Processing your request

please wait...

Case Page


Case Status:    DISMISSED    
On or around 12/13/2004 (Date of order of final judgment)

Filing Date: September 21, 2004

According to the Company’s Form 10-K for the fiscal year ended December 31, 2004, on December 10, 2004 an order was entered by the court dismissing this action without prejudice in response to a notice of voluntary dismissal without prejudice filed by counsel for the Kissel Family Trust. The Company did not pay any consideration or compensation to the Kissel Family Trust or their counsel in connection with this voluntary dismissal.

The Complaint alleges that Radiation Therapy and certain of its officers and directors issued materially false statements concerning its initial public offering ('IPO'). Specifically, Radiation Therapy failed to disclose the that: (i) the IPO was purely a liquidity event for management/owners -- not a source of growth capital for the Company because 100% of the IPO proceeds went into the hands of Radiation Therapy's primary shareholders; (ii) the numerous related party transactions by Radiation Therapy increased the risk of its business model running afoul of State and Federal laws governing corporate practice of medicine, fee splitting and physician-referrals; and (iii) organic revenue growth had slowed dramatically and could be further disrupted in January due to changes in the way medical oncologists run their businesses. On September 9, 2004, Banc of America Securities ('Banc of America') initiated coverage of Radiation Therapy Services with a 'sell' rating and an $11 target price. Banc of America said the Company's IPO 'was purely a liquidity event for management/owners' and noted that following the IPO management 'gifted itself another 5% of the company via new option grants.' Banc of America said: 'We simply cannot recommend purchasing the stock until the company's board structure (currently four insiders, just three independent directors) and extensive related party relationships are materially overhauled.' On this news, Radiation Therapy fell $1.66 per share, or 11.98%, to $12.20 per share.


Sector: Healthcare
Industry: Healthcare Facilities
Headquarters: United States


Ticker Symbol: RTSX
Company Market: NASDAQ
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: M.D. Florida
DOCKET #: 04-CV-00470
JUDGE: Hon. John E. Steele
DATE FILED: 09/21/2004
CLASS PERIOD END: 09/08/2004
  1. Barker, Rodems & Cook, PA (former)
  2. Law Offices of Brian M. Felgoise, P.C.
  3. Schatz & Nobel, P.C.
  4. Schiffrin & Barroway LLP
No Document Title Filing Date
—Reference Complaint Complaint Related Data is not available
—Related District Court Filings Data is not available