Theragenics Corporation - Securities Class Action

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_______________
Copyright (c) 2001
Stanford Law School

Theragenics Corporation Conclusion: According to the docket, on September 30, 2004, the Court entered the Order and Final Judgment approving the proposed settlement. Plaintiffs' counsel was awarded 33 1/3% of the Settlement Fund in fees, and $477,336.51 in reimbursement of expenses. Earlier, the Stipulation and Agreement of Settlement was filed on July 27, 2005. The proposed settlement fund was in the amount of $10,000,000.

In a press release dated July 20, 2004, Theragenics Corporation settled this securities class action lawsuit. The settlement is contingent upon Court approval and notice to the Class. According to the aggreement, that the settlement of the class action lawsuit will require no financial contribution by the company. The derivative lawsuit, which was filed in conjunction with the class action lawsuit, but stayed by agreement of the parties, is still pending. According to the same press release, the company stated that the derivative lawsuit "is currently being reevaluated in light of the settlement of the securities class action lawsuit, and we'll report once we have any further news, as appropriate."

The original complaint charges that defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10-b(5) by, among other things: issuing false misleading statements regarding Theragenics' financial condition as well as its present and future business prospects. Because of the issuance of a series of false and misleading statements, the price of Theragenics common stock was artificially inflated during the Class Period. Prior to the disclosure of the adverse facts described above, certain defendants and insiders made over $5.6 million by selling thousands of shares of Theragenics stock to the unsuspecting investing public at artificially high prices.

On August 21, 2000, according to the Form 10-K for the fiscal year ended December 31, 2003, the plaintiffs filed a second amended complaint and on March 30, 2001, the Court denied the defendant’s motion to dismiss the plaintiffs’ second amended complaint. The Court also denied the Company’s motion for reconsideration. Subsequently, the Court certified the class and the parties commenced discovery. Discovery in the case is now complete. The Company filed a motion for summary judgment on September 30, 2003 in which it asks the Court to find that there is no genuine issue as to any material fact in the case, and therefore, the case must be dismissed. The plaintiffs have filed a brief in opposition, and the motion is currently pending before the Court.

Further, according to the Form 10-K, the actions were consolidated into a single action. On May 14, 1999 a stockholder of the Company filed a derivative complaint in the Delaware Court of Chancery purportedly on behalf of the Company, alleging that certain directors breached their fiduciary duties by engaging in the conduct that is alleged in the consolidated federal class action complaint. The derivative action has been stayed by the agreement of the parties. On July 19, 2000, the Court granted the Company’s motion to dismiss the consolidated federal class action complaint for failure to state a claim against the Company, and granted the plaintiffs leave to amend their complaint. On July 20, 2004, Theragenics Corporation announced that it settled its securities class action lawsuit.

INDUSTRY CLASSIFICATION:
SIC Code: 2834
Sector: Healthcare
Industry: Biotechnology & Drugs

COMPANY/ISSUER NAME:	Theragenics Corporation
COMPANY/ISSUER TICKER:	TGX
COMPANY WEBSITE:	http://www.theragenics.com

FIRST IDENTIFIED COMPLAINT IN THE DATABASE

MCV Sales Inc Profit Sharing Plant & Trust DTD, et al. v. Theragenics Corporation, et al.

COURT: N.D. Georgia	DOCKET NUMBER: 99-CV-00141
JUDGE NAME: Hon. Thomas W. Thrash
DATE FILED: 01/15/1999	SOURCE: Business Wires
CLASS PERIOD START: 01/29/1998	CLASS PERIOD END: 01/11/1999
TYPE OF COMPLAINT: Unamended/Unconsolidated
PLAINTIFF FIRMS IN THIS OR SIMILAR CASE:
Chitwood & Harley 1230 Peachtree Street, N.E., 2900 Promenade II, Atlanta, GA, 30309 (voice) 888.873.3999, (fax) , Finkelstein & Krinsk LLP 501 West Broadway, Suit 1250, San Diego, CA, 92101 (voice) 877.493.5366, (fax) 619.238.5425, Milberg Weiss Bershad Hynes & Lerach LLP (San Diego, CA) 600 West Broadway, 1800 One America Plaza, San Diego, CA, 92101 (voice) 800.449.4900, (fax) , support@milberg.com _____________________________________________ TOTAL NUMBER OF PLAINTIFF FIRMS: 3

DOCUMENTS FOR THE FIRST IDENTIFIED COMPLAINT
LEAD DOCKET FOR CASE #: 99-CV-141
Type: Docket		Date on the document: 08/14/1999

REFERENCE COMPLAINT

In re Theragenics Corporation Securities Litigation

COURT: N.D. Georgia	DOCKET NUMBER: 99-CV-00141
JUDGE NAME: Hon. Thomas W. Thrash
DATE FILED: 08/21/2000	SOURCE: Other
CLASS PERIOD START: 01/29/1998	CLASS PERIOD END: 01/11/1999
TYPE OF COMPLAINT: Second Amended
PLAINTIFF FIRMS NAMED IN COMPLAINT:
Abbey Gardy, LLP 212 East 39th Street, New York, NY, 10016 (voice) 212.889.3700, (fax) , info@abbeygardy.com Barrack, Rodos & Bacine (Main office, Philadelphia) 3300 Two Commerce Square, 2001 Market Street, Philadelphia, PA, 19103 (voice) 215.963.0600, (fax) 215.963.0838, info@barrack.com Chitwood & Harley 1230 Peachtree Street, N.E., 2900 Promenade II, Atlanta, GA, 30309 (voice) 888.873.3999, (fax) , Finkelstein & Krinsk LLP 501 West Broadway, Suit 1250, San Diego, CA, 92101 (voice) 877.493.5366, (fax) 619.238.5425, Hoffman & Edelson 45 West Court Street, Doylestown, PA, 18901-4223 (voice) 215.230.8043, (fax) , Milberg Weiss Bershad Hynes & Lerach LLP (New York, NY) One Pennsylvania Plaza, New York, NY, 10119-1065 (voice) 212.594.5300, (fax) , Starr & Hollman LLP , , , (voice) , (fax) , Wechsler Harwood LLP 488 Madison Avenue 8th Floor, New York, NY, 10022 (voice) 212.935.7400, (fax) , info@whhf.com Weinstein, Kitchenoff, Scarlato & Goldman 1608 Walnut Street, Suite 1400, Philadelphia, PA, 19103 (voice) 215.545.7200, (fax) 215.545.6535, info@wksg.com Wolf Haldenstein Adler Freeman & Herz LLP 270 Madison Avenue, New York, NY, 10016 (voice) 212.545.4600, (fax) 212.686.0114, newyork@whafh.com _____________________________________________ TOTAL NUMBER OF PLAINTIFF FIRMS: 10

DOCUMENTS FOR THE REFERENCE COMPLAINT
US District Court Civil Docket
Type: Docket		Date on the document: 03/12/2004
Stipulation and Agreement of Settlement
Type: Settlement		Date on the document: 07/27/2004
Notice Of Pendency Of Class Action And Proposed Settlement, Motion For Attorneys’ Fees And Settlement Fairness Hearing
Type: Notice		Date on the document: 08/05/2004
Proof of Claim and Release
Type: Other		Date on the document: 08/05/2004
U.S. District Court Civil Docket
Type: Docket		Date on the document: 04/07/2005

OTHER DOCUMENTS
Class Action Complaint for Violations of Federal Securities Laws
Case Name and/or Number: Kursman v. Theragenics Corp., et al.
Type: Complaint		Date on the document: 01/22/1999

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