Carnegie International Receives More Favorable Rulings In Pre-Trial Hearings Regarding $2.1 Billion Suit vs. Grant Thornton.Business Editors REPEATING... BALTIMORE--(BUSINESS WIRE)--Oct. 17, 2001 Carnegie International The Carnegie International is the oldest North American exhibition of contemporary art from around the globe. It was first organized at the behest of industrialist and philanthropist Andrew Carnegie in 1896. Corporation (OTC OTC See: Over-the-counter. OTC See over-the-counter market (OTC). BB: CGYC CGYC Canossian Global Youth Conference CGYC Common Ground Youth Church ) said today that late last week, United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. District Judge Benson Legg issued a ruling denying several Grant Thornton motions in Maryland Federal Court which obstructed ob·struct tr.v. ob·struct·ed, ob·struct·ing, ob·structs 1. To block or fill (a passage) with obstacles or an obstacle. See Synonyms at block. 2. approval of the settlement of shareholder claims brought against the Company in class actions filed in 1999. Carnegie said that Grant Thornton had objected to terms of an order, required under federal law, relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc the settlement. Grant's Motion, in effect, asked that the Federal court determine that certain provisions of the Private Securities Law Reform Act Carnegie's claims against Grant Thornton in the state court litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. which Carnegie brought against Grant Thornton in May 2000. In May 2000 Carnegie brought a $2.1 billion lawsuit against Grant Thornton, its former auditor, in Maryland Circuit Court, alleging fraud, deceit, negligence, intentional interference with Carnegie's business, and other wrongs. Carnegie said that the state court recently denied Grant Thornton's motions to dismiss those claims, and decided that Carnegie's claims against Grant Thornton must proceed to trial. The rulings of October 12th marked the second time Carnegie had received favorable pre-trial rulings (see "Carnegie International Receives Favorable Rulings in $2.1 Billion Suit vs. Grant Thornton; Grant Thornton Motion to Dismiss Denied," Business Wire, October 3, 2001). Carnegie said that in its October 12 ruling, the Federal court denied Grant Thornton's motions to bar Carnegie's state court claims, and it cleared the way for approval of the settlement reached late last year. Certain procedural steps remain to be done in the typical process for approval of shareholder class action settlements through approval by the "class." Judge Legg also granted Carnegie's motion to stay the federal court lawsuit filed by certain shareholders against Grant Thornton. As part of the settlement agreement in the class action litigation, Carnegie will be assigned any "class" rights against Grant Thornton which might exist that certain shareholders asserted against Grant Thornton in federal court. In agreeing with Carnegie's position, and rejecting Grant Thornton's arguments, Carnegie said that Judge Legg ruled that the issues relating to Carnegie's proof of damages in the state court litigation must be decided by the state court, and not in the federal court. As a result of this ruling, Carnegie will not be barred by federal law from presenting proof of damages through reference to losses in Carnegie's market capitalization Market Capitalization A measure of a public company's size. Market capitalization is the total dollar value of all outstanding shares. It's calculated by multiplying the number of shares times the current market price. This term is often referred to as market cap. ; the question whether that proof will be allowed is left to the state court, under Maryland law. In another development, Carnegie said a hearing was held yesterday, October 16, before Maryland State Court Judge Kaye Allison, on certain motions filed by Grant Thornton relating to several pre-trial and trial related issues. Carnegie said Judge Allison required Grant Thornton to respond to Carnegie's interrogatories Written questions submitted to a party from his or her adversary to ascertain answers that are prepared in writing and signed under oath and that have relevance to the issues in a lawsuit. within five business days, effectively requiring Grant Thornton to describe its defenses to Carnegie's claims. Carnegie said it will provide further information concerning rulings by the state court, as and when such rulings are received. A further hearing is scheduled for Tuesday, October 23, on other pre-trial issues. At the October 16 hearing, Grant Thornton again requested a delay in the start of trial, which was scheduled to begin October 16, but has been delayed for two weeks because of a conflict in the trial judge's schedule. Carnegie said that it anticipates that the trial judge will set the date for the formal start of trial soon at the October 23 hearing, and that the trial will begin soon after that hearing. About Carnegie International Corporation Carnegie International Corporation is an Internet support and computer telephony See CTI, VoIP and IP telephony. Computer Telephony - Computer Telephone Integration holding company with specialization in telecommunications products, services and distribution, and in E-Commerce and EDI (Electronic Data Interchange) The electronic communication of business transactions, such as orders, confirmations and invoices, between organizations. Third parties provide EDI services that enable organizations with different equipment to connect. . Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995 provides a "safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. " for forward-looking statements. Certain information included in this Press Release (as well as information in oral statements or other written statements made or to be made by Carnegie International Corporation) contain statements that are forward-looking, such as statements relating to the future anticipated direction of the telecommunications industry, plans for future expansion, various business development activities, planned capital expenditures, future funding sources, anticipated sales growth, and potential contracts. Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future, and accordingly, such results may differ from those expressed in any forward-looking statements made by or on behalf of Carnegie International Corporation. These risks and uncertainties included, but are not limited to, those relating to development and expansion activities, dependence on existing management, financing activities, domestic and global economic conditions, change in Federal or state laws, and market competition factors. |
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion