| Company: | LaBranche & Co., Inc. |
| Ticker Symbol: | NYSE: LAB |
| Class Period: | October 17, 1998 to October 15, 2003 |
| Court: | Southern District, NY |
| Date Filed: | Oct-21-03 |
| Lead Plaintiff Deadline: | Dec-16-03 |
| Allegations: |
A class action has been commenced, on behalf of an institutional investor, in the United States District Court for the Southern District of New York on behalf of all persons or entities who purchased and/or sold shares of stocks of NYSE and AMEX listed companies which were auctioned by defendant specialists LaBranche & Co. (NYSE:LAB), Bear Wagner Specialists LLC, Spear, Leeds & Kellogg Specialists LLC, Van der Moolen Specialists USA, LLC and Fleet Specialist, Inc. during the period between October 17, 1998 and October 15, 2003 (the "Class Period").
The complaint charges LaBranche & Co., Inc. and other registered broker-dealers with violations of the Securities Exchange Act of 1934. The complaint alleges that defendants engaged in an unlawful and deceitful course of business designed to financially advantage defendants to the detriment of plaintiff and the other Class members. Defendants violated the federal securities laws by engaging in a scheme that operated as a fraud and deceit on plaintiff and the Class by stepping in the way of public sellers and buyers of stock to profit at the expense of plaintiff and other Class members. Defendants, in contravention of "negative obligation" rules, stepped "in front" of trades and failed to disclose that orders were not being filled at the best prices, but were being manipulated for defendants' benefit.
On October 16, 2003, it was reported by Reuters that: "The New York Stock Exchange said on Thursday it will seek fines totaling about $150 million against five of its floor-trading member firms for improper trading that could have cost clients millions of dollars. The exchange accused the five so-called specialist firms, which manage buying and selling of shares on the exchange floor, of enacting their own trades before executing customer orders and stepping between customers whose trades should have been matched. The exchange did not name them, but the firms and others close to the probe have said the five biggest specialist firms were under investigation. The firms are LaBranche & Co. Inc.; Vander Moolen Holding NV; Goldman Sachs Group Inc.'s Spear, Leeds & Kellogg; FleetBoston Financial Corp.'s Fleet Specialist; and Bear Wagner Specialists LLC, partly owned by Bear Stearns Cos. Inc."
If you acquired the securities of the defendants during the Class Period you may, no later than Dec 16, 2003, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.
The complaint charges LaBranche & Co., Inc. and other registered broker-dealers with violations of the Securities Exchange Act of 1934. The complaint alleges that defendants engaged in an unlawful and deceitful course of business designed to financially advantage defendants to the detriment of plaintiff and the other Class members. Defendants violated the federal securities laws by engaging in a scheme that operated as a fraud and deceit on plaintiff and the Class by stepping in the way of public sellers and buyers of stock to profit at the expense of plaintiff and other Class members. Defendants, in contravention of "negative obligation" rules, stepped "in front" of trades and failed to disclose that orders were not being filled at the best prices, but were being manipulated for defendants' benefit.
On October 16, 2003, it was reported by Reuters that: "The New York Stock Exchange said on Thursday it will seek fines totaling about $150 million against five of its floor-trading member firms for improper trading that could have cost clients millions of dollars. The exchange accused the five so-called specialist firms, which manage buying and selling of shares on the exchange floor, of enacting their own trades before executing customer orders and stepping between customers whose trades should have been matched. The exchange did not name them, but the firms and others close to the probe have said the five biggest specialist firms were under investigation. The firms are LaBranche & Co. Inc.; Vander Moolen Holding NV; Goldman Sachs Group Inc.'s Spear, Leeds & Kellogg; FleetBoston Financial Corp.'s Fleet Specialist; and Bear Wagner Specialists LLC, partly owned by Bear Stearns Cos. Inc."
If you acquired the securities of the defendants during the Class Period you may, no later than Dec 16, 2003, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.
