KEY DEVELOPMENTS

  • December 20, 2013: Fourth Distribution of Settlement Fund (including proceeds of supplemental settlement with Arthur Andersen) made in accordance with Courtís Prior Orders.

  • December 14, 2012: Judge Cote Grants Final Approval to Settlement of Contingent Payment Claim with Arthur Andersen LLP. Click here to view the Courtís Judgment approving the Settlement. Click here to view the Courtís Judgment approving the Settlement.

  • October 2, 2012: Judge Cote Preliminarily Approves Proposed Settlement of Contingent Payment Claim with Arthur Andersen LLP and Schedules Settlement Hearing for December 14, 2012. Click here to view the Courtís order.

  • March 26, 2010: Third Distribution of Settlement Fund Made in Accordance with Court Order of September 18, 2009.

  • September 18, 2009: Judge Cote Grants Approval of the Final Distribution Plan. Click here to view the Court's order.

  • February 15, 2008: Second Distribution of Settlement Fund Made in Accordance with Court Order of January 23, 2008.

  • January 23, 2008: Judge Cote Grants Approval of Second Distribution of Net Settlement Fund. Click here to view the Court's order.

  • December 15, 2006: Initial Distribution of 75% of Settlement Fund Made in Accordance with Court Order of November 29, 2006. Click here to view the Notice of Initial Distribution of Net Settlement Fund.

  • November 29, 2006: Judge Cote Grants Approval of Initial Distribution of 75% of Settlement Fund. Click here to view the Court's order.

  • November 21, 2006: Lead Plaintiff Files Motion to Allow an Initial Distribution of the Settlement Fund for Authorized Claimants who Filed Their Claim Forms by the June 15, 2006 Deadline, Seeking to Distribute 75% of the Settlement Fund.

  • June 20, 2006: Judge Cote Orders an Extension of the Deadline for Submitting Proof of Claim Forms until June 15, 2006.  Click here to view the Court's order.

  • September 21, 2005: Judge Cote Grants Final Approval of All of Settlements Reached in the WorldCom Securities Litigation. Click on the links below to view:
    >
    09/21/05 - Judgment Approving the Underwriter Settlements and Dismissing the Action Against the Settling Underwriter Defendants
    > 09/21/05 - Judgment Approving Settlement and Dismissing Action Against Arthur Andersen LLP
    > 09/21/05 - Judgment Approving Settlement and Dismissing Action Against the Director Defendants
    > 09/21/05 - Order Approving Settlement and Dismissing Action Against Bernard Ebbers
    > 09/21/05 - Order Approving Settlement and Dismissing Action Against Scott D. Sullivan
    > 09/21/05 - Judgment Approving Settlement and Dismissing Action Against Buford Yates and David Myers
    > 09/21/05 - Order Approving Lead Plaintiff's Plans of Allocation with Respect to Settlements with the Underwriter Defendants
    > 09/21/05 - Order Approving Lead Plaintiff's Plans of Allocation with Respect to Settlements with the Director Defendants, Arthur Andersen LLP, Bernard Ebbers and Scott Sullivan
    The total recovery for the Class stands at $6.13 billion, plus interest.

  • June 14, 2005: Judge Cote Issues Hearing Order Providing Requirements for Mailing and Publication of Settlement Documents; Setting Deadlines for Filing of Briefs, Affidavits and Objections Relating to Settlements; Extending Deadline for Claim Form Submittal to August 26, 2005; and Scheduling Final Settlement Hearing for September 9, 2005. Click here to view the Court's order.

  • January 18, 2005: Judge Cote Denies Partial Motion for Summary Judgment of Arthur Andersen, Requiring Andersen to Stand Trial. Click here to view the Court's order.

  • December 15, 2004: Judge Cote Issues Summary Judgment Decision Clearing Way for February 2005 Trial Against the Underwriter Defendants; Also Grants Partial Summary Judgment to Lead Plaintiff, Finding 2001 Registration Statement Materially False and Misleading. Click here to view the Court's order.

  • October 25, 2004: Judge Cote Sets New Trial Date - to Begin February 28, 2005. Click here to view the Court's order.

  • July 8, 2004: Second Circuit Court of Appeals Denies Defendant's Petition for a Writ of Mandamus; Trial Date Remains Scheduled for January 10, 2005. Click here to view the Court's order.

  • May 10, 2004: Citigroup Defendants Agree to Pay $2.65 Billion to Settle All Claims Against Them in WorldCom Securities Litigation. Click here for details on the Citigroup settlement and click here to see the answers to frequently asked questions regarding the Citigroup settlement. Click here to view the press release of Lead Plaintiff the New York State Common Retirement Fund.

  • April 16, 2004: Securities and Exchange Commission files Amicus Curiae ("Friend of the Court") Brief Regarding the Proper Interpretation of the Fraud-on-the-Market Presumption Under Section 10(b) of the Securities Exchange Act of 1934 Supporting the Plaintiff and Opposing Salomon Smith Barney in the Second Circuit Court of Appeals. To view the SECís Amicus Curiae Brief, click here.

  • December 11, 2003: Judge Cote Issues Notice of Class Action and Notice to All Investors Who Have Filed Individual WorldCom Actions. See Class Notices page.

  • November 21, 2003: Judge Cote Issues Opinion and Order Granting in Part and Denying in Part the Underwriter Defendants' Motions to Dismiss Claims Filed in State of Alaska Dep't of Revenue, and Granting Director Defendants' and Ebbers' Motions to Dismiss With Prejudice. See Opinion & Order.

  • November 17, 2003: Judge Cote Issues Order Responding to Lead Plaintiffís October 29, 2003 Letter Regarding Milberg Weissí Solicitations of Class Members, and Allows Lead Plaintiff to Circulate a Curative Notice Which Will Be Mailed to Each Plaintiff Who Has Filed an Individual Action. To view the order, click here.

  • October 24, 2003: Judge Cote Issues Opinion and Order Granting Lead Plaintiffís Motion for Class Certification. To view the opinion, click here.

  • August 1, 2003: Lead Plaintiff, on behalf of the Class, files the First Amended Class Action Complaint in the WorldCom Securities Litigation. To view the complaint, click here.

  • June 24, 2003: Judge Cote rules that Arthur Andersen LLP will remain a defendant in the WorldCom Securities Litigation and dismisses the claims against Arthur Andersen (United Kingdom), Andersen Worldwide Societe Cooperative, Melvin Dick and Mark Schoppet. See Opinion & Order.

  • May 28, 2003: Judge Cote issues a memorandum opinion and consolidation order finalizing the consolidation of the class actions and the individual actions for pre-trial purposes. See Memorandum Opinion & Consolidation Order.

  • May 22, 2003: Judge Cote issues an opinion explaining how the class actions and individual actions will be consolidated for pre-trial purposes. See Opinion.

  • May 20, 2003: Judge Cote denies third application of certain individual plaintiffs to remand their cases to state court. See Opinion.

  • May 19, 2003: Judge Cote denies, in major part, the motions to dismiss the Complaint filed by the Salomon Defendants, the Director Defendants, the Underwriter Defendants and Bernard J. Ebbers. See Opinion.

  • May 13, 2003: Lead Plaintiff files its opposition to WorldCom's disclosure statement in United States Bankruptcy Court. See Opposition.

  • May 5, 2003: Judge Cote denies motions by plaintiffs in certain individual actions to remand their cases to state court, citing her Opinion dated March 3, 2003. See Opinion.

  • April 17, 2003: The United States Attorney's Office files additional criminal charges against Scott Sullivan, adding two new counts of bank fraud and two counts of making false statements in connection with loan and credit applications to the existing indictment.

  • March 28, 2003: Judge Lynch appoints Barrack, Rodos & Bacine and Bernstein Litowitz Berger & Grossmann LLP to serve as Co-Lead Counsel in the Salomon Analyst WorldCom Litigation. See Order. For more information about the Salomon Analyst Litigation, click here.

  • March 24, 2003: Judge Cote denies the motion of defendants Salomon Smith Barney, Inc., Citigroup, Inc. and Jack Grubman to transfer certain of Lead Plaintiff's claims against them to the Salomon Analyst WorldCom Litigation. See Order.

  • March 20, 2003: Judge Gerard Lynch appoints the New York State Common Retirement Fund to serve as Lead Plaintiff in the Salomon Analyst WorldCom Litigation. See Order. For more information about the Salomon Analyst Litigation, click here.

  • March 3, 2003: Judge Cote denies the motion of the New York City Employees' Retirement System to remand its individual action to state court, holding that "judicial economy and efficiency are best served by exercising the jurisdiction that so clearly exists." See Opinion.

  • January 24, 2003: Lead Plaintiff files its consolidated opposition to the five motions to dismiss in the WorldCom Securities Litigation. See Opposition.

  • January 24, 2003: Judge Barbara Jones issues an order in the Salomon Analyst Litigation separating the cases by securities issuer. The order creates nine separate actions, including one called the Salomon Analyst WorldCom Litigation. See Order. For more information about the Salomon Analyst Litigation, click here.

  • December 13, 2002: Five groups of defendants -- Bernard Ebbers, the Director Defendants, Arthur Andersen LLP and Melvin Dick, the Salomon Defendants, and the Underwriter Defendants -- file motions to dismiss certain of the claims against them in the WorldCom Securities Litigation.

  • December 10, 2002: Lead Plaintiff files its opposition to the Salomon Defendants' motion to sever claims relating to Jack Grubman. See Opposition brief.

  • December 5, 2002: Judge Cote grants the motions of defendants Scott Sullivan and David Myers to stay their involvement in the WorldCom Securities Litigation while they participate in related criminal proceedings in the Southern District of New York. See Order.

  • November 21, 2002: Judge Cote grants Lead Plaintiff's motion and issues a landmark ruling that partially lifts the stay on discovery imposed by the Private Securities Litigation Reform Act of 1995, allowing Lead Plaintiff to obtain from WorldCom important documents that the Company had produced previously to Congress, the Securities & Exchange Commission, and the United States Attorney's Office. The order also paves the way for Lead Plaintiff to obtain additional documents from the law firm retained by WorldCom's Audit Committee to investigate the massive fraud at WorldCom, once the Audit Committee issues its report. See Order. Lead Plaintiff issues subpoena to WorldCom that same day. See Subpoena.

  • November 21, 2002: Salomon Defendants move to sever claims relating to Jack Grubman from the WorldCom Securities Litigation and transfer them to the Salomon Analyst Litigation.

  • November 8, 2002: The Bankruptcy Court grants Lead Plaintiff's motion for limited modification of the automatic stay, allowing Lead Plaintiff to obtain documents from WorldCom subject to the approval of the District Court. See Order.

  • November 7, 2002: Judge Cote orders the parties in the WorldCom Securities Litigation to participate in settlement negotiations under the supervision of Magistrate Judge Michael H. Dolinger. See Order.

  • November 5, 2002: WorldCom announces that the total amount of its misstated earnings may exceed $9 billion. To read more about the WorldCom fraud, click here.

  • October 11, 2002: Lead Plaintiff, on behalf of the Class, files the Class Action Complaint in the WorldCom Securities Litigation. To view the complaint, click here. For a summary of the case, click here. For a list of the defendants in this case, click here.

  • October 10, 2002: Betty Vinson and Troy Normand plead guilty to securities fraud and conspiracy to commit securities fraud. Vinson reveals in her plea allocution that the fraud was committed on the orders of WorldCom's senior management.

  • October 8, 2002: The Judicial Panel on Multidistrict Litigation orders that 42 cases "arising out of alleged misrepresentations or omissions concerning WorldCom's financial condition and accounting practices" will be centralized in the Southern District of New York with the WorldCom Securities Litigation and WorldCom ERISA Litigation already pending before Judge Cote. See Order. For more information about the proceedings before the Panel and the WorldCom ERISA Litigation, click here.

  • October 7, 2002: Buford Yates, Jr. pleads guilty to securities fraud and other felonies.

  • October 2, 2002: Lead Plaintiff files a motion in United States Bankruptcy Court seeking permission to obtain important documents from WorldCom, which, because it filed for bankruptcy, is under the protection of the automatic stay. See Motion.

  • September 26, 2002: David Myers, WorldCom's former Controller, pleads guilty to securities fraud and other felonies.

  • August 15, 2002: Judge Denise Cote consolidates nineteen separate securities class actions, creating the WorldCom Securities Litigation, and appoints the New York State Common Retirement Fund to serve as Lead Plaintiff. Judge Cote also approves Lead Plaintiff's selection of Bernstein Litowitz Berger & Grossmann LLP and Barrack Rodos & Bacine as Co-Lead Counsel for the Class. See Order.

  • August 8, 2002: Scott Sullivan, and Buford Yates, Jr. are indicted for securities fraud and other felonies in the Southern District of New York.

  • August 8, 2002: WorldCom announces that it has discovered an additional $3.3 billion in misreported financial results, bringing the total amount of the admitted fraud to nearly $7.2 billion. To read more about the WorldCom fraud, click here.

  • August 1, 2002: Scott Sullivan, and David Myers, WorldCom's former Controller, are arrested and charged with seven felonies, including securities fraud, conspiracy to commit securities fraud, and filing false statements with the Securities & Exchange Commission.

  • July 21, 2002: WorldCom files the largest bankruptcy proceeding in United States history. For more information about WorldCom's bankruptcy proceeding, click here.

  • June 25, 2002: WorldCom stuns the investing public by announcing that it would restate its earnings for 2001 and the first quarter of 2002 by $3.8 billion. To read more about the WorldCom fraud, click here.