Coughlin Stoia Geller Rudman & Robbins LLP (“Coughlin Stoia”) (
) today announced that a class action has been commenced in the United States District Court for the Eastern District of Pennsylvania on behalf of a proposed class of Harleysville National Corporation (“Harleysville”) (NASDAQ:HNBC) shareholders and their successors-in-interest, other than defendants or those associated with defendants, who were holders of record on December 7, 2009 and eligible to vote at the January 22, 2010 shareholder meeting.
The complaint charges the members of Harleysville’s Board of Directors with violations of federal securities laws for their failure to provide shareholders with all material information in the merger proxy statement (the “Proxy”) seeking shareholder approval of the merger (the “Merger”) between Harleysville and First Niagara Financial Group, Inc. (“FNFG”). Among other things, plaintiff alleges that the Proxy was false and misleading, having misrepresented and/or omitted the following: (i) that the defendant directors who recommended a vote for the Merger failed to update the Proxy to indicate material changes in Harleysville’s level of delinquent loans; (ii) that the fairness opinion included in the Proxy was false and misleading because it was based upon stale data and not properly updated to include the material changes in Harleysville’s level of delinquent loans; (iii) the true value of FNFG and the fact that defendants breached their fiduciary duty in failing to adequately value FNFG; and (iv) Harleysville’s prospects in remaining a stand-alone bank.
If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from today. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff’s counsel, Darren Robbins or Randall Baron of Coughlin Stoia at 800-449-4900 or 619-231-1058, or via e-mail at
. If you are a member of this class, you can view a copy of the complaint as filed or join this class action online at
. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
Plaintiff seeks to recover damages on behalf of all shareholders who were holders of record on December 7, 2009 and eligible to vote at the January 22, 2010 shareholder meeting (the “Class”). The plaintiff is represented by Coughlin Stoia, which has expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.