BIO-key to respond to lawsuit filed by two investors

WALL, N.J., March 4 -- BIO-key International, Inc. (OTC Bulletin Board: BKYI), a leader in wireless public safety and finger-based biometric identification solutions, today announced that on or before March 16, 2009 it will file, in the United States District Court for the Southern District of New York, its response to litigation recently initiated by two of the Company's investors, Longview Special Finance, Inc. and Longview Fund, L.P. In their complaint, those investors have alleged that the Company improperly failed to redeem outstanding shares of the Company's Series B Convertible Preferred Stock and Series C Convertible Preferred Stock currently held by the investors in accordance with the terms and conditions of such preferred stock. The Company does not believe that it is in breach of any redemption obligations to these investors and intends to defend itself against this claim vigorously. The Company also is evaluating potential counterclaims it may have in the lawsuit.

Loading