May 20, 2011
Labaton Sucharow LLP Settles Two Suits Involving Oppenheimer Core Bond Fund and Oppenheimer Champion Income Fund for $100 Million
NEW YORK (May 20, 2011) – Labaton Sucharow LLP, on behalf of the Lead Plaintiffs today announced the settlement of two proposed class actions brought against OppenheimerFunds, Inc., among others, and certain officers and trustees of two funds – Oppenheimer Core Bond Fund and Oppenheimer Champion Income Fund.
The settlements total $100 million – $52.5 million in In re Oppenheimer Champion Fund Securities Fraud Class Actions and a $47.5 million settlement in In re Core Bond Fund. Labaton Sucharow LLP is Lead Counsel for the proposed class and Hagens Berman LLP is additional counsel for the Lead Plaintiffs. The settlements are subject to approval by the United States District Court for the District of Colorado.
"We believe these funds were presented as safe and conservative investments to consumers. We are pleased that we could recover some of the classes' losses and, hopefully, improve transparency in the way that these types of funds are managed in the future," said Labaton Sucharow Senior Partner Jonathan M. Plasse, who led the cases for Labaton Sucharow.
The lawsuits alleged that the investment policies followed by the funds resulted in investor losses when the funds suffered drops in net asset value.
Defendants vigorously defended the actions and have admitted no liability in the settlements.
More information about Labaton Sucharow is available at www.labaton.com.