The Court has Approved the Distribution of the Net Settlement Fund . The Order approving the Distribution along with Final Judgment and Order of Dismissal can be found here.
The information contained on this website is only a summary of the information presented in more detail in the Notice of (I) Proposed Settlement and Plan of Allocation; (II) Settlement Fairness Hearing; and (III) Motion for an Award of Attorneys' Fees and Reimbursement of Litigation Expenses. Because this website is just a summary, you should review the Notice for additional details.
Summary of the Action and Settlement
The Notice relates to a proposed Settlement of claims in a pending securities class action brought by investors alleging, among other things, that defendant GTT and defendants Richard D. Calder, Jr., Chris McKee, Michael Sicoli and Gina Nomellini (the “Individual Defendants” and together with GTT, the “Defendants”) made misrepresentations about GTT’s $2.3 billion acquisition and integration of Interoute Communications Holdings S.A. (“Interoute”), a European telecommunications company that was by far the largest in GTT’s history. Specifically, Lead Plaintiff alleged that Defendants misrepresented that the acquisition of Interoute was strategic for GTT and that GTT’s integration of Interoute was progressing right “on track,” such that GTT was timely meeting every pre-announced milestone.
Plaintiff further alleged that Defendants also made additional allegedly false and misleading statements concerning certain issues with GTT’s reporting of financial results and statements regarding the effectiveness of its internal controls during the Settlement Class Period, with reference to Form 8-Ks that GTT filed with the SEC on August 10, 2020 and September 15, 2020. Specifically, Plaintiff alleged that GTT’s senior officers orchestrated a variety of accounting manipulations, including adjustments to expenses without adequate support, to, among other things, mask the negative impact of the Interoute integration. A more detailed description of the Action is set forth in paragraphs 11-22 of the Notice. The proposed Settlement, if approved by the Court, will settle claims of the Settlement Class, as defined in paragraph 26 of the Notice.
Subject to Court approval, Lead Plaintiff, on behalf of itself and the Settlement Class, has agreed to settle the Action in exchange for a settlement payment of twenty-five million dollars ($25,000,000.00) (the “Settlement Amount”) to be deposited into an escrow account. The Net Settlement Fund (i.e., the Settlement Amount plus any and all interest earned thereon (the “Settlement Fund”) less (a) any Taxes and Tax Expenses, (b) any Notice and Administration Costs, (c) any Litigation Expenses awarded by the Court, and (d) any attorneys’ fees awarded by the Court) will be distributed in accordance with a plan of allocation that is approved by the Court, which will determine how the Net Settlement Fund shall be allocated among members of the Settlement Class. The proposed plan of allocation (the “Plan of Allocation”) is set forth in paragraphs 53-70 of the Notice.
Defendants have denied and continue to deny all allegations of wrongdoing or liability arising out of any of the conduct, statements, acts, or omissions alleged, or that could have been alleged, in the Action and do not agree with the assertion that they violated the federal securities laws or that any damages were suffered by Lead Plaintiff or any members of the Settlement Class as a result of their alleged conduct.
The Settlement Class consists of:
All persons or entities who purchased or otherwise acquired publicly traded common stock of GTT from February 26, 2018 to August 7, 2019, inclusive, and who were damaged thereby
If you are a member of the Class, in order to be potentially eligible for a payment from the Settlement, you are required to submit a Claim Form with adequate supporting documentation postmarked or Completed Online no later than June 6, 2021. (The Deadline has Passed)
Payments to eligible claimants will be made only after any objections and appeals of the Settlement are resolved, and after the completion of all claims processing.
|YOUR LEGAL RIGHTS AND OPTIONS IN THE SETTLEMENT:
SUBMIT A CLAIM FORM POSTMARKED OR COMPLETED ONLINE NO LATER THAN JUNE 6, 2021.
THE DEADLINE HAS PASSED
|This is the only way to be potentially eligible to receive a payment from the Settlement Fund. If you are a Settlement Class Member and you remain in the Settlement Class, you will be bound by the Settlement as approved by the Court and you will give up any Released Plaintiff’s Claims (defined in paragraph 34 of the Notice) that you have against Defendants and the other Defendant Releasees (defined in paragraph 35 of the Notice), so it is in your interest to submit a Claim Form.
EXCLUDE YOURSELF FROM THE SETTLEMENT CLASS BY SUBMITTING A WRITTEN REQUEST FOR EXCLUSION SO THAT IT IS RECEIVED NO LATER THAN APRIL 2, 2021.
THE DEADLINE HAS PASSED
|If you exclude yourself from the Settlement Class, you will not be eligible to receive any payment from the Settlement Fund. This is the only option that allows you ever to be part of any other lawsuit against any of the Defendants or the other Defendant Releasees concerning the Released Plaintiff’s Claims.
OBJECT TO THE SETTLEMENT BY SUBMITTING A WRITTEN OBJECTION SO THAT IT IS RECEIVED NO LATER THAN APRIL 2, 2021.
THE DEADLINE HAS PASSED
|If you do not like the proposed Settlement, the proposed Plan of Allocation, or the request for attorneys’ fees and reimbursement of Litigation Expenses, you may write to the Court and explain why you do not like them. You cannot object to the Settlement, the Plan of Allocation or the fee and expense request unless you are a Settlement Class Member and do not exclude yourself from the Settlement Class.
GO TO A HEARING ON APRIL 23, 2021, AT10:00 A.M., AND FILE A NOTICE OF INTENTION TO APPEAR SO THAT IT IS RECEIVED NO LATER THAN APRIL 2, 2021.
THE DEADLINE HAS PASSED
|Filing a written objection and notice of intention to appear by April 2, 2021, allows you to speak in Court, at the discretion of the Court, about the fairness of the proposed Settlement, the Plan of Allocation, or the request for attorneys’ fees and reimbursement of Litigation Expenses. If you submit a written objection, you may (but you do not have to) attend the hearing and, at the discretion of the Court, speak to the Court about your objection.
|If you are a member of the Settlement Class and you do not submit a valid Claim Form, you will not be eligible to receive any payment from the Settlement Fund. You will, however, remain a member of the Settlement Class, which means that you give up your right to sue about the claims that are resolved by the Settlement and you will be bound by any judgments or orders entered by the Court in the Action.
How do I obtain more information?
More detailed information about the Action and the Settlement is contained in the Notice available on the "Important Documents" page on this website. Additional information can also be obtained by contacting the Claims Administrator by calling toll-free 888-906-0555; emailing info@GTTSecuritiesLitigation.com; or mailing a letter to:
GTT Securities Litigation
c/o JND Legal Administration
P.O. Box 91247
Seattle, WA 98111
Inquiries should NOT be directed to the Court or Defendants