Milberg Weiss Announces Class Action Against ARM Financial Group, Inc

Business Wire, August 19, 1999

NEW YORK--(BUSINESS WIRE)--August 19, 1999--

The following was released today by Milberg Weiss Bershad Hynes & Lerach LLP:

Notice is hereby given that a class action lawsuit was filed on August 18, 1999, in the United States District Court for the Western District of Kentucky, Louisville Division, on behalf of all persons and entities who purchased the common stock of ARM Financial Group, Inc. (NYSE: ARM) ("ARM" or the "Company"), between October 27, 1998 and August 3, 1999, inclusive (the "Class Period").

If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact, at Milberg Weiss Bershad Hynes & Lerach ("Milberg Weiss"), Steven G. Schulman or Samuel Rudman at One Pennsylvania Plaza, 49th Floor, New York, New York 10119-0165, by telephone 1-800-320-5081 or via e-mail: endfraud@mwbhlny.com or visit our website at www.milberg.com.

The complaint charges ARM and certain of its officers and directors with violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 as well as Rule 10b-5 promulgated thereunder. The complaint alleges that defendants issued a series of materially false and misleading statements concerning the Company's operations and the value and quality of the Company's investment portfolio. Because of the issuance of a series of false and misleading statements the price of ARM common stock was artificially inflated during the Class Period. Prior to the disclosure of the adverse facts described above certain insiders sold thousands of shares ARM common stock to the unsuspecting investing public at artificially inflated prices.

Plaintiff seeks to recover damages on behalf of class members and is represented by the law firm of Milberg Weiss and Arnzen, Parry & Wentz, P.S.C., among others. Milberg Weiss maintains offices in New York City, San Diego, Los Angeles, San Francisco and Boca Raton and is active in major litigations pending in federal and state courts throughout the United States. Milberg Weiss has taken a leading role in numerous important actions on behalf of defrauded investors, and is responsible for a number of outstanding recoveries which, in the aggregate, total approximately $2 billion. For more information about Milberg Weiss, please visit our website at www.milberg.com.

If you are a member of the class described above you may, not later than sixty days from today, move the Court to serve as lead plaintiff of the class, if you so choose. In order to serve as lead plaintiff, however, you must meet certain legal requirements.