FRT’s Fast Five: Week Ending July 2, 2021

FRT Marketing
July 2, 2021

Financial Recovery Technologies Fast Five provides you with the top news in shareholder class actions. Stay up-to-date on the latest developments in settled (U.S./Canada) claims filing opportunities, Antitrust settlements, Global Group Litigation matters and more. For more information, contact your Financial Recovery Technologies representative or email us.

1. Pension Fund Sues BioPharma Board Over COVID Vax Fiasco

An Illinois pension fund slapped top directors at Emergent BioSolutions Inc. with a derivative suit claiming board members made a mint selling stock before their lax oversight led to the contamination of over 15 million Johnson & Johnson COVID-19 vaccine doses. The Lincolnshire Police Pension filed suit in Maryland federal court Tuesday, alleging Emergent’s leaders breached their fiduciary duty by letting the facility operate without adequate quality controls and insufficiently trained staff, costing hundreds of millions of dollars after the J&J contamination came to light, the suit said. Click here to read the full article (subscription may be required).

2. Robbins Geller DQ Will Chill Investor Suits, 2nd Circ. Told

A New York federal judge’s “unprecedented” decision to disqualify investor firm Robbins Geller Rudman & Dowd LLP for an alleged disclosure failure in a case related to the FIFA bribery scandal will have a chilling effect on private securities law enforcement, a group of pension funds warned the Second Circuit Monday. U.S. District Judge Louis L. Stanton booted the law firm from the lead counsel spot in an investor class action accusing Mexico-based Televisa Group of sending stocks tanking when it revealed its role in the scandal. The amicus brief filed Monday by more than a dozen state and local retirement systems argues that forcing institutional investors to account for every twist and turn of investments managed by third parties will only discourage them from taking vanguard positions in important securities class actions. Click here to read the full article (subscription may be required).

3. SEC Cases Offer Insight Into Its Approach to Alleged COVID-19 Securities Fraud

A remote status conference was held 28 June for United States v. Mark Schena, currently pending in the US District Court for the Northern District of California. In the recently unsealed superseding indictment, the SEC alleges that Schena, who serves as the president and chief science officer of biotechnology company Arrayit Corporation (Arrayit), made false and misleading statements regarding a COVID-19 antibody test being developed by the company in early 2020. Schena is charged with health care fraud, securities fraud, offering illegal kickbacks, as well as conspiracy to commit health care fraud and pay illegal kickbacks. Public statements relating to Arrayit’s COVID-19 test also are the subject of at least three civil actions brought by the US Securities and Exchange Commission (SEC). Click here to read the full article.

4. New Securities Class Action Issue at SCOTUS: Does PSLRA Discovery Stay Apply in State Court?

In case the U.S. Supreme Court hasn’t sated its appetite for securities class action controversy after this week’s big decision in Goldman Sachs Group Inc v. Arkansas Teacher Retirement System, a onetime cloud computing company called Pivotal Software Inc is offering the justices a new shareholder litigation puzzle: Does the federal law staying discovery in securities class actions until investors have survived defendants’ dismissal motions also apply to cases in state court? Click here to read the full article.

5. Dutch Court Postpones Key Vote on Steinhoff’s Multibillion-rand Settlement Proposal

A Dutch court has postponed a key vote on retailer Steinhoff’s multibillion-rand proposal to settle with claimants who lost out in its dramatic share price plunge. A vote to either accept or reject Steinhoff’s proposed €943 million (roughly R17 billion) payout was set to take place in an Amsterdam district court on 30 June. This has now been postponed by an order of court to 3 September. No reason was provided in the ruling. During the vote a “committee of representation” will vote on behalf of claimants who have filed claims against Steinhoff with an administrator. Click here to read the full article.

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Financial Recovery Technologies’ Shareholder Litigation Fast Five provides you with the top news in shareholder class actions. This is your exclusive summary of the latest industry developments related to settled, group and antitrust actions and recovery opportunities. Click here to subscribe.

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About FRT

SETTLED CLAIMS  I  PASSIVE GROUP  I  ANTITRUST  I  FUTURE CLAIMS  I  OPT-IN MONITORING  I  OPT-OUT MONITORING

Founded in 2008, Financial Recovery Technologies (FRT) is the leading technology-based services firm that helps the investment community identify eligibility, file claims and collect funds made available in securities and other class action settlements. Offering the most comprehensive range of claim filing and monitoring services available, we provide best-in-class eligibility analysis, disbursement auditing and client reporting, and deliver the highest level of accuracy, accountability, and transparency available. For more information, go to www.frtservices.com.

This communication and the content found by following any link herein are being provided to you by Financial Recovery Technologies (FRT) for informational purposes only and do not constitute advice. All material presented herein is believed to be reliable but FRT makes no representation or warranty with respect to this communication or such content and expressly disclaims any implied warranty under law. Opinions expressed in this communication may change without prior notice. Firms should always seek legal and financial advice specific to their unique situation and objectives.

ABOUT FINANCIAL RECOVERY TECHNOLOGIES
SETTLED  I  NON-US GLOBAL OPT-IN  I  ANTITRUST  I  GLOBAL PASSIVE  I  DIRECT OPT-OUT  I  BUYOUTS

Founded in 2008, Financial Recovery Technologies (FRT) is a leading technology-based services firm that helps the investment community identify eligibility, file claims and collect funds made available in securities and other class action settlements. Offering the most comprehensive range of claim filing and monitoring services available, we provide best-in-class eligibility analysis, disbursement auditing and client reporting, and deliver the highest level of accuracy, accountability and transparency available. For more information, go to www.frtservices.com.

 

This communication and the content found by following any link herein are being provided to you by Financial Recovery Technologies (FRT) for informational purposes only and does not constitute advice. All material presented herein is believed to be reliable but FRT makes no representation or warranty with respect to this communication or such content and expressly disclaims any implied warranty under law. Opinions expressed in this communication may change without prior notice. Firms should always seek legal and financial advice specific to their unique situation and objectives.