Settlement of Donald P. Boland and Mary A. Boland v. Gerdau S.A., et al.
Civil Action No. 1:16-cv-03925-LLS
The parties have reached a settlement of this action, pending in the United States District Court for the Southern District of New York. The settlement provides for the payment of $15,000,000 for the benefit of eligible Class Members. Lead Plaintiff Policemen’s Annuity and Benefit Fund of Chicago alleged that Defendants violated §§10(b) and 20(a) of the Securities Exchange Act of 1934 by issuing false and misleading statements and/or failing to disclose that: (i) Gerdau S.A. (“Gerdau”) was engaged in a bribery scheme in collusion with Brazil’s Board of Tax Appeals; (ii) Gerdau had defrauded Brazilian tax authorities of approximately 4 billion Brazilian reais (approximately $1.3 billion) in taxes; and (iii) directors and employees of Gerdau had engaged in bribery, money laundering and influence peddling. Lead Plaintiff alleged that as a result of these material misrepresentations and omissions, Gerdau American Depositary Receipts (“ADRs”) traded at artificially inflated prices.
The Class consists of all Persons who purchased or otherwise acquired Gerdau ADRs between April 23, 2012, and May 16, 2016, inclusive. Excluded from the Class are: Defendants, the officers and directors of Gerdau during the Class Period, members of their immediate families and their legal representatives, heirs, successors or assigns and any entity in which Defendants have or had a controlling interest. Also excluded from the Class is any Class Member that validly and timely requests exclusion in accordance with the requirements set by the Court.
The settlement was preliminarily approved by the Court on July 10, 2017. The Court has scheduled a final approval hearing for October 20, 2017, at 12:00 p.m.
If you are a Class Member, to receive a payment from the settlement proceeds, you must submit a claim form postmarked no later than November 28, 2017. The claim form can be obtained by clicking on the Proof of Claim and Release link below.
Alternatively, you can submit your claim online. Online claims must be submitted by November 28, 2017. For more information, and to file your claim online, visit the Claims Administrator’s Boland v. Gerdau S.A. Securities Litigation website www.bolandvgerdausa.com.
If you have any questions about the settlement or the litigation, please contact Rick Nelson at 1-800-449-4900.