In re Platinum and Palladium Antitrust Litigation (Modern Settings LLC v. BASF Metals Limited)
Status: Ongoing Case
Serves as co-lead counsel in the first nationwide class action alleging massive platinum and palladium price-fixing conspiracy
Labaton Sucharow was appointed co-lead counsel on March 20, 2015 in a nationwide class action against the major platinum and palladium dealers Goldman Sachs, HSBC, Standard Bank, and BASF, for manipulation of key benchmarks used to price platinum and palladium, known as the "Platinum and Palladium Fixings." The Firm was first to file on November 25, 2014. We filed a second consolidated amended complaint on July 27, 2015. Motion to dismiss is fully briefed and we are currently awaiting a decision from the court.
These entities meet twice a day by teleconference in order to establish a global price for these commodities in the world market. The prices set during these "fixings" also determine the prices of platinum- and palladium-based financial products, such as platinum futures (PL) and options (PO), as well as palladium futures (PA) and options (PAO), traded on NYMEX.
The plaintiffs allege that for at least eight years, Goldman Sachs, HSBC, Standard Bank, and BASF used their influence over the Platinum and Palladium Fixings to manipulate the prices for these metals to enrich themselves at the expense of other market participants. The manipulative conduct included front running and "spoofing" of buy and sell orders. These entities allegedly shared and discussed customer order flows so they could better coordinate their strategies and increase their own financial gains. Investors in these commodities and platinum- or palladium-based financial products, like NYMEX platinum or palladium futures and options, lost millions of dollars as a result of this conduct.
A third consolidated complaint was filed in May 2017.
The case is In re Platinum and Palladium Antitrust Litigation, No. 14-cv-9391 (S.D.N.Y.). Labaton Sucharow, as co-lead counsel, represents Modern Settings LLC (a New York LLC) and Modern Settings LLC (a Florida LLC) and a class of individuals and entities who transacted in platinum and palladium and platinum- and palladium-based financial derivative products. The defendants are Goldman Sachs, HSBC, Standard Bank, and BASF.
Contact Labaton Sucharow
If you bought or sold platinum or palladium directly from a wholesaler, refiner, or mining company, or bought or sold platinum- or palladium-based financial products such as futures and options on NYMEX, please contact Matthew Perez at firstname.lastname@example.org or 888-753-2796 for more information about potential claims.