WASHINGTON– LAWFUEL – Litigation Newswire –Cohen, Milstein, Hausfeld & Toll, P.L.L.C., co-lead counsel for European and U.S. investors in the In re Parmalat Securities Litigation, announced that the partial settlement reached in the matter earlier this year was approved yesterday by the court in New York City overseeing the class action.
Parmalat, the Italian dairy and foods group, collapsed in 2003, allegedly as a result of financial fraud by the company and several of its banks and auditors. The settlement approved yesterday was reached with Banca Nazionale del Lavoro S.p.A. and several Credit Suisse defendants. The settling defendants have agreed to pay $50 million ($25 million by each set of defendants) and have confirmed their endorsement of certain corporate governance principles of behavior designed to advance investor protection and to minimize the likelihood of future deceptive transactions. Information about the settlement is available at www.parmalatsettlement.com.
According to Cohen Milstein partner Mark S. Willis, “This is the first settlement of the U.S. litigation regarding the massive Parmalat fraud, which caused substantial injury to investors in Europe, the United States, and around the world. The prosecution of the litigation will continue to move forward against the other defendants.”
Mr. Willis or Steven J. Toll are available to comment on the significance of this settlement and on developments in the case.
Cohen Milstein attorneys worked with their co-lead counsel Grant & Eisenhofer, as well as with the law firm of Spector Roseman & Kodroff, in reaching this important first settlement in the Parmalat litigation.