gan-Garrison by
Phone: (860) 674-3370.


CIVIL SERVICE: Reaches $100M Settlement in Mortgage Penalty Suit
----------------------------------------------------------------
The Civil Service Cooperative Credit Union, Limited (the "CS CO-
OP") has reached a $100 million settlement with consumers
concerning the amount of penalty applied when they paid out
their mortgages in order to complete the sale of their homes,
the Canada Newswire reports.

The lawsuit, one of eleven initiated against Canadian financial
institutions by the law firms of Farah & Associates and Koskie
Minsky LLP, is based on a homeowner's standard contractual right
to pay off a percentage of their mortgage balance (usually
between 10% and 20%) during a calendar year without being
charged a penalty by their bank or mortgage company.

Most banks are not crediting homeowners with the interest free
prepayment amount when calculating the three-month penalty on
the mortgage payout. For a $200,000 mortgage, this credit
represents an average savings to a homeowner of approximately
$500.

"This settlement is an important victory for consumers, who rely
on fairness and transparency in their dealings with financial
institutions" said Sue Lott, a lawyer with the Public Interest
Advocacy Centre (PIAC), an organization representing consumer
interests that has been closely following this action. Unlike
the rest of Canada's financial institutions, the Royal Bank of
Canada automatically credits this prepayment right. "Consumers
have a right to expect that all financial institutions meet
their obligation to set out in good faith the terms of the
mortgage contract, including this prepayment right when their
mortgage is discharged."

"We are also very pleased to see that the Law Foundation of
Ontario, which operates a class proceedings fund, provided
funding to support this worthy action" added Sue Lott.


CLASS ACTION BILL: Chamber of Commerce Backs Out of Discussion
--------------------------------------------------------------
The U.S. Chamber of Commerce has changed its mind about
participating in a discussion in front of reporters with Public
Citizen, a nonprofit consumer advocacy organization based in
Washington, about a radical, anti-consumer overhaul of the class
action system that the Chamber is trying to push through
Congress.

The measure, which is likely to come to a vote soon in the U.S.
Senate, would dramatically curtail the rights of consumers to
pursue state-law class action claims by shifting most of them to
federal courts, which in many instances are far less
advantageous for consumers.

Because the legislation is so significant, Public Citizen
President Joan Claybrook in March invited Chamber President Tom
Donohue to a debate in front of the national press. The idea was
to bring together the heads of two organizations with a great
interest and activity in the issue, and to exchange views to
help journalists better understand the reasons for supporting or
opposing bill.

A tentative date had been set in mid-June that was apparently
good for both Donohue and Claybrook. Later, though, the
Chamber's staff canceled with no explanation.

"It is very telling that the Chamber, which is vigorously
working behind the scenes to push this radical measure, refuses
to discuss the pros and cons in front of the national press,"
Claybrook said. "What does the Chamber fear? If Tom Donohue
backs this bill, he owes the public an explanation as to why."

For more details, visit the Public Citizen Web site:
http://www.citizen.org


CONNECTICUT LIGHT: CT Residents To Sue Over Power Line Project
--------------------------------------------------------------
Connecticut Light & Power faces a possible class action to be
filed by several hundred residents in Wilton, Connecticut, over
the utility's plan to put up power lines that will run from
Bethel to Norwalk, News12 The Bronx reports.  Construction is
scheduled to start on July 1.

Residents say they were led to believe the lines would run
underground and away from their homes.  They now say that some
of the power lines will run above ground, near their homes.
They are concerned about electro-magnetic fields and the
associated health risks, and about possible declining property
values.


DREYFUS CORPORATION: Plaintiff Dismisses Mutual Fund Fraud Suit
---------------------------------------------------------------
Plaintiffs voluntarily dismissed the class action filed against
The Dreyfus Corporation in the United States District Court in
Manhattan, New York, alleging the charging of excessive fees on
mutual funds closed to new investors.  In late 2003, investor
Milton Pfeiffer filed the suit, seeking to recover 12b-1 fees.

The Company successfully demonstrated to the plaintiff that it
had complied with Rule 12b-1, under which fees may legitimately
be charged to funds that are closed to new investors.

"What seems to be often misunderstood is that 12b-1 fees on
Class B shares reimburse the distributor for sales commissions
that the distributor advances to intermediaries who sell fund
shares.   Since it generally takes six years for the distributor
to recoup the commissions it has paid out upfront, the
distributor -- when a fund closes -- is entitled to be
reimbursed for amounts it has advanced.  In addition, 12b-1 fees
support marketing and shareholder servicing activities critical
for a fund to maintain its asset size," the Company said in a
statement.

The Dreyfus Corporation is a subsidiary of Mellon Financial
Corporation (NYSE: MEL), a global financial services company.
For news and other information about Mellon, visit the Website:
http://www.mellon.com.


EL PASO: Pays $570 Million Portion of Gas Prices Antitrust Pact
---------------------------------------------------------------
El Paso, a natural gas and energy products provider has paid
$570 million dollars in cash as part of a partial settlement in
a class action lawsuit, Forbes.com reports.  The suit alleges
that the Company illegally helped drive up natural gas prices in
Western states during the power crisis of 2000 and 2001.

Starting this July, El Paso is set to release the first of 40
semi-annual payments to the settlement parties that will total
about $876 million over the length of the obligation.  Under a
second settlement agreement, scheduled to take effect by the end
of June, El Paso will make cash payments of about $34 million.
This payment will affect the company's cash position.

In June 2003, El Paso signed two definitive agreements to settle
claims with California class action litigants and the attorneys
general of California, Washington, Oregon and Nevada, among
others.  In exchange for admitting no wrongdoing, the company
agreed to multiple financial payouts and reduced pricing.


ENRON CORPORATION: Utility Shows "Proof" of Energy Price-gouging
----------------------------------------------------------------
The Snohomish Public Utility District released audiotapes and
documents early this week showing how Enron Corporation
manipulated the California energy market during the 2000 to 2001
power crises, and gouged Western America customers for at least
$1.1 billion, the Associated Press reports.

The latest release showed a glimpse into how the fallen energy
giant allegedly manipulated the market as millions of California
residents suffered from blackouts and expensive electric bills.
The records show that the Company manipulated the market on 473
of 537 days from January 2000 to June 2001, the utility said.

The Company reportedly employed five schemes, labeled
"sidewinder," "ping pong," "donkey punch," "spread play," and
"Russian roulette."  In one scheme, Enron reportedly made
$222,678 in a three-hour period by shipping power from
California to Oregon, masking the original source of the power,
and then selling it back to California at highly inflated rates.

In one of the transcripts, an Enron employee says, "If the
line's not congested I just look to congest it . If you can
congest it, that's a moneymaker no matter what."  The documents
also show that Enron maintained five separate sets of accounting
records.  Last month, the utility released details of
conversations between Enron traders, where they gleefully
gloated about ripping off "those poor grandmothers" in
California during the power crisis.

The utility analyzed the records to defend itself against a $122
million lawsuit filed by the energy giant, accusing the district
of illegally breaking its contracts with the company.  The
utility claims the contract was void because Enron engaged in
fraudulent business practices to drive up prices.

The utility is asking an administrative law judge to order the
energy giant to surrender up to $2 billion in ill-gotten gains.
California politicians want Enron to reimburse customers there
at least $8.9 billion.

Enron refused to comment on the records except to say it is
cooperating with all investigations.  Energy traders routinely
keep tapes of their phone calls as a record of oral contracts,
AP reports.

Sen. Maria Cantwell, D-Washington, used the evidence to demand a
new investigation by the Federal Energy Regulatory Commission.
She said the agency's failure to uncover Enron's schemes wound
up hurting thousands of customers and that the commission tried
to keep the utility district from getting access to Enron's
tapes.

"When are you going to give justice to the individuals who have
been hurt by this Enron market manipulation?" Ms. Cantwell
asked. "If the federal oversight regulators aren't going to do
their job, then they should get out of the way and quit
obstructing justice."

FERC spokesman Bryan Lee said the agency would review the
documents to see what new information they contained. He denied
that the agency had tried to suppress any information.  An
administrative law judge's finding that Enron should forfeit
$32.5 million in unjust profits is pending before FERC.


GUAM: Government Settles Overtime, Tax Credit Lawsuits
------------------------------------------------------
The local government in Guam is paying out $2.7 million in
overtime payments owed to Guam Police Department, Guam Fire
Department and Department of Corrections personnel, the Pacific
Daily News reports.

Acting Guam Gov. Kaleo Moylan announced that the payments were
possible due to the expected influx of cash from business
license renewals this month.  "This is the first time in many
years that this government has come current with its overtime
obligations," the acting governor told the Pacific Daily News.
"Once those payments have been made, the attorney general's
office will withdraw its case."

Attorney General Douglas Moylan's office filed a lawsuit in the
Superior Court of Guam on May 13 to compel the local government
to pay long-overdue overtime to law enforcement personnel.  The
lawsuit also asked the court to stop the government from
authorizing overtime unless funds are available.  Gov. Felix
Camacho and Treasurer of Guam Y'Asela Pereira were named
defendants in the lawsuit.

"The settlement agreements show the commitment of your leaders
to work together for the greater good of our island," the acting
governor said.

The acting governor also announced an agreement to settle a
class-action lawsuit on the government's failure to pay years of
Earned Income Tax Credit refunds to the island's thousands of
low-income taxpayers.

Under the settlement, the local government will put aside $20
million to pay 2004 tax credits in full, and will continue to do
so in future years. Taxpayers will not see this money until
after the tax filing season next year, which ends April 15.


HOLOCAUST LITIGATION: Swiss Banks To Release WWII-Era Records
-------------------------------------------------------------
Swiss banks have agreed to release records of thousands of World
War II-era accounts that may belong to victims of the Holocaust,
the Associated Press reports.

The Holocaust survivors have accused the Swiss banks of
stealing, concealing or sending to the Nazis millions of dollars
worth of Jewish holdings and destroying bank records to cover
the paper trail.  A $1.25 billion settlement was forged in 1998
, with $800 million allocated to Jews who had accounts in Swiss
banks or to their heirs.  However, only about $154 million has
been distributed, because the account holders and their families
were no longer alive.  Some experts also asserted that the Swiss
banks were also at fault as they resisted further disclosure
after releasing more than 20,000 names.

More than 30,000 people have claims pending before a tribunal
charged with disbursing settlement funds to legitimate
claimants.  Some 2,000 claims have been found justified.
Claimants could receive roughly $270 million.

A lawyer for Nazi victims who sued the banks said the agreement
could allow the victims or their descendants to obtain hundreds
of millions of dollars in unclaimed funds.  The banks' refusal
to release the records had angered Holocaust survivors and
infuriated a federal judge overseeing the case, AP reports.

The present agreement could resolve much of the contention
between the banks and Holocaust survivors.  It is expected to be
sent to Switzerland for final approval as early as Thursday.  If
Swiss banking authorities approve the agreement, Credit Suisse
and UBS AG will publish the names of 3,000 accounts opened
during the Nazi era.  They will open databases of Nazi-era
accounts for comparison with a list of thousands hoping to
recover family assets from Swiss banks.  A claims resolution
center will open in New York to ease the process.

By the estimation of Burt Neuborne, a lawyer for the survivors,
the agreement reached this week could drive the number of
successful claims far higher, the Associated Press states.


HOLOCAUST LITIGATIN: High Court Orders Review of WWII-Era Suits
---------------------------------------------------------------
The United States Supreme Court ordered a lower appellate court
to reconsider its ruling allowing a lawsuit filed against the
French national railroad Societe Nationale des Chemins de Fer
Francais, for its role in transporting more than 70,000 Jews and
others to Nazi concentration camps during World War II, the
Associated Press reports.

The lawsuit alleges that the railroad delivered 72,000
"passengers" to their deaths during World War II, billing per
person per kilometer.  Stephen Rodd of New York, one of the
attorneys representing the survivors, said the railroad's
conduct assisted in war crimes.  He urged the court not to delay
the case, because witnesses are growing older or dying.

The appeals court ruled that the French railroad was not
protected from litigation in the United States.  The defendant
appealed the ruling.  New York attorney Andreas Lowenfeld told
justices that a multitude of old claims could deluge courts, if
the court did not stop them.

The case was one of four that justices sent back for more
consideration in light of their ruling last week that a federal
law allows American courts to hear old disputes over such things
as wartime looted property, unless the suits are barred by
treaties.  The other cases involve claims that women were used
by Japan during World War II as sex slaves, that Austria is
responsible for stolen art and that Poland took Jewish families'
land.

In the case against Japan, an appeals court had ruled that Japan
was protected from a lawsuit by 15 women from China, Taiwan,
North and South Korea and the Philippines, who claim that Japan
should pay damages for trafficking in women and girls.  They
contend they were among about 20,000 who were used as "comfort
women" for Japanese soldiers during the war.  The lawyer for the
women said one was 10 when she was kidnapped and enslaved, and
the others ranged in age from 13 to 26.

The Austrian art case is a class action filed by people seeking
to recover property they claim was stolen by the Nazis, with
Austria's help. Poland is accused of taking land after World War
II from Jewish families who had fled the country.

Those two cases, along with the French railroad case, return the
2nd U.S. Circuit Court of Appeals in New York. The U.S. Court of
Appeals will consider the lawsuit against Japan for the District
of Columbia Circuit.


HUFFY BICYCLE: Recalls 12T Cranbrook Bicycles For Injury Hazard
---------------------------------------------------------------
The Huffy Bicycle Company, of Springboro, Ohio is cooperating
with the United States Consumer Product Safety Commission by
voluntarily recalling about 12,000 Huffy "Cranbrook" Bicycles.

The handlebar could unexpectedly loosen causing the rider to
lose control of bicycle.

The recall involves single-speed "Cranbrook" bicycles with 26-
inch wheels. The bicycles were sold in both men's (model 56462)
and ladies' (model 56472) style frames. The name "Cranbrook" is
printed on the frame of the bicycle. Serial numbers included in
the recall range from SNHHE04C52556 to SNHHE04C64557. Serial
numbers and model numbers are located on the bottom bracket of
the frame, where the crank is attached to the bicycle.

The bicycles, which were made in China were sol at Wal-Mart
stores nationwide from April 2004 through May 2004 for about
$80.

Consumers should stop using the bicycles and contact Huffy
Bicycle to determine if the product is a part of the recall.
Consumers will receive a free replacement handlebar and stem.

For more details, contact Huffy Bicycle by Phone: (888) 366-3828
between 8 a.m. and 4:30 p.m. ET Monday through Friday or visit
their Web site: http://www.huffybikes.com


INFONET SERVICES: Settlement Hearing Set July 26,2004 in C.D. CA
----------------------------------------------------------------
The United States District Court for the Central District of
California has scheduled for July 26,2004 the final fairness
hearing for the settlement of the consolidated securities class
action against Infonet Services Corporation and several of its
current and former officers and directors, styled "In re Infonet
Services Corporation Securities Litigation, Master File No. 01-
10456 NM."

The suit, filed on behalf of public investors who purchased our
securities during the period from December 16, 1999 through
August 7, 2001, names as defendants the Company and:

     (1) Jose A. Collazo, Chief Executive Officer and Chairman
         of the Board,

     (2) Akbar H. Firdosy, Chief Financial Officer,

     (3) Douglas Campbell,

     (4) Eric M. de Jong,

     (5) Morgan Ekberg,

     (6) Masao Kojima,

     (7) Joseph Nancoz,

     (8) Rafael Sagrario,

     (9) KDDI Corporation,

    (10) KPN Telecom,

    (11) Swisscom AG,

    (12) Telefonica International Holding B.V.,

    (13) Telia AB,

    (14) Telstra Corporation Ltd,

    (15) Merrill Lynch & Co.,

    (16) Warburg Dillon Read LLC,

    (17) ABN AMRO Inc.,

    (18) Goldman Sachs & Co.,

    (19) Lehman Brothers Inc. and

    (20) Salomon Smith Barney Inc.

The suit alleges that defendants made misrepresentations and
omissions regarding the AUCS channel in the Company's Form S-1
registration statement and the accompanying prospectus for its
initial public offering of Class B common stock and in other
statements and reports during the class period.  The plaintiffs
assert counts against the Company and its officers and directors
for violations of Sections 11, 12 and 15 of the Securities Act
of 1933 and violations of Section 20(a) and 10(b) of the
Securities Exchange Act of 1934 and Rule 10b-5 promulgated
thereunder.

The plaintiffs have requested a judgment determining that the
lawsuit is a proper class action, awarding compensatory damages
and/or rescission, awarding costs of the lawsuit and awarding
such other relief as the court may deem just and proper.  All of
the defendants filed motions to dismiss the consolidated suit.

On August 12, 2003, the Court ruled on the motions to dismiss,
dismissing the underwriters and Class A stockholders without
leave to amend, and dismissing the Company and its officers and
directors with leave to file an amended complaint.  Plaintiffs
filed an Amended Consolidated Class Action Complaint on October
3, 2003, to which defendants responded with a motion to dismiss
filed on December 5, 2003.

The parties have entered into a settlement of the federal
securities litigation, which is subject to approval by the
Court.  Under the settlement, all claims will be dismissed, the
defendants will obtain releases of liability, and the litigation
will be terminated in exchange for a cash payment of $18 million
by the defendants.  On April 16, 2004, the Court preliminarily
approved the settlement and certified a settlement class
including persons who purchased Infonet common stock between
December 16, 1999 through August 7, 2001, except for defendants
and certain other related persons.


JOHNSON & JOHNSON: Employee Lodges NJ Race Discrimination Suit
--------------------------------------------------------------
Johnson & Johnson (JNJ) faces a complaint filed with the Equal
Opportunity Employment Commission in Newark, New Jersey,
charging the company with racial discrimination.

Brenda Matthews filed the suit, alleging the Company
discriminated against her by denying her a position as a
paralegal because of her credit rating.  In the complaint she
says she was offered a job as a legal assistant in the company's
patent office in October 2003, only to have the offer rescinded
following a credit check.

Lawyers for Ms. Matthews, 27, of Newark, assert that blacks
historically have had fewer opportunities to obtain credit, and
that using credit among hiring criteria amounts to racial
discrimination.  Ms. Matthews' lawyers, who include Bill Lan
Lee, a former assistant U.S. attorney general for civil rights,
say there is no data linking credit ratings to job performance.

A separate lawsuit pending against Johnson & Johnson in U.S.
District Court in New Jersey charges that the company's policies
and practices have kept black and Hispanic employees out of
executive positions. Compared with white workers, the suit
alleges, blacks and Hispanics receive lower salaries and fewer
merit increases, cash bonuses, stock awards and stock options.


LINN INC.: Recalls 2,157 Amplifiers & Speakers For Fire Hazard
--------------------------------------------------------------
Linn Inc., of Jacksonville, Fla. is cooperating with the
United States Consumer Product Safety Commission by voluntarily
recalling about 2,157 units of Linn Power Amplifiers and Linn
Melodik Bass Extension Loudspeaker System.

The amplifier's capacitors can overheat, blow a fuse, and damage
the products to which they are connected, presenting a fire
hazard. Among the 70 reported incidents, there were two reports
of heat damage to the cover of the connected speakers. No
injuries reported.

The Linn AV5150 2-Channel Power Amplifier comes in black or
silver and is 3 inches by 15 inches by 14 inches; all serial
numbers of this model are recalled. The Linn LK240 Single-
Channel Power Amplifier comes in black or silver and is 3 inches
by 12 « inches by 12 _ inches; all serial numbers of this model
are recalled. The Linn AV5150 Melodik Bass Extension Loudspeaker
System comes in black ash, American cherry, or maple and is 19
inches by 25 inches by 19 inches; only serial numbers 1001 to
714451 are recalled. The model numbers and serial numbers are on
the front panel, printed on the bottom of the product, or on the
control panel near the main power supply.

Made in Scotland, the units were sold at Specialty retail stores
throughout the U.S. and Canada from May 1996 through December
2003 for about $1895 (AV5150); $1300 (LK240); and $4265-$4950
(AV5150 Melodik).

Consumers should stop using the amplifiers immediately and
contact Linn Inc. at (800) 595-6770 for information on how to
obtain free repair of the recalled product.


MARTHA STEWART: Govt Witness Denies Charges of Perjury in Trial
---------------------------------------------------------------
A government witness in the criminal trial of domestic
trendsetter Martha Stewart over charges of conspiracy pleaded
not guilty to charges that he lied and committed perjury at the
trial, Reuters reports.

U.S. Secret Service laboratory director Larry Stewart faces two
counts of perjury after he testified as an expert witness about
ink on a worksheet kept by Ms. Stewart's stockbroker.  Mr.
Stewart, not related to Martha Stewart, testified that he was
involved in examinations of the worksheet.

However, court documents said he was only consulted briefly and
did not do the actual work.  Prosecutors said they had learned
from Secret Service employees that Mr. Stewart had not done the
actual testing.  Lawyers for Ms. Stewart have asked for a new
trial, saying the verdict against their client was "corroded" by
the testimony.

Mr. Stewart's lawyer believes that the jury will acquit her
client, who she said has been a "dedicated public servant" for
25 years.  "He stands behind the work he did in this case. He
stands behind the testimony he gave in the case," defense lawyer
Judith Wheat said, Reuters reports.  "Our position is that Mr.
Stewart's testimony was truthful."

Federal prosecutors have said charges against Larry Stewart
would not affect the convictions of Martha Stewart and her
former broker Peter Bacanovic.

Mr. Stewart is scheduled to stand trial on September 20.  Ms.
Wheat told U.S. District Judge Denny Chin that she would file a
motion to have the venue moved to Washington, D.C., from New
York.  The judge said it was unlikely he would grant the motion.

Martha Stewart, 62, who built a media empire on tips for
gracious living, was found guilty in March of lying to
investigators over her suspicious stock sale in biotech company
Imclone Systems, Inc. in December 2001.  Prosecutors said she
was tipped that ImClone's founder, Sam Waksal, was dumping his
shares. The defense said there was a preexisting deal to sell
her shares if the price fell to $60.

Ms. Stewart is expected to face time in prison, Reuters reports.
She is due to be sentenced next month.


MASSACHUSETTS: Inmates Sue Bristol County Sheriff Over Charges
--------------------------------------------------------------
The Taunton Superior Court in Massachusetts heard the class
action filed against Bristol County Sheriff Thomas Hodgson by
inmates in the county, who are opposing the policy of making
them pay for their incarceration, turnto10.com reports.

The County charges inmates $5 a day for housing and collects
fees for such things as rent, haircuts, and dental and medical
care.  The taxpayer-funded Correctional Legal Services filed the
suit, alleging that the fees are unconstitutional, and calls
them an invalid and unauthorized tax.  CLS attorney Jim Pingeon
said any fees must be set by the state commissioner of
correction, not imposed by sheriffs, turnto10.com reports.

Sheriff Hodgson says sheriffs have clear powers of independence
and are elected to find ways to reduce the burden on taxpayers
of taking care of prisoners.


MCI WORLDCOM: Parker & Waichman Offers Free Case Evaluations
------------------------------------------------------------
The law firm of Parker & Waichman LLP is offering free case
evaluations to all current and former MCI WorldCom (Pink
Sheets:MCIA) shareholders who purchased shares between April 29,
1999 and June 25, 2002.

Parker & Waichman believes that the proposed MCI/WorldCom
settlement offer does not provide sufficient compensation. The
firm continues to believe that many current and former
MCI/WorldCom shareholders may benefit from opting out of the
class action to pursue individual claims.

Current and former shareholders who desire to opt-out of the
proposed settlement must submit the opt-out form or required
information before the opt-out deadline. This will permit them
to pursue individual claims against the defendants. Current and
former WorldCom and MCI shareholders who do not specifically
opt-out of the class action by filing the required form or
information are automatically included in the proposed
settlement.

The previous February 20, 2004 opt-out deadline has been
extended. While no new opt-out deadline has been announced, it
is believed that a new opt-out deadline announcement is
imminent.

For more details, contact David Krangle, Esq. of Parker &
Waichman, LLP by Phone: (800) LAW-INFO ((800) 529-4636) by E-
mail: dkrangle@yourlawyer.com or visit their Web site:
http://www.yourlawyer.com


NON-PROFIT HOSPITALS: Faces Several Lawsuits Over Charity Care
--------------------------------------------------------------
Some of the country's largest nonprofit hospitals faces several
class actions, alleging that they distorted the extent of their
charity care while using punishing tactics to obtain payments
from uninsured patients, the dailycamera.com reports.

Mississippi attorney Richard Scruggs filed the suit, seeking
monetary damages over the hospital's alleged failure to comply
with the agreements between the medical facilities and the
federal, state and county governments.  The suit primarily
alleges that the hospitals, located in eight states, failed to
provide charitable medical care to poor patients in exchange for
enjoying tax exemptions.  Named in the suit are hospitals in:

     (1) Illinois,

     (2) Minnesota,

     (3) Ohio,

     (4) Texas,

     (5) Georgia,

     (6) Alabama,

     (7) Florida and

     (8) Tennessee

The suit alleges that these hospitals used "creative" accounting
practices to "grossly distort the small amount of charity care
they provide to uninsured patients."   The lawsuits, filed on
behalf of uninsured patients of the hospitals, also allege that
in addition to amassing millions from savings on unpaid taxes,
the hospitals benefit from income from their "for profit"
operations.

"Instead, the hospitals charge the uninsured 'sticker' prices
for health care, an amount higher than any other patient group,
and then, when the uninsured can't pay, harass the uninsured
through, among other tactics, aggressive collection efforts such
as garnishment of wages and bank accounts, seizures of homes,
and personal bankruptcies," Mr. Scruggs told dailycamera.com.

Alicia Mitchell, a spokeswoman for the American Hospital
Association, told dailycamera.com that her office had just
received a copy of one of the suits and that it was being
reviewed.

"But from our view, this lawsuit is baseless and misdirected,"
she said.  "It diverts focus from the real issue of how we as a
nation are going to extend health coverage to all Americans."
She added that she was concerned that the suit would "consume
already limited health care resources that hospitals need to
continue their daily work of caring for uninsured and all other
patients in their communities."

Mr. Scruggs said the complaint has been brought by a group of
lawyers from law firms across the country, many of whom have
worked together in the tobacco litigation cases.  He said
additional, similar lawsuits were in the works.


PETROECUADOR: ChevronTexaco Files Suit With NY Arbitration Panel
----------------------------------------------------------------
US oil giant ChevronTexaco (NYSE: CVX) has initiated a lawsuit
with an arbitration panel in New York against Ecuador's state
oil company Petroecuador, the BNamericas reports.

ChevronTexaco is facing a billion dollar class action lawsuit in
Ecuador over alleged environmental damage by its former
subsidiary Texaco Petroleum (TexPet) in upstream operations in
the Amazon jungle between 1972 and 1992, and it now wants
Petroecuador to assume responsibility for the costs in that
case. In a 1998 agreement Petroecuador and the Ecuadorian
government released Texpet from any legal obligations after it
completed its share in the clean up work.

Petroecuador will officially be served notice of the arbitration
in the next few days and then both sides can begin to appoint
arbitrators in the case, Jaime Varela, the ChevronTexaco
executive who is supervising the company's case in Ecuador, told
BNamericas.

"Our position is basically we cleaned what we had to and
whatever is left there to clean is the responsibility of the
national oil company of Ecuador, and we should not be sued for
someone else's liability," Varela said.

The panel could take a little over a year before ruling on the
case, Varela said, adding that the decision in New York is
expected before a decision on the class action case in Ecuador,
where site inspections by the court are set to begin in July-
August.


QFC INC.: WA Court Allows Lawsuit Over Advantage Card to Proceed
----------------------------------------------------------------
The King County Superior Court in Washington allowed the lawsuit
filed against grocery story QFC, over its failure to notify a
customer about meat she purchased from the store that could have
been tainted with Mad Cow disease, KOMO 4 News reports.

Customer Jill Crowson of Clyde Hill, Washington accused the
grocery store of being negligent about warning customers,
especially that she had the QFC Advantage Card, which tracks her
purchases, name, address and phone number.  She is seeking omeny
for medical monitoring and emotional distress.

The Company moved to dismiss the suit, but Judge William Downing
allowed Ms. Crowson to proceed with her claim that QFC was
liable because of the store's role as a product seller.
However, he granted QFC's motion to dismiss Crowson's two other
claims that QFC was liable as a product manufacturer because it
ground the potentially tainted meat from its supplier.


Steve Berman, attorney for Ms. Crowson, told KOMO 4 News the
outcome of this lawsuit could force not only QFC, but all
retailers who use these cards to tap into your purchase
information for reasons other than making a sale  "I think it's
the first of it's kind," said attorney Steve Berman, adding the
case could be precedent-setting.

He likened loyalty card data bases to the information car
manufacturers use to alert you about safety recalls.  "This is
no different," he said.  "Now that the retailers like this have
armed themselves with the same information as car manufacturers
have for their own benefit, when it's not to their benefit and
they have the tools to notify people, they should."

The Company still has the option to appeal.  A spokesman says
they cannot comment on what obviously is an ongoing legal
dispute.

Safeway spokeswoman Cherie Meyers told KOMO 4 News, "The best
outlet (to reach possibly affected customers) is going to the
media first, and use television, radio, and newspapers. No
matter how much (information) you have in the database, the best
way to immediately reach customers is through the news media."

The lawsuit involves the store's overall responsibility to
consumers, and does not single out the data in loyalty cards,
but Ms. Crowson's attorney says the cards are a big part, and he
eventually wants to make this a class action lawsuit.


QWEST COMMUNICATIONS: CO Judge Approves $25M Suit Settlement
------------------------------------------------------------
Denver, Colorado District Judge Lawrence Manzanares approved a
$25 million settlement for five shareholder lawsuits against
Qwest Communications and its officers, including Joe Nacchio and
billionaire Philip Anschutz, the Associated Press reports.  The
judge also plans to subtract an estimated $7.5 million in
attorneys' fees from the total.

The lawsuits accused 16 executives and directors, including
Nacchio and Anschutz, of earning millions by misusing nonpublic
information to profit from insider trading in the stock of Qwest
and other companies. The lead lawsuit was filed in November 2002
in Denver District Court by shareholder Thomas Strauss on behalf
of the company. It alleged the defendants breached their
fiduciary duties. A second was filed in another Colorado state
court, two more in Delaware district courts and a fifth in U.S.
District Court.

As part of the settlement Qwest will be required to change
corporate governance and appoint a committee of independent
directors to consider separating the roles of chairman and chief
executive.

According to plaintiffs' attorneys an exhaustive review of more
than 6 million documents, congressional testimony and other
research did not turn up evidence of improper activity by former
CEO Nacchio, Qwest founder Anschutz or other defendants.


ROYAL FOOD: Recalls Raw Almonds Due To Salmonella Contamination
---------------------------------------------------------------
Royal Food International is conducting a voluntary recall on its
distribution of raw whole almonds labeled as Almond Raw due to
the possibility of contamination with Salmonella Enteritidis.
The recalled almonds are packed in 5#, 10# and 25# boxes.

Salmonella is an organism, which can cause serious and sometimes
fatal infections in young children, frail or elderly people, and
others with weakened immune systems. Healthy persons infected
with salmonella often experience fever, diarrhea (which may be
bloody), nausea, vomiting and abdominal pain. In rare
circumstances, infection with salmonella can result in the
organism getting into the bloodstream and producing more severe
illnesses such as arterial infections (i.e., infected
aneurysms), endocarditis and arthritis.

Royal Food International distributed these products to retail
stores, cafes and delis in New York, New Jersey and Connecticut.

This recall is in follow-up to a voluntary recall announced in
mid-May by Paramount Farms of California of whole and diced raw
almonds based on over 20 possible cases of illnesses associated
with the almonds. The cases were reported in California,
Arizona, Oregon, Washington, Utah, New Mexico, Arkansas,
Tennessee, Massachusetts and Michigan. We are working with FDA
to assure that all potentially contaminated almonds are removed
from the marketplace and that consumers are notified of the
recall.

The raw almonds should not be consumed but rather returned to
the store of purchase of a full refund.

For more details, contact Royal Food International by Phone:
718-392-3355 between 08:00 AM and 06:00 PM.


SOUTH KOREA: Government Plans To Revise Consumer Protection Act
---------------------------------------------------------------
The South Korean government is considering revisions to the law
on consumer protection so that class actions against
manufacturers of bad or harmful products can be filed from 2008,
according to officials of the Ministry of Finance and Economy,
The Asia Intelligence Wire reports.

The ministry also stressed the importance of revising the
Consumer Protection Act to help consumers who cannot afford to
file suits because the cost would far exceed the amount of
damage.

In a hearing hosted by the board, a spokesperson for the Korea
Consumer Protection Board (KCPB) said, "The revisions are
necessary since no one is going to go to court because they lost
10,000 won on a bad product when the time and cost needed to
receive compensation is a hundred times greater."

However, the KCPB spokesperson also said that the changes would
include a grace period and measures to prevent misuse of class
action provisions so that legitimate economic activities are not
hurt, the Intelligence Wire states.

The ministry plans to submit a bill on the revision to the
National Assembly this year.  The bill will also call for the
central government authorities to investigate products deemed
unsafe and the Consumer Dispute Settlement Commission to be
empowered to offer across-the-board relief to consumers for bad
products on the market.  The officials added that the names of
the KCPB and the Consumer Protection Act would be changed to
better reflect the government's policy direction on consumer
protection policies.


TENNESSEE VALLEY: Argues For Dismissal of Price Fixing Lawsuit
--------------------------------------------------------------
Attorneys for the Tennessee Valley Authority and the state's
electric co-operatives say a lawsuit filed by the law firms
Barrett, Johnston, and Parsley; and Branstetter, Kilgore,
Stranch & Jennings, against them to recover money for co-op
customers should be dismissed, The Tennessean reports.

The suit, which is seeking class-action status on behalf of
anyone who was a co-op member at any time during a 10-year
period starting April 12, 1994, until April 12, 2004, alleges
that TVA and the co-ops had conspired to fix artificially high
electric rates.

There are now close to 800,000 co-op members in the state, many
of them in rural areas, but an increasing number live in or near
urban areas. Everyone who pays a bill to a co-op is a member-
owner.

U.S. Rep. Jim Cooper, D-Nashville, has been trying to get the
co-ops to return some of their surplus holdings to members for
years. He is not involved in the lawsuits.

The TVA, which regulates the co-op rates, vehemently denied the
allegations that it had conspired to increase rates.

Meanwhile, attorneys representing the 22 electric co-ops asked
the U.S. District Court in Nashville yesterday to dismiss the
case, saying the lawsuit is not a class action and should have
been filed as a lawsuit for corporation owners suing the
corporations they own.


TOBACCO LITIGATION: FL Court Postpones Oral Arguments in Engle
--------------------------------------------------------------
The Florida Supreme Court granted a motion to reschedule oral
arguments in the Engle class action filed against the tobacco
industry, The Dow Jones Business News reports.  The suit named
as defendants:

     (1) Altria Group Inc.'s (MO) Philip Morris USA,

     (2) R.J. Reynolds Tobacco Co. (RJR),

     (3) Loews Corp.'s (LTR) Lorillard Tobacco Co.,

     (4) British American Tobacco PLC's (BTI) Brown & Williamson
         unit, and

     (5) 4Vector Group Ltd.'s (VGR) Liggett Group Inc.

The oral arguments, previously slated for October 6, 2004, were
postponed until November 3.  The plaintiffs' attorney cited
personal reasons for the filing of the motion to postpone the
arguments.


The case, which is known for Howard Engle, a Miami Beach
pediatrician with emphysema, seeks to compensate Florida smokers
who allegedly were sickened by cigarette smoking.

The state Supreme Court plans to review an intermediate
appellate court decision overturning a $145 billion verdict
against the tobacco industry last year.



                   New Securities Fraud Cases


99 CENTS: Chitwood & Harley Lodges Securities Suit in C.D. CA
-------------------------------------------------------------
The law firm of Chitwood & Harley LLP initiated a securities
class action in the United States District Court for the Central
District of California against 99 Cents Only Stores ("99 Cents"
or "NDN"), David Gold, Eric Schiffer, and Andrew Farina (NYSE:
NDN) on behalf of purchasers of NDN common stock during the
period between March 11, 2004 and June 10, 2004 (the "Class
Period").

The complaint charges defendants with issuing a series of
material misrepresentations to the market during the Class
Period in violation of sections 10(b) and 20(a) of the Exchange
Act, and Rule 10b-5. Among other things, the complaint alleges
that during the Class Period:

     (1) defendants created the appearance of profitability and
         success by, among other things, failing to properly
         accrue expenses, particularly with regard to its Texas
         operations;

     (2) defendants failed to disclose that the Company's
         margins were being eroded by a mix-shift tied to lower
         margin grocery items, freight costs, higher dairy
         costs, and a higher mark-down and shrink provision (up
         to $10 million);

     (3) the defendants knowingly tolerated weak internal
         controls;

     (4) the Company's inventory was artificially inflated by
         the inclusion of assets such as deli products on its
         books, despite the fact that those assets were
         inedible;

     (5) the Company's Southern California distribution center
         was in shambles;

     (6) the Company's workers' compensation problems were far
         from over, and defendants knew that their expenses
         associated with these problems were increasing, not
         declining; and

     (7) as a result of the above, the Company was not on track
         to achieve EPS for Q2 04 of $0.19-$0.20.

For more details, contact Lauren Antonino, Esq. of CHITWOOD &
HARLEY LLP by Mail: 2300 Promenade II, 1230 Peachtree Street,
N.E. Atlanta, Georgia 30309 by Phone: (404) 873-3900 or
(888) 873-3999 by Fax: (404) 876-4476 or by E-mail:
lsa@classlaw.com


ALLIANCE GAMING: Charles J. Piven Lodges Securities Suit in NV
--------------------------------------------------------------
The Law Offices Of Charles J. Piven, P.A. initiated a securities
class action on behalf of shareholders who purchased, converted,
exchanged or otherwise acquired the common stock of Alliance
Gaming Corporation (NYSE:AGI) between January 15, 2004 and June
7, 2004, inclusive (the "Class Period").

The case is pending in the United States District Court for the
District of Nevada against defendant Alliance Gaming and one or
more of its officers and/or directors.

The action charges that defendants violated federal securities
laws by issuing a series of materially false and misleading
statements to the market throughout the Class Period which
statements had the effect of artificially inflating the market
price of the Company's securities.

No class has yet been certified in the above action.

The Law Offices Of Charles J. Piven, P.A. by Mail: The World
Trade Center-Baltimore, 401 East Pratt Street, Suite 2525,
Baltimore, Maryland 21202 by Phone: 410/986-0036 or by E-mail:
hoffman@pivenlaw.com


KEY ENERGY: Schatz & Nobel Lodges Securities Suit in W.D. TX
------------------------------------------------------------
The law firm of Schatz & Nobel, P.C., has initiated a lawsuit
seeking class action status in the United States District Court
for the Western District of Texas on behalf of all persons who
purchased the publicly traded securities of Key Energy Services,
Inc. (NYSE: KEG) ("Key") between April 29, 2003 and June 4,
2004, inclusive (the "Class Period").

The Complaint alleges that Key and certain of its officers and
directors issued materially false statements concerning the
Company's financial condition. Specifically, defendants;

     (1) misrepresented the assets reported on Key's balance
         sheet;

     (2) improperly inflated net income and earnings per share;

     (3) failed to disclose that the accounting improprieties
         posed material risks to Key's liquidity, because a
         restatement would likely -- and did -- cause the
         Company to default on its long-term debt agreements;
         and

     (4) failed to disclose that Key lacked any reasonable basis
         for its earnings forecasts and statements about
         liquidity.

The truth began to emerge on March 15, 2004, the day that Key
announced that it would not meet the deadline for filing its
annual report with the Securities and Exchange Commission
because it had not yet completed a review of "certain idle
equipment" to determine its impairment. Although Key continued
to maintain that the fundamentals of the Company were strong,
over the next two months, a series of disclosures further
depressed the stock price. Ultimately, on June 7, 2004, Key
announced that it had received a notice of default under its
senior notes -- under which it had approximately $425 million of
outstanding obligation. Key further stated that it was
withdrawing earnings forecasts for fiscal 2004.

For more details, contact Nancy A. Kulesa of Schatz & Nobel by
Phone: (800) 797-5499 by E-mail: sn06106@aol.com or visit their
Web site: http://www.snlaw.net


LEHMAN ABS: Kirby McInerny Lodges Securities Suit in S.D. NY
------------------------------------------------------------
The law firm of Kirby McInerney & Squire, LLP initiated a
securities class action in the United States District Court for
the Southern District of New York on behalf of all purchasers of
Corporate Backed Trust Certificates, Verizon New York Debenture-
Backed Series 2004-1 ("Certificates") (NYSE:CCG) during the
period from January 5, 2004 through May 11, 2004, inclusive (the
"Class Period").

The action charges defendants Lehman ABS Corp. and Lehman
Brothers, Inc. (NYSE:LEH) with violations of the Securities Act
of 1933. Investors allege that the Prospectus was materially
misleading because it omitted to state material information that
defendants had an obligation to disclose. Verizon New York was 1
of 16 domestic operating company owned by Verizon (NYSE:VZ) that
filed reports with the SEC. While the Prospectus generally
described Verizon's failure to continue as an SEC filer as one
of the potential events of default, it failed to disclose that,
as of February 2003, Verizon had already deregistered the public
indebtedness of six of its domestic operating telephone
companies and that those deregistrations were made pursuant to a
program Verizon had established in early 2003 This information
was material to an investor's decision whether to purchase the
Certificates, particularly in light of the fact that a sale of
the Debentures in the open market could yield substantially less
than the $25 per Certificate paid by the Class members.

For more details, contact Vivian Lee by Phone: (888) 529-4787 or
by E-Mail: vlee@kmslaw.com


LEXAR MEDIA: Murray Frank Launches Securities Lawsuit in N.D. CA
----------------------------------------------------------------
The law firm of Murray, Frank & Sailer LLP initiated a class
action lawsuit in the United States District Court for the
Northern District of California on behalf of all shareholders
who purchased or acquired the common stock of Lexar Media, Inc.
(Nasdaq:LEXR) ("Lexar" or the "Company") between July 17, 2003
through April 16, 2004 inclusive (the "Class Period").

The complaint alleges that Lexar, Eric Stang, and Brian McGee
violated Sections 10(b) and 20(a) of the Securities Exchange Act
of 1934, and Rule 10b-5 promulgated thereunder, by issuing a
series of material misrepresentations to the market between July
17, 2003 and April 16, 2004. More specifically, the Complaint
charges that the Company failed to disclose and misrepresented
the following material adverse facts which were known to
defendants or recklessly disregarded by them:

     (1) that the Company underestimated the impact and the
         timing of competitive pricing moves in the flash memory
         market;

     (2) that the Company's preferential supply relationship
         with Samsung failed to insulate Lexar from fluctuations
         in pricing and availability of flash memory, which
         negatively affected the Company's product margins; and

     (3) that the Company lacked sufficient royalty income to
         offset product gross margins pressure.

On April 15, 2004, Lexar reported financial results for the
first quarter ended March 31, 2004. After several quarters of
relatively stable average selling prices, second-quarter price
declines were sizeable. These declines were occurring sooner
than Lexar had previously anticipated. News of this shocked the
market. Shares of Lexar fell $5.03 per share or 32.56 percent on
April 16, 2004, to close at $10.42 per share.

For more details, contact Eric J. Belfi or Aaron D. Patton of
Murray, Frank & Sailer LLP by Phone: (800) 497-8076 or
(212) 682-1818 by Fax: (212) 682-1892 or by E-Mail:
info@murrayfrank.com


MERIX CORPORATION: Stoll Stoll Lodges Securities Lawsuit in OR
--------------------------------------------------------------
The law firm of Stoll Stoll Berne Lokting & Shlachter P.C.
initiated a class action lawsuit in the United States District
Court for the District of Oregon on behalf of all purchasers of
the common stock of Merix Corporation (Nasdaq: MERX) between
July 1, 2003 and May 13, 2004, inclusive (the "Class Period").

The complaint charges Merix and certain of its officers and
directors with issuing false and misleading statements,
including overly optimistic earnings and revenue projections,
statements regarding increasing demand for its premium priced
and quick-turn products. Specifically, the complaint alleges
that, during the Class Period, the Company issued materially
false statements that demand for its premium-priced and quick-
turn products was increasing, when it knew that demand was in
fact softening for its product, especially with regard to a
major networking customer. These statements had the effect of
artificially raising the price of Merix stock so that Merix
could complete a public offering generating more than $100
million, and so insiders could sell more than $3.2 million of
Merix stock during the Class Period. Investors who purchased
Merix shares during the Class Period did so at inflated prices
and were thereby damaged. On May 14, 2004, Merix stunned
investors by announcing that it was not going to meet its
previously issued earnings guidance for the quarter ending May
29, 2004 of $0.19 to $0.22 per share, and the company would
actually post a loss of $0.03 to $0.06 per share.

For more details, contact David F. Rees of Stoll Stoll Berne
Lokting & Shlachter P.C. by Phone: 1-503-227-1600 or by E-mail:
drees@ssbls.com


MERIX CORPORATION: Schiffrin & Barroway Files Stock Suit in OR
--------------------------------------------------------------
The law firm of Schiffrin & Barroway, LLP initiated a class
action lawsuit in the United States District Court for the
District of Oregon on behalf of all purchasers of the common
stock of Merix Corporation (Nasdaq: MERX) ("Merix" or the
"Company") from July 1, 2003 through May 13, 2004, inclusive
(the "Class Period").

The complaint charges Merix, Mark Hollinger and Jamie S. Brown
with violations of the Securities Exchange Act of 1934. The
complaint alleges that defendants failed to disclose or indicate
the following:

     (1) that the Company over relied, in their financial
         projections, on the customers' future demand for
         premium-priced and reduced-lead-time products, which
         had previously accounted for 50% of the Company sales;

     (2) that the Company failed to adequately insulate itself
         from the softening demand, specifically with regard to
         supply needs of a major networking customer;

     (3) that the Company failed to appreciate the market
         conditions, which did not support the Company's
         aggressive growth; and

     (4) that, as a result of the foregoing, defendants lacked a
         reasonable basis for their positive statements about
         the Company and their earnings projections.

On May 13, 2004, after the close of the market, Merix revised
guidance for the fourth quarter of fiscal 2004, ending May 29,
2004. News of this shocked the market. Shares of Merix fell
$4.64 per share or 30.29 percent on May 14, 2004, to close at
$10.68 per share.

For more details, contact Marc A. Topaz, Esq. or Stuart L.
Berman, Esq. Schiffrin & Barroway, LLP by Mail: Three Bala Plaza
East, Suite 400, Bala Cynwyd, PA  19004 by Phone: 1-888-299-7706
or 1-610-667-7706 or by E-mail: info@sbclasslaw.com


VICURON PHARMACEUTICALS: Charles Piven Files PA Securities Suit
---------------------------------------------------------------
The Law Offices Of Charles J. Piven, P.A. initiated a securities
class action on behalf of shareholders who purchased, converted,
exchanged or otherwise acquired the common stock of Vicuron
Pharmaceuticals Incorporated (Nasdaq:MICU) between January 6,
2003 and May 24, 2004, inclusive (the "Class Period").

The case is pending in the United States District Court for the
Eastern District of Pennsylvania. The action charges that
defendants violated federal securities laws by issuing a series
of materially false and misleading statements to the market
throughout the Class Period which statements had the effect of
artificially inflating the market price of the Company's
securities.

No class has yet been certified in the above action.

The Law Offices Of Charles J. Piven, P.A. by Mail: The World
Trade Center-Baltimore, 401 East Pratt Street, Suite 2525,
Baltimore, Maryland 21202 by Phone: 410/986-0036 or by E-mail:
hoffman@pivenlaw.com


VICURON PHARMACEUTICALS: Scahtz Nobel Lodges PA Securities Suit
---------------------------------------------------------------
The law firm of Schatz & Nobel, P.C., initiated a lawsuit
seeking class action status in the United States District Court
for the Eastern District of Pennsylvania on behalf of all
persons who purchased the publicly traded securities of Vicuron
Pharmaceuticals, Inc. (Nasdaq: MICU) ("Vicuron") between January
6, 2003 and May 24, 2004, inclusive (the "Class Period"). Also
included are all those who purchased shares in the July 17, 2003
offering.

The Complaint alleges that Vicuron and certain of its officers
and directors issued materially false statements concerning the
Company's business condition. Specifically, defendants inflated
the price of Vicuron by concealing negative material information
concerning both the safety and efficacy of its antifungal drug
Anidulafungin, an intravenous drug for fungal infections which
was the subject of late-stage clinical trials for the treatment
of esophageal candidiasis, invasive aspergillosis, and invasive
candidiasis/candidemia. Defendants knew, but failed to disclose,
that adverse information regarding the developments and
commercialization of Anidulafungin, raised serious concerns over
the very approval of the drug.

On May 24, 2004 it was disclosed that the Food and Drug
Administration ("FDA") had sent Vicuron a letter detailing the
failure of Vicuron to supply data necessary to substantiate its
claim that Anidulafungin can be used to treat esophageal
candidiasis. On this news, shares of Vicuron plummeted $8.86 to
$13.04 per share. During the Class Period, Vicuron traded as
high as $23.90 per share.

For more details, contact Nancy A. Kulesa of Schatz & Nobel by
Phone: (800) 797-5499 by E-mail: sn06106@aol.com or visit their
Web site: http://www.snlaw.net



                           *********


A list of Meetings, Conferences and Seminars appears in each
Wednesday's edition of the Class Action Reporter. Submissions
via e-mail to carconf@beard.com are encouraged.

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news on asbestos-related litigation and profiles of target
asbestos defendants that, according to independent researches,
collectively face billions of dollars in asbestos-related
liabilities.

                            *********


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Class Action Reporter is a daily newsletter, co-published by
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Copyright 2004.  All rights reserved.  ISSN 1525-2272.

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