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Case Status:    SETTLED
On or around 07/31/2015 (Date of order of final judgment)

Filing Date: October 14, 2008

This case was removed from the New York State Supreme Court to the Federal United States District Court for the Southern District of New York. On October 14, 2008,the complaint and notice of removal was filed in the federal district court.

The complaint alleges violations of Sections 11, 12 and 15 of the Securities Act of
1933 after the sales of Certificates, backed by pools of one- to four-family residential,payment-option, adjustable-rate first lien mortgage loans with a negative amortization feature.

On May 18, 2009, a Consolidated First Amended Securities Class Action was filed by the lead plaintiffs in this matter.

On March 31, 2010, an opinion and order partially dismissed the claims asserted by the plaintiffs. The Court's conclusion stated, the Plaintiffs' claims with regard to the offerings they did not purchase are dismissed for lack of standing. Plaintiffs' claims related to allegations of conflicts of interest between the RBS Defendants and the rating agencies, as well as claims related to allegations of outdated rating models and inadequate credit enhancements, are dismissed for failure to state a claim. Plaintiffs' claims related to the disregard of underwriting guidelines may proceed.

On August 16, 2010, the plaintiffs filed a motion for class certification.

On January 4, 2011, a Consolidated Second Amended Class Action Complaint was filed. The defendants responded by filing a motion to dismiss. According to the Opinion and Order dated April 28, 2011, Judge Harold Baer granted the motions to dismiss are granted to the extent that Intervenors' section 12 claims are dismissed, RALI Intervenors' Section 15 claims against the Underwriter Defendants are dismissed, IPERS's claims related to Harborview offerings 2006-10 and 2007-7 are dismissed, and OCERS's claims related to RALI offering 2006-Q06 are dismissed. Having considered Defendants' remaining arguments and found them unavailing, the motions to dismiss are otherwise denied.

According to the Amended Opinion and Order dated May 19, 2011, the motions to dismiss are granted to the extent that Intervenors' section 12 claims are dismissed, RALI Intervenors' Section 15 claims a gainst the Underwriter Defendants are dismissed, IPERS' s claims related to Harborview offerings 2006-10 and 2007-7 are dismissed, and OCERS's claims related to RALI offering 2006Q06 are dismissed. Having considered Defendants' remaining arguments and found them unavailing, the motions to dismiss are otherwise denied.

On October 15, 2012, the Court issued an Order granting lead plaintiff's amended motion for class certification.

On January 3, 2013, the Court issued an Order ruling on a number of motions. Defendants' motion to dismiss, RALI Defendants' motion to stay, and Plaintiff's motion to reconsider were all denied. Plaintiffs' application for the modification of class definition was granted.

On April 30, 2013, the Court issued an Order granting the Harborview Plaintiffs' motion for reconsideration, and granting in part and denying in part the RALI Plaintiffs' motion for reconsideration.

On May 10, 2013, the Plaintiffs filed a consolidated third amended complaint.

On June 14, 2013, the Plaintiffs and certain Defendants arrived at a Settlement Agreement. The Settlement was preliminarily approved by the Court on June 28. On October 7, 2013, the Court issued an Order granting Counsel's reimbursement of expenses. On October 8, 2013, the Court issued an Order approving the Settlement.

On February 13, 2015, the Plaintiffs and certain Underwriter Defendants reached a Settlement Agreement. This Settlement was preliminarily approved by the Court on February 19. On July 31, the court granted final approval and dismissed this case.

COMPANY INFORMATION:

Sector: Financial
Industry: Consumer Financial Services
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol:
Company Market: Privately Traded
Market Status: Privately Held

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 #: 08-CV-08781
JUDGE: Hon. Harold Baer
DATE FILED: 10/14/2008
CLASS PERIOD START: 01/26/2006
CLASS PERIOD END: 09/22/2008
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Schoengold Sporn Laitman & Lometti PC
    19 Fulton Street, Suite 406, Schoengold Sporn Laitman & Lometti PC, NY 10038
    212.964.0046 212.267-8137 · shareholderrelations@spornlaw.com
No Document Title Filing Date
COURT: S.D. New York
DOCKET #: 08-CV-08781
JUDGE: Hon. Harold Baer
DATE FILED: 05/10/2013
CLASS PERIOD START: 01/26/2006
CLASS PERIOD END: 09/22/2008
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Cohen Milstein Sellers & Toll PLLC (New York)
    88 Pine Street, 14th Floor, Cohen Milstein Sellers & Toll PLLC (New York), NY 10022
    212.838.7797 212.838.7797 ·
  2. Zwerling Schachter & Zwerling LLP (New York)
    41 Madison Avenue-32nd Floor, Zwerling Schachter & Zwerling LLP (New York), NY 10010
    212.223.3900 212.223.3900 · inquiry@zsz.com
No Document Title Filing Date