INPC Inphonic (MM)

Goldman Scarlato & Karon, P.C., a law firm with offices in Pennsylvania and Ohio, announces that a lawsuit has been filed in the United States District Court for the District of Columbia, on behalf of persons who purchased or otherwise acquired publicly traded securities of Inphonic, Inc. (�Inphonic� or the �Company�) (NASDAQ:INPC) between August 2, 2006 and May 3, 2007, inclusive, (the �Class Period�). The lawsuit was filed against Inphonic and certain officers and directors (�Defendants�). If you are a member of this class and wish to view a copy of a complaint and join this class action, please e-mail us at info@gsk-law.com and request a copy of the complaint and a plaintiff certification. If you are a member of the Class, you may move the Court no later than July 6, 2007 to serve as a lead plaintiff for the Class. Any member of the purported 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. However, if you choose to remain an absent class member, unless and until a class is certified, you are not represented by counsel. The complaint alleges that Defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934. In particular, the complaint alleges that Inphonic issued a series of false and misleading statements concerning the Company�s 2006 fiscal year financial results. The complaint further alleges that during the Class Period, Inphonic: (1) incorrectly recorded revenues associated with uncollectible carrier commissions and bonuses; (2) improperly recognized revenues for certain cancelled consumer contracts; (3) incorrectly recorded certain accrued expenses; and, (4) incorrectly recorded certain equipment expenses. On April 3, 2007, Inphonic issued a Form 8-K indicating that the Company�s financial statements for the quarterly periods ended June 30, September 30, and December 31, 2006 could no longer be relied upon due to errors in the Company�s revenue recognition process. Shares reacted negatively to the news, falling from $10.36 per share to $9.15 per share, a one-day decline of 11.5%. Then on May 4, 2007, the Company issued an additional Form 8-K, providing further clarification on its issues concerning revenue recognition, Shares of Inphonic fell again, dropping from $8.54 per share to $7.90 per share, a one day decline of 7.5%. If you bought Inphonic securities between August 2, 2006 and May 3, 2007, inclusive, and would like to obtain information about the lawsuit, then you are invited to call (888) 668-4130 to speak with an advisor.