Court Grants Final Approval to Record Settlement of AIG 2008 Securities Class Action
3/23/2015 - Barrack, Rodos & Bacine announces that on March 20, 2015, Judge Laura Taylor Swain of the United States District Court for the Southern District of New York granted final approval of the $970.5 million settlement resolving American International Group, Inc. 2008 Securities Litigation class action lawsuit. The court described the settlement achieved as “very substantial.” BR&B served as a lead counsel representing the court-appointed lead plaintiff, the State of Michigan Retirement Systems. The settlement was reached after six years of intense litigation, which included the completion of all fact witness discovery and full briefing, an evidentiary hearing, and argument on lead plaintiff’s motion for class certification. The settlement was reached through negotiations spanning over two years, with the assistance of mediator Layn Phillips, a former U.S. District Court Judge.
The settlement amount is among the largest recoveries ever achieved in a securities fraud class action stemming from the 2008 financial crisis. It is also one of the largest ever achieved in the absence of a criminal indictment or an SEC enforcement action. Jeffrey Golan, who served as the firm’s primary counsel in the case, stated that “we are extremely gratified to have been able to achieve this result on behalf of the State of Michigan Retirement Systems and the class.” Leonard Barrack, the senior partner of Barrack Rodos & Bacine, noted: “The final approval of the settlement is the culmination of more than six years of hard-fought litigation to win a recovery for AIG investors.”
The settlement is on behalf of a class consisting of all persons and funds that purchased publicly issued common stock, corporate units, bonds, subordinated debentures and notes of AIG from March 16, 2006 through September 16, 2008, and were injured thereby. BR&B urges investors who have not yet filed a proof of claim to do so as soon as possible. The proof of claim must be sent to the Claims Administrator, postmarked no later than May 5, 2015. The Proof of Claim and Release form is available here.
Click here for additional information about this settlement. If you have any questions, please contact Barrack, Rodos & Bacine at (215) 963-0600.