Case Page

 

Case Status:    DISMISSED    
On or around 06/07/2005 (Other)

Filing Date: May 22, 2001

According to the latest docket posted, on March 19, 2002, the Court entered the Orders granting the motion for an order to consolidate several cases and granting the motion to appoint lead plaintiff and co-lead counsel. On May 6, 2002, the plaintiffs filed a Consolidated Class Action Amended Complaint, and the defendants responded by filing a motion to dismiss the complaint. On March 6, 2003, the Court entered the Order denying the defendants’ motion to dismiss the complaint. The plaintiffs then filed a Second Consolidated Class Action Complaint on June 9, 2003. On August 1, 2003, the individual defendants filed a motion to dismiss the Second Amended Complaint. On August 20, 2003, Loral Space & Communications filed a suggestion of bankruptcy. On March 2, 2004, the Court entered the Memorandum and Opinion # 89735. According to the Memorandum, the Court has considered all of the remaining arguments of the parties, and they are either moot or without merit. For the reasons stated, the defendants' motion to dismiss the claims in the amended complaint against the individual defendants is granted. On May 31, 2005, the Court issued an Order administratively closing the case.

The complaint was filed against Loral Space & Communications Ltd. The complaint alleges violations of Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5. The complaint alleges that the defendants made material misrepresentations and omissions of material facts concerning the company's business performance during the relevant time. The complaint alleges that these statements failed to disclose that Globalstar was experiencing regulatory problems and delays in receiving necessary European approvals to achieve sales in conformity with Globalstar's stated business plans. In fact, undisclosed regulatory delays effectively prevented sales in Europe until approximately April or May of 2000. Moreover, the statements failed to disclose that Globalstar's business plans were predicated primarily on sales in developed nations and that Globalstar phones did not offer ``roaming'' service, rendering them uncompetitive in developed nations. Furthermore, defendant Schwartz's statements about the number of phones by December 31, 1999 and December 31, 2000 were materially false. Defendant Schwartz had no basis for making such statements. Indeed, defendant Schwartz was in a clear position to know that Globalstar's projections were entirely without basis and that by December 31, 1999, Globalstar would not sell phones or achieve subscriptions in remotely those numbers.

COMPANY INFORMATION:

Sector: Technology
Industry: Electronic Instruments & Controls
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: LOR
Company Market: New York 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: S.D. New York
DOCKET #: 01-CV-4388
JUDGE: Hon. John G. Koeltl
DATE FILED: 05/22/2001
CLASS PERIOD START: 11/04/1999
CLASS PERIOD END: 02/01/2001
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. 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
  2. Stull, Stull & Brody (New York)
    6 East 45th Street, Stull, Stull & Brody (New York), NY 10017
    310.209.2468 310.209.2087 · SSBNY@aol.com
  3. Wechsler Harwood LLP
    488 Madison Avenue 8th Floor, Wechsler Harwood LLP, NY 10022
    212.935.7400 · info@whhf.com
No Document Title Filing Date
COURT: S.D. New York
DOCKET #: 01-CV-4388
JUDGE: Hon. John G. Koeltl
DATE FILED: 06/09/2003
CLASS PERIOD START: 11/04/1999
CLASS PERIOD END: 02/01/2001
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Cauley Geller Bowman & Coates (Boca Raton, FL)
    2255 Glades Road Suite 421A, Cauley Geller Bowman & Coates (Boca Raton, FL), FL 33431
    561.750.3000 ·
  2. Wechsler, Harwood, Halebian & Feffer, LLP
    488 Madison Avenue, Wechsler, Harwood, Halebian & Feffer, LLP, NY
    212.935.7400 10022 ·
No Document Title Filing Date