Hoosier Lottery is facing a class-action lawsuit for allegedly changing the odds of winning a scratch-off game and the prizes that were available.
Jeff Frazer, one of the guys who filed the lawsuit said that Hoosier Lottery suddenly changed the odds they had quoted him. He said that when he and his friends bought more than $50,000 worth of Cash Blast scratch-off tickets two years ago, they considered it an investment. They bought all tickets across the state at 10 bucks a piece.
Frazer said that the lottery advertised there were still seven top winning tickets out there, each is worth the prize of $250,000. So Frazer and his friends needed to hit just one of the seven winners to earn more than four times their investment.
Canada-based company Nortel Networks Corporation is now facing a class action lawsuit triggered by the changes the company has implemented to its pension plan in 2006.
Nortel employees from across Canada filed the lawsuit in Ontario Superior Court on Tuesday. The suit seeks damages as a result of what the plaintiffs consider as Nortel’s "failure to provide to their employees reasonable notice of the changes to the pension plan."
The telecommunications equipment company has been accused by its employees of failure to take into account future salary increases beyond January 1 it calculated the value of the pension benefits for each employees.
IndyMac Bancorp Inc. is facing a class-action lawsuit that accuses the company of issuing misleading information in order to inflate its stock price.
The lawsuit was filed on June 11 on behalf of the shareholders of IndyMac from August 16, 2007 to May 12, 2008. During that time, the stock price of the Pasadena-based firm traded as high as $34.55 a share. The suit mentions Chief Executive Michael Perry and Chief Financial Officer A. Scott Keys in the complaint.
The suit alleges that IndyMac issued “materially false and misleading statements regarding the company's business and financial results.” The complaint specified that the company downplayed its “growing exposure to non-performing assets, particularly loans in its pay-option adjustable-rate mortgage and homebuilder construction portfolios.”
As part of the case settlement, Brocade Communications has agreed to pay $160 million t settle a federal securities class-action lawsuit related to stock-options backdating.
The class-action lawsuit was filed in the U.S. District Court for the Northern District of California in May 2005. Just recently, the two parties have reached settlement wherein Brocade will pay the above-mentioned amount to the plaintiff class in exchange for dismissal of all claims.
Brocade is among the dozens of companies hit by this stock-options backdating scandal. In August, Gregory Reyes, former Brocade Chief Executive Officer, was found guilty on criminal charges related to options-backdating. He was accused of defrauding shareholders between 2000 and 2004 by regularly modifying the grant dates of stock options awarded to recruit and retain employees. He was also charged of falsifying the documents to cover up his actions.
It has been announced officially by a federal judge that the investor’s claims of securities fraud, cover-up and insider trading involving Nature’s Sunshine Products are legally sufficient, denying the company’s motion to dismiss the April 2006 class-action lawsuit.
The decision was laid down by U.S. District Judge Ted Stewart. This means that the case can now proceed to the discovery phase which would allow representatives for the plaintiffs to gather documents and conduct interviews to build their case. Stewart ruled against the Provo-based supplement maker on all but one issue, limiting the scope of claims to acts that occurred on or after March 15, 2005. Investors insisted the so-called scheme to deceive independent auditors about company financials dated back to April 23, 2002.
After five grueling years of court battle, the Tennessee Medical Association and Blue Cross Blue Shield of Tennessee have already resolved class action lawsuit over billing and other business practices.
Representatives of the TMA, including more than 900,000 physicians and their medical societies nationwide made the announcement last Friday.
In a statement, TMA said that the provisions of the settlement call for BCBST and other plans to pay more than $128 million to physician-class members. The settlement will also set in motion a series of important business practice changes that will bring the estimated value of the entire settlement consideration to over $1 billion.