Case Page

 

Case Status:    SETTLED
On or around 07/09/2013 (Other)

Filing Date: April 17, 2009

According to a press release dated April 20, 2009, this Complaint alleges that during the Class Period, unbeknownst to Income-Plus Investors, Defendants failed to perform the necessary due diligence that they were being compensated to perform as investment advisors, managers and fiduciaries, and proximately caused millions of dollars in losses by placing the Plaintiffs’ investment assets of Income-Plus in entities managed by Bernard Madoff (“Madoff”). Defendants either knew or were reckless in not realizing that the Income-Plus Investment Fund’s assets that were placed with Madoff were at risk because his enterprise was a massive Ponzi scheme. Defendants ignored numerous red flags, including the abnormally high and stable positive investment results reportedly achieved by Madoff regardless of market conditions; inconsistencies between Bernard L. Madoff Investment Securities, LLC’s (“BMIS”) publicly available financial information concerning its asset and the purported amounts that Madoff managed for clients; and the fact that BMIS was audited by a small, obscure accounting firm.

Defendant issued an Offering Memorandum for Income-Plus Investment Fund that was false and misleading because it falsely stated that Jeanneret would conduct thorough due diligence with respect to Income-Plus’ investments. Plaintiffs allege that Defendants failed to perform the represented due diligence and oversight, and abdicated their fiduciary duties to the investors by entrusting the Plaintiffs’ assets with Madoff. Plaintiffs further allege that one of the Defendants negligently failed to conduct a proper audit of Income-Plus’ financial statements.

On November 6, 2009, the Court ordered The Local 73 Annuity Fund, The Local 73 Retirement Fund and The Plumbers and Steamfitters Local 267 Pension Fund to be appointed Lead Plaintiffs pursuant to section 21D(a)(3)(B) of theSecurities Exchange Act of 1934. The Lead Plaintiffs' choice of Lowey Dannenberg Cohen & Hart, P.C., as lead counsel was also approved.

On November 16, 2009, a Consolidated Amended Class Action Complaint For Violations Of Federal Securities Law and Common Law was filed by the Lead Plaintiffs.

On December 17, 2009, Plaintiffs' First Amended Complaint For Violations of The Employee Retirement Income Security Act (ERISA) was filed with the Court.

On May 21, 2010, a First, Second, and Third Amended Consolidated Class Action Complaint was filed with court by the Lead Plaintiffs.

On January 5, 2011, an Order of Transfer was issued by the Court regarding the case of Hartman v. Ivy Asset Management LLC.

On January 10, 2011, another transfer Order was issued by the Court.

On January 31, 2011, a Decision and Order Granting In Part and Denying In Part the Defendants' Motions to Dismiss the Second Amended Class Action Complaint was issued by the Court.

On February 10, 2011, a Third Amended Class Action and Derivative Complaint For Violations Of Federal Securities Law was filed in the Southern District of New York.

On March 14, 2011, a Stipulation and Order regarding discovery and previous dismissals was issued by the Court.

On April 5, 2011, the parties and their counsel agreed to a Stipulation of Dismissal as to a certain Defendant Pursuant Rule 41(a)(2) of the Federal Rules of Civil Procedure.

On April 4, 2012, the Court issued an Order granting the motions to certify class.

On November 13, 2012, the parties entered into a Stipulation of Settlement. On November 30, 2012, the Court issued a Preliminary Approval Order Providing For Notice and Hearing in Connection With Proposed Settlement.

On May 9, 2013, the Court issued an Order approving the Settlement and granting an award of attorneys' fees and expenses. On May 15, an amended version of this Order was issued by the Court. 14 days later, the Court issued a second amended version of this Order. On the same date, the Court also issued Orders awarding attorneys' fees and expenses.

COMPANY INFORMATION:

Sector: Financial
Industry: Investment 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 #: 09-CV-3907
JUDGE: Hon. Paul A. Crotty
DATE FILED: 04/17/2009
CLASS PERIOD START: 01/01/1999
CLASS PERIOD END: 04/17/2009
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Lowey Dannenberg Cohen & Hart, P.C. (New York)
    One North Broadway , Lowey Dannenberg Cohen & Hart, P.C. (New York), NY 10601-2310
    914.997.0500 914.997.0500 · mail@lowey.com
No Document Title Filing Date
COURT: S.D. New York
DOCKET #: 09-CV-03907
JUDGE: Hon. Paul A. Crotty
DATE FILED: 11/16/2009
CLASS PERIOD START: 01/01/1996
CLASS PERIOD END: 04/20/2009
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Lowey Dannenberg Cohen & Hart, P.C. (New York)
    One North Broadway , Lowey Dannenberg Cohen & Hart, P.C. (New York), NY 10601-2310
    914.997.0500 914.997.0500 · mail@lowey.com
No Document Title Filing Date