According to the Order and Final Judgment, dated March 20, 2000, U.S. District Judge Sam A. Lindsay dismissed the case with prejudice. Plaintiffs’ counsel was awarded attorneys’ fees in the amount of $843,000, including expert's fees in the amount of $42,528.31, to be paid out of the settlement fund. The case was closed. On April 20, 2001, the motion for distribution of settlement funds and for payment of fees and expenses was granted. Further, it was ordered that the firm of FRG pay the sum of $22,326.96 from the HealthCor Holdings, Inc. Settlement Fund for its fees and out-of-pocket expenses incurred in connection with the claims administration process.
The Complaint alleges that, during the Class Period, Citizens and certain of its officers and directors (collectively, the "Defendants") violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 by, among other things, issuing false and misleading statements to the investing public regarding HealthCor's business, operations, financial condition and performance. Plaintiffs allege that the Defendants learned in February 1997, but failed to disclose during the Class Period, that Medicare had imposed new rules and cost limits affecting payments related to the location of the Company's branch offices, which had the effect of materially reducing the amount of money that HealthCor was entitled to receive from Medicare for services that had been provided, as well as for services that would be provided by HealthCor in the future.