NuMed Home Health Care, Inc. - Securities Class Action

Company and Case Information

IMPORTANT INFORMATION | INDEX OF FILINGS | SEARCH

Home

Index of Filings

News and Press Releases

Filings

Decisions

Settlements

Litigation Activity Indices

Top Ten List

Annual/Quarterly Updates

Clearinghouse Research

Articles & Papers

Search

Related Sites

About Us

Local Rules

Sponsors

Register

_______________
Copyright (c) 2001
Stanford Law School

NuMed Home Health Care, Inc. Conclusion: According to the docket, on August 26, 1996, the Court entered the Order dismissing the plaintiff's amended complaint.

According to NuMed Home Health Care, Inc.'s SEC 10-QSB filing, in response to the complaint, the Company filed its answer and a corresponding motion to dismiss. On July 25, 1996, the United States District Court for the Middle District of Florida, Tampa Division, granted the Company's motion dismissing the complaint in its entirety. While the Court granted Plaintiff leave to amend the complaint, the Court indicated its concern for Plaintiff's ability to overcome the complaint's substantial deficiencies.

The complaint was filed alleging that the prospectus was false and misleading because it failed to disclose the lead underwriter's deteriorating financial condition and its inability to satisfy its minimum net capital requirements just prior to the offering. The Prospectus allegedly failed to disclose that a loan made to the underwriter just prior to the offering that allowed it to satisfy it net capital requirements was in fact made by one of the underwriter's officers. The prospectus also allegedly failed to disclose the extent of the conflicts of interest present between the issuer and underwriter. Defendant Jugal Taneja was both Chairman and CEO of NuMed (as well as its primary shareholder) and controlling shareholder of the underwriter. The complaint also alleges that the Prospectus failed to adequately disclose the potential risks of illiquidity in the trading of the stock which would occur if the underwriter was no longer able to make a market in the stock. When the underwriter in fact failed due to insufficient capital, trading in NuMed stock became illiquid and the stock price dropped significantly. Based on these allegations, the complaint asserts violations of sections 11 and 12(2) of the Securities Act of 1933.

INDUSTRY CLASSIFICATION:
SIC Code: 8082
Sector: Healthcare
Industry: Healthcare Facilities

COMPANY/ISSUER NAME:	NuMed Home Health Care, Inc.
COMPANY/ISSUER TICKER:	NUMD
COMPANY WEBSITE:	http://www.numed.com

FIRST IDENTIFIED COMPLAINT IN THE DATABASE

Robin Fernhoff, et al. v. Numed Home Health Care, Inc., et al.

COURT: M.D. Florida	DOCKET NUMBER: 96-CV-00200
JUDGE NAME: Hon. Ralph W. Nimmons Jr.
DATE FILED: 2/1/1996	SOURCE: Internet
CLASS PERIOD START: 2/8/1995	CLASS PERIOD END: 3/27/1995
TYPE OF COMPLAINT: Complaint (Unamended and Unconsolidated)
PLAINTIFF FIRMS NAMED IN COMPLAINT:
Curtis V. Trinko LLP 16 West 46th Street 7th Floor, New York, NY, 10036 (voice) 212.490.9550, (fax) 212.986.0158, ctrinko@trinko.com LaBarge, Weinstein 333 Preston St., 11th Floor, Ottawa, Canada, , (voice) 613.231.3000, (fax) 613.231.3900, info@lwlaw.com Michael C. Addison P.O. Box 2175, Suite 2175; 100 North Tampa Street, Tampa, FL, 33602-5145 (voice) 813.223.2000, (fax) 813.223.2000, _____________________________________________ TOTAL NUMBER OF PLAINTIFF FIRMS: 3

DOCUMENTS FOR THE FIRST IDENTIFIED COMPLAINT
Class Action Complaint
Type: Complaint		Date on the document: 12/30/1999
U.S. District Court Civil Docket
Type: Docket		Date on the document: 03/08/2002

OTHER DOCUMENTS

Case Name and/or Number:
Type:		Date on the document:

WARNING AND DISCLAIMER OF LIABILITY:
The information included on this Web site, whether provided by personnel employed by Stanford Law School or by third parties, is provided for research and teaching purposes only. Neither Stanford University, Stanford Law School, nor any of their employees, agents, contractors, or affiliates warrant the accuracy or completeness of the information or analyses displayed herein, and we caution all readers that inclusion of any information on this site does not constitute an endorsement of the truthfulness or accuracy of that information. In particular, this Web site contains complaints and other documents filed in federal and state courts, which make allegations that may or may not be accurate. No reader should, on the basis of information contained in or referenced by this Web site, assume that any of these allegations are truthful.

Go to Search page | Go to Case Index page | Back to Top

�