According to the Minute Order entered on January 15, 2004, the Order and Final Judgment were entered and the Plaintiff’s counsel was awarded $1,233,333.00 of the Settlement Fund as attorneys' fees and $583,380.00 in reimbursement of expenses. The case was terminated.
The complaint alleges that defendants violated the federal securities laws (Sections 10(b) and 20(a) of the Securities Exchange Act of 1934) by misrepresenting or failing to disclose material information about Allied's results of operations, financial condition, weaknesses in its financial internal controls, accounting for long-term construction contracts and employee stock option compensation expense. The complaint alleges that defendants issued false and misleading press releases and financial statements for the year ended 1996 and all interim and annual statements for 1997 and 1998.
In particular, plaintiff alleges that defendants (a) failed to disclose that
they were overstating Allied's reported profits by, among other things,
inflating reported earnings through improperly recognizing profits associated
with long-term construction contracts, and (b) failing to disclose that the
Company had long since lost control over estimating construction costs, and
accounting for employee stock option compensation expense. As a result of
defendants' false and misleading statements and material omissions, the price of Allied's stock was artificially inflated during the Class Period, such that persons who purchased or otherwise acquired common stock during the Class Period were damaged by overpaying for the stock.