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Case Status:    SETTLED
On or around 02/04/2008 (Date of order of final judgment)

Filing Date: April 27, 2006

According to a press release dated February 7, 2008, GlobeTel Communications Corp. announced that the U.S. District Court for the Southern District of Florida has granted final approval of the previously disclosed settlements reached in a securities class action pending against the Company, and a shareholder derivative action filed against certain of its current and former directors and officers (docket numbers 06-21071 and 06-60923). As a result of these approvals, all claims in these two lawsuits have been fully settled and dismissed with prejudice by the court.

In an article dated November 20, 2007, GlobeTel Communications Corp. announced on Tuesday that it has preliminary approval for a $2.3 million settlement of a securities fraud class action and for a settlement of a derivative shareholder action against several of its officers. Both settlements were submitted on Oct. 26 and received preliminary approval on Nov. 1. They are still awaiting final approval.

On August 4, 2006, the Court entered the Order signed by U.S. District Judge Cecilia M. Altonaga granting the motion to appoint lead plaintiffs and to approve the selection of co-lead and liaison counsel. Further, the Court granted the motion to consolidate the pending similar actions. On October 2, 2006, the plaintiffs filed a Consolidated Amended Class Action Complaint. On October 30, 2006, the plaintiffs filed a Consolidated Amended Class Action Complaint. Defendants filed motions for dismissal and motions for hearing on the dismissal motions on December 20, 2006. On April 4, 2007 the judge granted certain motions by the individuals to be dismissed but provided leave to the plaintiffs to file a second amended complaint to fix the original's deficiencies. Choosing not to pursue claims against the dismissed individuals, parties went into discovery mediation. On October 26, 2007 the plaintiff submitted a notice of settlement and an agreed motion for preliminary approval of settlement. The gross settlement fund is in the amount of $2.3 million.

The original complaint alleges that defendants issued several statements during the Class Period which touted the consummation of a $600 million deal with a Moscow-based company named LLC Internafta to install wireless networks in Russia's 30 largest cities. The complaint alleges, however, that the Russian deal was a deception.

COMPANY INFORMATION:

Sector: Technology
Industry: Communications Equipment
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: GTE
Company Market: American 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. Florida
DOCKET #: 06-CV-21071
JUDGE: Hon. Cecilia M. Altonaga
DATE FILED: 04/27/2006
CLASS PERIOD START: 12/30/2005
CLASS PERIOD END: 04/11/2006
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Sarraf Gentile LLP (former NY)
    485 Seventh Avenue, Suite 1005, Sarraf Gentile LLP (former NY), NY 10018
    212.868.3610 212.918.7967 ·
  2. Shalov Stone & Bonner LLP (New York)
    485 Seventh Avenue, Suite 1000, Shalov Stone & Bonner LLP (New York), NY 10018
    212.239.4340 212.239.4310 · lawyer@lawssb.com
  3. Vianale & Vianale LLP (former Boca Raton)
    The Plaza - Suite 801, 5355 Town Center Road., Vianale & Vianale LLP (former Boca Raton), FL 33486
    561.391.4900 561.368.9274 · info@vianalelaw.com
No Document Title Filing Date
COURT: S.D. Florida
DOCKET #: 06-CV-21071
JUDGE: Hon. Cecilia M. Altonaga
DATE FILED: 10/30/2006
CLASS PERIOD START: 12/30/2005
CLASS PERIOD END: 08/24/2006
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Sarraf Gentile LLP (former NY)
    485 Seventh Avenue, Suite 1005, Sarraf Gentile LLP (former NY), NY 10018
    212.868.3610 212.918.7967 ·
  2. Shalov Stone & Bonner LLP (New York)
    485 Seventh Avenue, Suite 1000, Shalov Stone & Bonner LLP (New York), NY 10018
    212.239.4340 212.239.4310 · lawyer@lawssb.com
No Document Title Filing Date
No Document Title Filing Date