According to the docket, on June 13, 2002, a Stipulation of dismissal with prejudice was filed by Prudential Securities and on June 25, 2002, pursuant to the Court’s Order, the action was dismissed with prejudice.
Earlier, on March 3, 2000, a Third Amended Class Action Complaint was filed by the plaintiffs terminating certain Individual Defendants and defendant Jefferson Savings. Further, on October 20, 2000, the Court entered the Order by U.S. District Judge G. P. Murphy and pursuant to a Stipulation for dismissal filed on October 12, 2000, dismissing the action against a certain Individual Defendant without prejudice.
The complaint alleges defendants Jefferson Savings Bancorp and certain of its officers and directors issued false and misleading statements and failed to disclose material facts concerning Jefferson Savings' operations. The suit alleges insiders lied about the thrift's financial performance and merger possibilities in order to inflate the stock price, which caused investors in Jefferson Savings to pay more than they should have for the stock. In some cases, the complaint alleges, insiders profited by selling their own stock at the artificially inflated prices. The suit also names Prudential Securities Inc. and a former broker at Prudential as defendants.