Settlement History

On April 11, 2005, Judge Pauley held a hearing to determine the proposed Global Research Analyst Settlement Distribution Plan's ("Plan") fairness. The Court approved the Plan on April 22, 2005. Under the Plan, all potential fund recipients who could be identified from the records of the Defendant firms were mailed a Notice and Claim Form or Certification Form in June 2005. The postmark deadline for returning completed forms to the Distribution Fund Administrator was July 29, 2005, with a deadline of September 30, 2005, for late filing. Checks for valid, timely claims were mailed between December 21, 2005, and May 15, 2006. On May 15, 2006, the final payment was made to eligible, timely claimants pursuant to the Plan. As of that date, approximately $172 million remained in the Bear Stearns, Citigroup, CSFB, J.P. Morgan, Lehman Brothers, Merrill Lynch, Morgan Stanley, US Bancorp Piper Jaffray, Thomas Weisel, and UBS Securities Distribution Funds. By Order dated May 22, 2006, the Court directed the Distribution Fund Administrator, the SEC, and certain of the Settling Firms to submit proposals for the distribution or use of the unexpended funds. By Order dated June 13, 2006, the Court invited the public to comment on the Distribution Fund Administrator's proposal. On July 7, 2006, the Court conducted a hearing to address the various proposals submitted to the Court.

After considering the recommendations of the Distribution Fund Administrator, the SEC, the Defendant firms, and the investing public, the Court issued an Order, dated September 22, 2006, to establish an initial plan of residual distribution. The Court directed the Distribution Fund Administrator to pay all valid, late-filed claims and to engage in additional outreach to locate eligible recipients under the Plan who had yet to submit a claim. All investors who could be identified from the records of the Defendant firms as potential fund recipients were mailed another notice in early October 2006 informing them of the steps they needed to take to be eligible for a payment. The postmark deadline for returning completed forms to the Distribution Fund Administrator in this second phase of the Settlement was December 15, 2006. Checks for valid, timely claims filed in the second phase of the Settlement were mailed in May 2007.

On June 10, 2009, the Court issued an Order regarding a supplemental distribution to eligible claimants from monies remaining in the Distribution Funds. The Court also issued an Order on July 8, 2009, which explains the eligibility for the supplemental payments. These payments were made in October 2009 in accordance with the Court's Orders. Click here for a copy of these Orders.

All claim filing deadlines have passed, and all valid claims have been processed and paid. The deadline for requesting the reissue of a Global Research Analyst Settlement Distribution Fund check has passed. No additional checks will be reissued.

On February 18, 2010, the Court issued an Order for closing the Distribution Funds and transferring residual monies to the U.S. Treasury. Closedown activities are underway in accordance with the Court's Order. Please click here for a copy of this Order.