Re: Any updates on either of the settlements? Recall a mention of mid July as a possibility for movement
Sorry for the delay in responding, as I don't look at the board every day. Here is what I know:
SEC Fair Fund: The SEC will be filing a motion fairly soon (they said they are shooting for August 7) with Judge Marrero to get his approval to distribute the $602 million. Judge Marrero generally acts promptly, and once he signs off, checks should go out within a few weeks. Knowing SAC as I do, they might file some objection with the court, but if so we will oppose that and I am optimistic that Judge Marrero will see through that and the money will be sent out. My understanding through back channels is that the total approved claims are less than the funds available, so if true claimants will get 100% of their approved claim. All approved claimants should have received a letter a couple of months ago informing them of the precise amount of their approved claim. For those who are unaware, I undertook a major effort three years ago to convince the SEC to create this fund for Elan and Wyeth investors who traded opposite SAC's insider sales, and enlisted about 100 investors to write letters to the Commissioners. The two Republican Commissioners refused to support the Fair Fund vote (they did not think investors are harmed by insider trading?), and in a Wall Street Journal column argued that the attorneys organized the lobbying effort (wrong, I did) and that the attorneys would get much of the money (wrong, not a penny). I wrote a letter to the WSJ correcting the Commissioners' misstatements, which thankfully was published. Once the Fair Fund was approved, we did a great deal of work to see that the Fund was as broadly defined as possible, including options and using the FIFO accounting approach to maximize claim values. We have been monitoring the process and have continued to coordinate with the SEC and the Court.
SAC Class Action: This process is about six months behind the Fair Fund, and we expect to file our Distribution Approval Motion in December, with checks going out early next year.
As some of you may know, as a lead plaintiff I am not entitled to any of the attorneys' fees, but I applied for "lost wages," as permitted under the law, for the four (now approaching five) years of work I put into organizing and supporting this effort. SAC vigorously opposed my request for compensation, realizing that without my work, the case might never have been brought. Judge Koeltl, who took over the case just nine months earlier after Judge Marrero created a conflict, was convinced by SAC's arguments. Koeltl even refused to reimburse me for tens of thousands of dollars of my case expenses. I welcome receiving compensation from those who appreciate that without my efforts they would be receiving much less money and perhaps nothing. Please communicate with me by PM with any questions about how to do that.