According to the docket, on April 23, 2003, a Stipulation of settlement was filed and on April 30, 2003, the Court entered the Judgment by Judge Miriam Goldman Cedarbaum certifying the class as a class action. The Court dismissed the Action on the merits and with prejudice as to the defendants with each party bearing its own costs, except as otherwise provided. The application of lead counsel for an award of attorneys' fees was granted, and lawyers' fees in the amount of $95,000 was awarded and reimbursement of expenses in the amount of $30,848.13 was granted together with interest earned.
Earlier, on January 23, 2003, the Court entered the Stipulation of Voluntary Dismissal dismissing the case with prejudice against defendant Joseph Stevens & Co. Further, the counts V, V, and VI of the Amended Complaint alleging violations of Sections 11, 12 and 15 of the Securities Act of 1933 against all defendants were dismissed with prejudice and without costs.
The complaint alleges that the tender offer documents were materially false and misleading in that they failed to disclose defendants' scheme to defraud shareholders of Curtis by artificially depressing the Company's stock price in order to eventually repurchase the Company from the public at a steep discount. Specifically, the tender offer materials failed to disclose that defendants used their controlling stake to depress Curtis' stock price by selectively disclosing negative information regarding the Company, improperly reporting bad debt expense and otherwise failing to disclose material information about the Company. Also concealed from the public was the fact that a third party had expressed interest in making a tender offer for the common stock of Curtis on terms more favorable than offered by the defendants.