Processing your request


please wait...

Case Page

 

Case Status:    SETTLED  
—On or around 10/06/2009 (Date of order of final judgment)
Current/Last Presiding Judge:  
Hon. Shira A. Scheindlin

Filing Date: November 16, 2001

Other actions have been filed making similar allegations regarding the IPOs of more than 300 other companies. All of these have been coordinated for pretrial purposes as In re Initial Public Offering Securities Litigation, Civil Action No. 21-MC-92.

According to a Press Release dated November 16, 2001, the complaint alleges violations of Sections 11, 12(a)(2) and 15 of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. On or about October 27, 1999, Predictive commenced an initial public offering of 4,000,000 of its shares of common stock at an offering price of $18 per share (the "Predictive IPO"). Subsequently, on March 30, 2000, Predictive made a public offering of 3,800,000 shares (the "Predictive Secondary Offering"). In connection with each offering, Predictive filed a registration statement, which incorporated a prospectus (collectively, the "Prospectuses"), with the SEC. The complaint further alleges that the Prospectuses were materially false and misleading because they failed to disclose, among other things, that: (i) the Underwriters had solicited and received excessive and undisclosed commissions from certain investors in exchange for which the Underwriters allocated to those investors material portions of the restricted number of Predictive shares issued in connection with the Predictive IPO and the Predictive Secondary Offering; and (ii) the Underwriters had entered into agreements with customers whereby the Underwriters agreed to allocate Predictive shares to those customers in the Predictive IPO and the Predictive Secondary Offering in exchange for which the customers agreed to purchase additional Predictive shares in the aftermarket at pre-determined prices.

Protected Content


Please Log In or Sign Up for a free account to access restricted features of the Clearinghouse website, including the Advanced Search form and the full case pages.

When you sign up, you will have the option to save your search queries performed on the Advanced Search form.