Case Page

 

Case Status:    DISMISSED    
On or around 08/23/2002 (Other)

Filing Date: March 17, 2000

As summarized by the lead counsel’s website, additional cases have been filed on behalf of investors. The various cases were consolidated and on March 20, 2001, Wolf Haldenstein Adler Freeman & Herz LLP was appointed Lead Counsel. A Consolidated Amended Complaint was filed on June 4, 2001. Defendants filed a motion to dismiss on July 13, 2001. Plaintiffs' opposition to the motion to dismiss was filed on August 17, 2001. Defendants' reply was filed on September 18, 2001. On December 7, 2001, the court granted defendants' motion to dismiss, but granted plaintiffs' leave to replead. On July 1, 2002, the court entered a default judgment against defendants for failure to defend the action. The case was closed on November 1, 2002.

The Complaint filed on August 16, 2000, alleges that certain of the Company's officers and directors violated the federal securities laws by providing materially false and misleading information about the Company's business, operations and financial condition and by siphoning off Company money and violating banking rules and regulations. In particular, the complaint alleges that throughout the Class Period, the defendants made false statements about the Company's financial results and misleadingly touted AppOnline's goal of becoming "a dominant player in the growing online home mortgage business." As a result of these false and misleading statements, the Company's stock traded at artificially inflated prices during the class period.

The complaint further alleges that on or around May 24, 2000, after nearly a year of positive news had been issued by the Company, Newsday reported that Island Mortgage Network, Inc., a subsidiary of AppOnline, was fined by the FHA for making loans that did not comply with FHA standards, based on allegedly false documentation and incomplete or incorrect information. On June 30, 2000, New York State Banking Regulators suspended Island's banking license for allegedly making loans it could not fund and refusing to allow regulators access to its files. On August 14, 2000, AppOnline stock closed at $0.08 per share, down 98.5% from a class period high of $5.50. Trading of AppOnline was then halted.


AppOnline filed for protection under the federal bankruptcy laws on or about July 19, 2000 and has not been named as a defendant in this action.

Plaintiffs commenced the action titled Horvitz, et al. v. AppOnline.Com, Inc., Dawcin International Corp., et al. in the United States District Court, Eastern District, on March 17, 2000, seeking damages in an amount to be determined at trial, but in no event less than $800,000. Plaintiffs allege violations of the Securities Exchange Act. According to the docket, on October 5, 2000, the Court entered the Order and Default Judgment against defendants Dawcin International, First Equities, Corp., IMN Equities Corp., Fidelity Transfer, Edward Capuano, Jeffrey Skulsky requiring the defendants to issue a number of shares to the plaintiff. On June 29, 2001, the Court entered a Stipulation and Order of Dismissal dismissing claims against defendant Jersey Transfer & Trust Co., Inc. Finally, on February 27, 2004, the Court entered the Order dismissing the case due to a bankruptcy stay. According to the Order, at the completion of the bankruptcy stay the court will reopen the case upon receipt of letter from counsel so requesting. The case was administratively closed.

COMPANY INFORMATION:

Sector: Financial
Industry: Consumer Financial Services
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: AOP
Company Market: American SE
Market Status: Public (Listed)

About the Company & Securities Data


"Company" information provides the industry and sector classification and headquarters state for the primary company-defendant in the litigation. In general, "Securities" information provides the ticker symbol, market, and market status for the underlying securities at issue in the litigation.

In most cases, the primary company-defendant actually issued the securities that are the subject of the litigation, and the securities information and company information relate to the same entity. In a small subset of cases, however, the primary company-defendant is not the issuer (for example, cases against third party brokers/dealers), and the securities information and company information do not relate to the same entity.
COURT: E.D. New York
DOCKET #: 00-CV-01538
JUDGE: Hon. Denis Hurley
DATE FILED: 03/17/2000
CLASS PERIOD START: 06/01/1999
CLASS PERIOD END: 03/17/2000
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Cauley, Geller, Bowman, Coates & Rudman LLP (San Diego, CA)
    225 Broadway, Suite 1900, Cauley, Geller, Bowman, Coates & Rudman LLP (San Diego, CA), CA 92010
    619.702.7350 619.702.7351 ·
  2. Holzer & Holzer, LLC
    1117 Perimeter Center West, Suite E-107, Holzer & Holzer, LLC, GA 30338
    770.392.0090 770.392-0029 · mfistel@holzerlaw.com
  3. Law Offices of Charles J. Piven, P.A.
    World Trade Center-Baltimore,401 East Pratt Suite 2525, Law Offices of Charles J. Piven, P.A., MD 21202
    410.332.0030 · pivenlaw@erols.com
  4. Wolf Haldenstein Adler Freeman & Herz LLP (New York)
    270 Madison Avenue, Wolf Haldenstein Adler Freeman & Herz LLP (New York), NY 10016
    212.545.4600 212.686.0114 · newyork@whafh.com
No Document Title Filing Date
COURT: E.D. New York
DOCKET #: 00-CV-04838
JUDGE: Hon. Denis Hurley
DATE FILED: 06/04/2001
CLASS PERIOD START: 06/01/1999
CLASS PERIOD END: 06/30/2000
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Wolf Haldenstein Adler Freeman & Herz LLP (New York)
    270 Madison Avenue, Wolf Haldenstein Adler Freeman & Herz LLP (New York), NY 10016
    212.545.4600 212.686.0114 · newyork@whafh.com
No Document Title Filing Date
No Document Title Filing Date