Case Page


Case Status:    DISMISSED    
On or around 09/03/2008 (Stipulation and order of dismissal (voluntary dismissal))

Filing Date: June 01, 2007

According to a press release dated June 20, 2007, a lawsuit has been filed on behalf of all persons who placed market orders to purchase or sell securities on the New York Stock Exchange through the New York Stock Exchange's Super Designated Order Turnaround ("SuperDOT") System between October 17, 1998 and the present (the "Class" and "Class Period").

In its securities fraud claims, the Complaint alleges that Defendants violated federal securities laws by employing manipulative or deceptive devices or contrivances with regard to the market for trade execution services on the New York Stock Exchange and the costs of those executions. Specifically, the Complaint alleges that throughout the Class Period, Defendants exploited their control over order execution and publication of the data relating to order execution to create, maintain and conceal the existence of two distinct submarkets on the New York Stock Exchange: a dominant "insider" submarket comprised of trades executed for the benefit of those members of the New York Stock Exchange who operated on the floor of the exchange and an inferior, "outsider" submarket comprised of SuperDOT trades. The Complaint alleges that in order to accomplish the intentional, systematic subordination of SuperDOT trades, Defendants made material misrepresentations and concealed material information concerning the fairness and efficiency of trade executions on the New York Stock Exchange and used various other contrivances including (1) filling floor orders ahead of simultaneously or previously placed SuperDOT orders; (2) allowing floor brokers to see incoming SuperDOT orders; and (3) routinely slowing or accelerating the execution of SuperDOT orders for the benefit of floor orders. The Complaint alleges that as a result of Defendants' illegal activity, members of the Class suffered approximately $1 billion in damages per year throughout the Class Period.

NOTE: The Complaint alleges securities fraud claims against the New York Stock Exchange; Goldman Sachs Group, Inc.; Spear, Leeds & Kellogg Specialists, LLC; Goldman Sachs Execution & Clearing, L.P.; Bear, Stearns & Co., Inc.; Bear Waggner Specialists, LLC; Bear, Stearns Securities Corporation; Bank of America Corporation; Fleet Specialists, Inc.; Bank of America Securities LLC; LaBranche & Co, Inc.; LaBranche & Co, LLC; Susquehanna International Group, LLC; SIG Specialists, Inc.; Van der Moolen Holding, N.V.; Van der Moolen Specialists USA, LLC; Merrill Lynch, Pierece, Fenner & Smith, Inc.; Merrill Lynch & Co., Inc.; Citigroup Global Markets, Inc.; Citigroup, Inc.; Morgan Stanley Co., Inc.; UBS Securities LLC; Credit Suisse Securities (USA) LLC; Credit Suisse Group, Inc.; Jeffries Execution Services, Inc.; Jeffries Group, Inc.; Deutsche Bank Securities , Inc.; Fidelity Investments; Fidelity Management & Research Co.; and National Financial Services, Inc. (collectively, the "Defendants"). Additional claims for violation of federal antitrust law and breach of fiduciary duty were also filed against certain of these Defendants.

The case was referred as related to a 2003 case against the New York Stock Exchange, case number to 1:03-cv-8264, but on June 14, 2007, it was declined as related by Judge Robert W. Sweet and returned to wheel for assignment. The case is now assigned to Judge Loretta A. Preska.

On August 20, 2008, a notice of voluntary dismissal was filed by the plaintiffs and the notice was referred to the Judge for approval. On September 3, 2008, the action was dismissed without prejudice.


Sector: Financial
Industry: Investment Services
Headquarters: United States


Ticker Symbol:
Company Market: Undetermined
Market Status: Unknown

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. New York
DOCKET #: 07-CV-04658
JUDGE: Hon. Loretta A. Preska
DATE FILED: 06/01/2007
CLASS PERIOD END: 06/01/2007
  1. Becker Meisel LLC
    354 Eisenhower Parkway. Suite 2800, Becker Meisel LLC, NJ 07039
    973.422.1100 973.422.9122 ·
  2. Schatz Nobel Izard P.C.
    One Corporate Center, 20 Church Street , Schatz Nobel Izard P.C., CT
    860.493.6292 860.493.6290 ·
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