According to the docket, on October 20, 1999, the Court entered the Settlement Order pursuant to Local Rule 111.1, dismissing the Civil Action with each party bearing its own costs unless otherwise agreed. The case was closed. On October 27, 1999, a joint motion was filed to reopen the case and on November 4, 1999, the Court entered the Order by U.S. District Judge Andre M. Davis, denying the joint motion. The Order further modified the Court’s previous Order of dismissal so that the action is dismissed without prejudice.
The lawsuit charges Condor and its Chairman and Chief Executive Officer with violations of the securities laws and regulations of the United States. The complaint alleges that defendant Hill issued a series of false and misleading statements concerning the Company's revenues during the Class Period. On June 9, 1999 the Company stunned the investment community by announcing that it would suffer a fall off in revenues as companies concentrated their software spending on year 2000 remediation projects. The Company also announced that due to the loss or delay of several contracts its revenues would fall significantly below analysts estimates. The Complaint alleges that this announcement of June 9, 1999 directly contradicted the Company's positive statements during the Class Period. Upon the release of this announcement the Company's stock price dropped approximately 50% on extraordinarily heavy trading volume.