According to the complaint filed July 19, 2011, the plaintiffs allege that defendants violated Sections 10(b) and 20(a) of the Exchange Act by concealing the hacking of cell phones of high profile individuals in the United Kingdom and illegally paying government officials to hack cell phones of victims after the 9/11 attacks.
The plaintiffs claim that reporters, with the knowledge and consent of their editors, at News of the World, a United Kingdom newspaper run by News International, the company’s 100% wholly owned British newspaper division have been hacking into the cell phones messages of more that 4,000 people for years.
Further, the complaint charges that reporters also tried to pay a New York City police officer to hack into the phone messages of the American families and victims of the September 11 terrorist attacks.
Plaintiffs also allege that in an effort to conceal this illegal activity, one of the named defendants authorized out-of-court settlements to victims of phone hacking and recently admitted that the company repeatedly misled Parliament regarding this matter. The plaintiffs believe this cover-up activity has been happening for years.
Ultimately, the complaint states that these cover-ups amounted to material misrepresentations about the allegedly illegal activity to the company’s shareholders.
On August 9, 2011, the Court issued a Notice of Reassignment to Judge Paul G. Gardephe. Further, the Court accepted as related the following cases: 11-cv-05073 and 11-cv-04917.
On June 4, 2012, the Court issued an Order appointing lead plaintiff and approving the selection of lead counsel.
On July 31, 2012, the plaintiffs filed their consolidated and amended class action complaint.
On March 31, 2014, the Court issued a Memorandum and Opinion granting defendants' motions to dismiss. Plaintiffs were given leave to file an amended complaint.
On April 30, 2014, the Plaintiffs filed a Consolidated Second Amended Class Action Complaint.
On September 21, 2016, the Court issued an Order dismissing this case.