On July 19, 2004, the Court entered the Order and Final Judgment by U.S. District Judge T. S. Ellis III dismissing the complaint with prejudice. The Court awarded Plaintiff’s counsel 23.53% of the gross settlement fund as and for their fees, and $153,297.24 in reimbursement of expenses. The case is closed.
According to a press release dated April 28, 2004, a settlement for $1,700,000 has been proposed. A hearing will be held on July 16, 2004 to determine whether the proposed settlement should be approved by the Court as fair, reasonable, and adequate, and to consider the application of Plaintiffs' Counsel for attorneys' fees and reimbursement of expenses.
The original Complaint alleges that defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder, by issuing a series of material misrepresentations to the market between October 30, 2002 and August 13, 2003. On August 14, 2003, before the market opened, defendants shocked the public when they issued a press release and concurrently filed a Form
8-K with the SEC announcing that BearingPoint's financial results would
be restated for the first three quarters of fiscal 2003 due to
acquisition and accounting relating adjustments. The market's reaction
to the announcement was swift and drastic. On August 14, 2003, the
price per share of BearingPoint common stock fell $2.41 or 23 percent
from its previous day's trading to close at $7.90, on unusually heavy