Case Page

 

Case Status:    ONGOING    
On or around 01/15/2016 (Ongoing date of last review)

Filing Date: May 13, 2009

Several class action complaints have been filed in the U.S. District Courts for the Districts of New Jersey and Colorado. Specifically, the complaints allege that Oppenheimer Funds, Inc. ("OFI") and certain of its Trustees violated the Securities Act of 1933 by issuing prospectuses which misled investors concerning the risks of investing in the Fund. These undisclosed risks are alleged to have been the cause of a severe decline in the value of the Fund's shares, far exceeding the decline of competing municipal bond funds.

The Fund employed strategies which enhanced its reported returns while, at the
same time, exposing the Fund to a greater risk of price declines in the value of its portfolio securities in the event of any illiquidity in the market for municipal securities.
However, in doing so, the prospectuses and other sales materials employed in selling and marketing the Fund failed to disclose that these very strategies exposed the Fund to substantially greater risk of loss due to the company being forced to sell large blocks of portfolio securities at disadvantageous times and prices reduced from those at which the securities were previously carried on the books.

On June 17, 2009, by Transfer Order from Judicial Panel on Multidistrict Litigation, this action and many others were transferred to the District of Colorado, MDL 2063, In Re: Oppenheimer Rochester Funds Group Securities Litigation.

On November 18, 2009, the Court approved the motion to appoint Leonard Klorfine as Lead Plaintiff in the AMT-Free Municipal Fund class actions, and approved his selection of Cohen Milstein as Lead Counsel for the class.

On January 15, 2010, an Amended Class Action Complaint was filed in Master Docket No. 09-md-02063-JLK-KMT (MDL Docket No. 2063), In Re: Oppenheimer Rochester Funds Group Securities Litigation, in relation to In re AMT-Free Municipals Fund. The complaint adds violation of Section 13(a) of the Investment Company Act of 1940, in addition to violations of Securities Act of 1933.

COMPANY INFORMATION:

Sector: Financial
Industry: Investment Services
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: OPTAX
Company Market: Open-end Fund
Market Status: Open-end Fund

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: D. Colorado
DOCKET #: 09-CV-02279
JUDGE: Hon. William J. Martini
DATE FILED: 05/13/2009
CLASS PERIOD START: 05/08/2006
CLASS PERIOD END: 10/21/2008
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Abraham, Fruchter & Twersky (New York, One Pennsylvania Plaza)
    One Pennsylvania Plaza, Suite 1910, Abraham, Fruchter & Twersky (New York, One Pennsylvania Plaza), NY 10119
    212.279.5050 212.279.3655 · JFruchter@FruchterTwersky.com
  2. Kantrowitz, Goldhamer & Graifman, P.C.
    210 Summit Avenue, Kantrowitz, Goldhamer & Graifman, P.C., NJ 07645
    201-391-7000 201-307-1086 · kgg@kgglaw.com
  3. Stull, Stull & Brody (New York)
    6 East 45th Street, Stull, Stull & Brody (New York), NY 10017
    310.209.2468 310.209.2087 · SSBNY@aol.com
No Document Title Filing Date
COURT: D. Colorado
DOCKET #: 09-MD-02063
JUDGE: Hon. William J. Martini
DATE FILED: 01/15/2010
CLASS PERIOD START: 05/13/2006
CLASS PERIOD END: 10/21/2008
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Cohen Milstein Sellers & Toll PLLC (Washington DC)
    1100 New York Avenue, N.W., Suite 500, West Tower, Cohen Milstein Sellers & Toll PLLC (Washington DC), DC 20005
    202.408.4600 202.408.4600 ·
No Document Title Filing Date
No Document Title Filing Date