Medical Capital Holdings Class Action Lawsuit

Class Action Lawsuit Filed on Behalf of Medical Capital Investors

On September 18, 2009, a class action lawsuit was filed on behalf of all persons or entities who purchased notes issued by Medical Provider Financial Corp. III, Medical Provider Financial Corp. IV, Medical Provider Funding Corp. V and/or Medical Provider Funding Corp. VI (the “Medical Capital Notes”) on or after September 18, 2006. The lawsuit, pending in the United States District Court for the Central District of California names as defendants Cullum & Burks Securities, Inc., Securities America, Inc., Ameriprise Financial, Inc., and CapWest Securities, Inc., who offered and sold the Medical Capital Notes to investors.

The Complaint alleges that the Medical Capital Notes should have been registered with the SEC, but were not, and that the private placement memoranda for the Medical Capital Note offerings misrepresented and omitted material facts related to terms of the offerings, the use of the investors’ funds, the track record of various Medical Capital entities, the backgrounds and qualifications of the executives responsible for running the companies, and the overall risks of an investment in the Medical Capital Notes. According to the Complaint, the defendants violated federal securities laws by offering and selling the unregistered Medical Capital Notes pursuant to materially false and misleading prospectuses.

Medical Capital Class Action Case Update

On December 14, 2009, U.S. District Judge David Carter appointed Girard Gibbs LLP and Zwerling, Schachter & Zwerling LLP (“ZSZ”) as Co-Lead Counsel in the consolidated case. As co-lead counsel, Girard Gibbs and ZSZ will be responsible for conducting and coordinating pretrial proceedings in the litigation on behalf of all plaintiffs in the case.

December 14, 2009 Court Order Appointing Girard Gibbs Co-Lead counsel

For More Information

If you purchased or otherwise acquired Medical Capital Notes from Cullum & Burks, Securities America, Ameriprise Financial and/or CapWest Securities on or after September 18, 2006 you may, no later than November 20, 2009, request that the Court appoint you as lead plaintiff. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.

If you purchased Medical Capital Notes from any of the defendants or from any other brokerage firm and wish to discuss your rights, please contact us by filling in the form to the right or calling us toll free at (866) 981-4800.

Why Girard Gibbs LLP?

Girard Gibbs is a national litigation firm specializing in securities litigation. The firm represents individual and institutional investors in class and non-class actions and individual arbitration proceedings. The firm’s senior partners, Daniel Girard and Eric Gibbs, have been chosen as Superlawyers by Law & Politics, recognizing them as among the top 5-percent of attorneys practicing in Northern California.