Gainey & McKenna and the Egleston Law Firm File Class Action Suit Against New Energy Systems Group -- NEWN

NEW YORK, Feb. 10, 2012 (GLOBE NEWSWIRE) -- Gainey & McKenna and the Egleston Law Firm today announced that a class action has been commenced on behalf of an investor in the United States District Court for the Southern District of New York on behalf of purchasers of the common stock of New Energy Systems Group ("New Energy" or the "Company") NEWN between April 15, 2010 and November 14, 2011, inclusive (the "Class Period"), seeking to pursue remedies under the Securities Exchange Act of 1934 (the "Exchange Act").

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, Thomas J. McKenna, Esq. of Gainey & McKenna at (212) 983-1300, or via e-mail at tjmckenna@gaineyandmckenna.com or Gregory M. Egleston, Esq. of the Egleston Law Firm at (212) 683-3400, or via e-mail at egleston@gme-law.com. 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.

The complaint alleges that, during the Class Period, Defendants knew, or recklessly disregarded, that the Company's financial statements during the Class Period contained materially false and misleading statements because (i) the Company did not have loyal customers; (ii) the Company did not manufacture quality products; and (iii) there was no basis for the statements that the Company would continually receive orders from its customers or that the battery business will be profitable due to an outstanding battery quality and the strong distribution network. In addition, the Company's SEC filings, during the Class Period, were materially false and misleading because they failed to disclose that a significant portion of the Company's battery products were obsolete; that the quality of the Company's battery products had declined; that increased competition and counterfeit battery products were materially cutting into the Company's sales; and that, as a result of the foregoing, the Company's battery business had materially declined and the goodwill associated with the Company's battery business had become worthless.

Plaintiff seeks to recover damages on behalf of all purchasers of New Energy common stock during the Class Period (the "Class"). The plaintiff is represented by Gainey & McKenna and the Egleston Law Firm (http://www.gme-law.com), whose attorneys have decades of experience in prosecuting securities class actions and investor class actions throughout the United States.