According to the docket dated February 28, 2005, on February 22, 2005, the Court entered the Final Judgment and Order of Dismissal by U.S. District Judge Dean D. Pregerson approving the settlement set forth in the Amended Stipulation. The Court further approved the plan of allocation of settlement proceeds and awarded Co-Lead Counsel attorney’s fees of 25% of the class settlement fund and reimbursement of expenses in an aggregate amount of $289,280.82 together with the interest earned. Earlier, on April 23, 2002, defendant Team Communications Group, Inc., filed a Notice of Filing Bankruptcy.
The complaint charges defendants Team Communications Group, Inc. and certain of its officers and directors with violations of the Securities Exchange Act of 1934. The complaint alleges that during the Class Period, Team Communications reported favorable but false financial results, causing its stock to trade at artificially inflated levels of as high as $12 per share. Then, on February 13, 2001, prior to the market opening, Team Communications shocked the investment community with a press release which revealed that the Company expected to record a Q4 charge equivalent to more than five times all the income it reported during the Class Period. It also acknowledged that certain of its acquisition and distribution activities may have "lacked economic substance."