A $24.4 million cash settlement obtained by Milberg LLP in a case against Citigroup Global Markets, Inc. and seven former officers and directors of FLAG Telecom Holdings, Ltd. was approved by Judge Colleen McMahon of the U.S. District Court for the Southern District Court of New York. Judge McMahon called it an “extraordinary recovery for the class.” The Order and Final Judgment was entered on November 8th, 2010.
FLAG Telecom was a global telecommunications provider that filed for bankruptcy in 2002, just two years after netting approximately $635 million in its initial public offering. Plaintiffs claimed that the IPO prospectus exaggerated company profits and market demand. A team of Milberg litigators, led by Brad N. Friedman, deposed witnesses throughout the U.S. and in London and reviewed more than 2.6 million pages of documents during what the Court described as “eight years of intense, complex and unremitting litigation.”
The Milberg lawyers conducted complex proceedings in the Southern District of New York, the Second Circuit Court of Appeals, the District of Columbia, and the High Court of Justice in England, ultimately obtaining what Judge McMahon called “a remarkable result for the Class in a complex case that posed a great many obstacles to recovery.”
Milberg LLP is widely recognized as a leading class action and complex litigation firm, representing individual and institutional investors, unions, and consumers. Founded in 1965, Milberg has offices in New York, Los Angeles, Tampa, and Detroit. The Firm has litigated landmark cases resulting in groundbreaking legal precedents and corporate governance reforms benefitting shareholders. Please visit the Milberg website (www.milberg.com) for more information about the Firm.