Faruqi & Faruqi, LLP Encourages Investors Who Suffered Losses In Excess Of $100,000 Investing In magicJack VocalTec Ltd. To

  Faruqi & Faruqi, LLP Encourages Investors Who Suffered Losses In Excess Of
      $100,000 Investing In magicJack VocalTec Ltd. To Contact The Firm

PR Newswire

NEW YORK, Jan. 23, 2013

NEW YORK, Jan.23, 2013 /PRNewswire/ --Faruqi & Faruqi, LLP, a leading
national securities law firm, is investigating potential securities fraud at
magicJack VocalTec Ltd. ("magicJack" or the "Company") (NasdaqGM: CALL).

(Logo: http://photos.prnewswire.com/prnh/20120119/MM38856LOGO )

The investigation focuses on whether the Company and its executives violated
federal securities laws by failing to disclose that: (1) magicJack had
overstated revenue, earnings and cash flow in its SEC filings; (2) the Company
overstated its cash balance by investing its shareholder cash in risky,
alternative securities; (3) the Company exaggerated its earnings by increasing
its allowance for doubtful accounts and billing adjustments; (4) the Company
incorrectly reduced the depreciation expenses for magicJack assets; and (5)
while the Company claimed that it was writing down its excess inventory of
microchips, it instead wrote down finished products in order to camouflage
declining sales momentum.

On January 9, 2013, Copperfield Research published a report revealing that the
Company had been consistently overstating its revenue and profitability.
Copperfield Research stated that "magicJack has presented its retail investor
base with earnings press release and financial tables that are overstated and
later altered based on the corresponding SEC filings." On this news, magicJack
stock declined $2.01 per share or more than 11%, to close at $15.30 per share
on January 9, 2013.

Request more information now by clicking here: www.faruqilaw.com/CALL. There
is no cost or obligation to you.

Take Action

If you invested in magicJack stock or options between February 28, 2012 and
January 8, 2013 and would like to discuss your legal rights, visit
www.faruqilaw.com/CALL. You can also contact us by calling Richard Gonnello
or Francis McConville toll free at 877-247-4292 or at 212-983-9330 or by
sending an e-mail to rgonnello@faruqilaw.com or
mailto:rgonnello@faruqilaw.com. Faruqi & Faruqi, LLP also encourages anyone
with information regarding magicJack's conduct to contact the firm, including
whistleblowers, former employees, shareholders and others.

Attorney Advertising. The law firm responsible for this advertisement is
Faruqi & Faruqi, LLP (www.faruqilaw.com). Prior results do not guarantee or
predict a similar outcome with respect to any future matter. We welcome the
opportunity to discuss your particular case. All communications will be
treated in a confidential manner.

FARUQI & FARUQI, LLP
369 Lexington Avenue, 10th Floor
New York, NY 10017
Attn: Richard Gonnello, Esq.
rgonnello@faruqilaw.com
Francis McConville, Esq.
fmcconville@faruqilaw.com
Telephone: (877) 247-4292 or (212) 983-9330

SOURCE Faruqi & Faruqi, LLP

Website: http://www.faruqilaw.com
 
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