A Georgia federal judge on Wednesday approved a $12.5 million
settlement in a class action targeting online bank NetBank Inc. and
executives for allegedly defrauding investors by not disclosing the
bank's true condition before its takeover by federal regulators and
U.S. District Judge Timothy C. Batten approved the terms set in a
stipulation filed by the parties in July, finding that "the
settlement is, in all respects, fair, reasonable and adequate and
in the best interest of the class."
The settlement represents about a 35 percent recovery of the $35.7
million damages estimated by the lead plaintiff, which is a
reasonable percentage, attorneys for lead plaintiff Robert A. Brown
said in a brief filed in July.
View the full article