According to the docket posted, on January 7, 1999, the plaintiff filed a notice of voluntary dismissal with prejudice. On January 15, 1999, the Court entered the Order signed by U.S. District Judge Alan S. Gold approving the notice of voluntary dismissal. The case was closed and all pending motions in the action were denied as moot.
The Complaint alleges that defendants violated Sections 10(b)(5), and Rule 10b-5 promulgated thereunder, and 20(a) of the Securities Exchange Act of 1934 (the "Act"). The action, pending in the United States District Court for the Southern District of Florida, West Palm Beach Division, seeks to recover damages suffered by plaintiff and purchasers of AmeriPath common stock during the Class Period. Defendants, the Complaint alleges, failed to disclose that material portions of its income were derived through improper preparation and filing of materially inaccurate and inflated cost reports for reimbursement by Medicare. Defendants' deceptive scheme, artificially inflated the market price of AmeriPath common stock during the Class Period and caused plaintiff and other putative Class members to purchase AmeriPath common stock at inflated prices. When defendants belatedly disclosed previously omitted and misrepresented facts on November 24, 1998, the Company's common stock, which closed on November 23, 1998, at $9.09, fell to $4.875 per share -- a decline of nearly 45% on extremely heavy volume of 5.98 million shares --
approximately 59 times daily average volume.