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Class Action Lawsuit Commenced Against Vaso Active Pharmaceuticals, Inc. by Bernstein Liebhard & Lifshitz, LLP

A securities class action lawsuit was commenced in the United States District Court for the District of Massachusetts on behalf of all persons who purchased or acquired securities of Vaso Active Pharmaceuticals, Inc.

("Vaso" or the "Company") between December 11, 2003 through March 31, 2004, inclusive (the "Class Period"), seeking to pursue remedies under the Securities Exchange Act of 1934 (the "Exchange Act"). A copy of the Complaint is available from the Court or from Bernstein Liebhard & Lifshitz, LLP. Please visit our website at http://www.bernlieb.com or contact us at (800) 217-1522 or by e-mail at VAPH@bernlieb.com.

According to the complaint, defendants violated sections 10(b) and 20(a) of the Exchange Act, and Rule 10b-5, by issuing a series of material misrepresentations to the market during the Class Period. The complaint alleges that throughout the Class Period, Vaso issued press releases, and filed financial reports with the SEC, touting the Company's clinical trial of its anti-fungal product as being "revolutionary," and stated that the trial was supervised by a team of independent physicians, analyzed by the New England Medical Center of Boston, and endorsed by the American Association of Medical Foot Specialists. The complaint charges that defendants' assertions were grossly misleading because (i) the New England Medical Center had nothing to do with the study associated with the trial, it was not involved in the selection of patients for the trial, and it had not analyzed the trial results or drawn any conclusions of its effectiveness; (ii) the trial was supervised by one podiatrist, not a group of independent physicians, who was selected by the Company's majority shareholder and compensated by the Company; (iii) the Company's so-called "clinical trial" was more than half a decade old; (iv) the Association of Medical Foot Specialists is not widely known in the medical community, and its endorsement of Vaso's product was bargained for in exchange for a donation by Vaso to the Association's scholarship program; and (v) there was little, if any, institutional demand for Vaso's securities.

On April 1, 2004, before the market opened, the SEC issued a press release announcing the temporary suspension of trading of Vaso stock because of "questions regarding the accuracy of assertions by VAPH (Vaso) and by others... concerning, among other things: (1) FDA approval of certain key products, and (2) the regulatory consequences of the future application of their primary product." Moreover, on April 7, 2004, Vaso announced that the Company had received a letter from the Nasdaq Listing Investigations department regarding Vaso's compliance with Nasdaq listing requirements. In response to the Nasdaq letter, Vaso stated "In view of the substantial administrative and cash burdens being borne by the Company at this time, the Company has determined that it is in the best interest of shareholders to voluntarily cause its shares to be removed from Nasdaq."

Plaintiff seeks to recover damages on behalf of all those who purchased or otherwise acquired Vaso securities during the Class Period. If you purchased or otherwise acquired Vaso securities during the Class Period, and either lost money on the transaction or still hold the securities, you may wish to join in the action to serve as lead plaintiff. In order to do so, you must meet certain requirements set forth in the applicable law and file appropriate papers no later than June 7, 2004.

A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Bernstein Liebhard & Lifshitz, LLP, or other counsel of your choice, to serve as your counsel in this action.

Bernstein Liebhard & Lifshitz, LLP has been retained as one of the law firms to represent the class. The attorneys at Bernstein Liebhard & Lifshitz, LLP have extensive experience in securities class action cases, and have played lead roles in major cases resulting in the recovery of hundreds of millions of dollars to investors. For more information about Bernstein Liebhard & Lifshitz, LLP, please visit our website at http://www.bernlieb.com.

If you would like to discuss this action or if you have any questions concerning this Notice or your rights as a potential class member or lead plaintiff, you may contact our Shareholder Relations Department, at Bernstein Liebhard & Lifshitz, LLP, 10 East 40th Street, New York, New York 10016, (800) 217-1522 or (212) 779-1414 or by e-mail at VAPH@bernlieb.com.