An unauthorized collection of the records of Alternate Energy Holdings, inc., its principals and subsidiaries, and their antics, trials, and tribulations

Former AEHI CEO Don Gillispie

Former AEHI CEO Don Gillispie
OK, everyone, I've got to step out for just a minute. I'll be right back, I promise!

Monday, August 13, 2012

AEHI Shareholder Class Action Suit Settlement Order and Notice Filed, Settlement Average of $0.0034 Per Share

In the Shareholder Class Action suit against Alternate Energy Holdings, Inc. and its CEO Don Gillispie, recent filings include an almost identical motion from AEHI attorneys K&L Gates to withdraw from that case, for what K&L Gates say is non-payment of over $700,000.00 in legal fees.
Earlier filings of interest are an "Order Preliminarily Approving Settlement and Providing for Notice" and a "Notice of Pendency and Settlement of Class Action".

Highlights of those documents:
There will be a hearing in Federal Court on October 31, 2012 at 3:00 PM to determine if this settlement is "fair, reasonable, and adequate, and should be approved by the Court." (p.3)

Definitions of Class Members, Class Periods:  Roughly, anyone who purchased or otherwise acquired AEHI stock from October 23, 2006 until December 14, 2010. (p.1 of Notice)

The total settlement in gross dollars is $450,000.  According to the Settlement Notice, that's about $0.0053 per share for the "85 million shares estimated to have suffered damages during the Class Period."  They then break that down to $0.0019 for lawyers and administration and $0.0034 per share to the claimant, averaged over all shareholders.  The actual amount depends on the number of claims filed and the amount of damage in each claim, so the amount could be more, or less, for each individual filing a claim. (p. 2 of notice)

If a shareholder think that settlement is total bullshit, the shareholder has the option to request exclusion from the class.  If the shareholder does nothing, and does not file a claim, any future claims are forever barred.  (p.2-3 of Notice.)

15.  Class members shall be bound by all determinations and judgments in the Litigation, whether favorable or unfavorable, unless such persons request exclusion from the Class in a timely and proper manner, as hereinafter provided.  A Class Member wishing to make such request shall mail the request in written form, by first-class mail, postage prepaid, and postmarked no later than sixty-five calendar days after entry of this Order, September 24, 2012, to the Post Office Box address listed in the Notice.  Such request for exclusion shall clearly indicate the name and address of the person seeking exclusion, and that the sender specifically requests to be excluded from the Class (as defined in the Stipulation), and shall be signed by such person.  Such persons requesting exclusion are also required to specify all purchases of the relevant Alternate Energy common stock during the Class Period, including the number and price of shares purchased, the number and price of shares sold during the Class Period, and the date of each such purchase or sale.  It is also requested that such persons provide their telephone number or other contact information.  The request for exclusion shall not be effective unless the request for exclusion provides the required information and is made within the time stated above, or the exclusion is otherwise accepted by the Court.
16.  Class Members requesting exclusion from the Class shall not be entitled to receive any payment out the Net Settlement Fund as described in the Stipulation and Notice.
So, if a shareholder wants out of the Class, the shareholder has a deadline of September 24, 2012, more than a month before the Oct 31 hearing, to do so.
Documents below:

1 comment:

  1. The hits keep on coming from the AEHI crew. Guess they are not satisfied with just Idaho as they have started something in Nevada as well. Check out CASE NO. A-12-666618-B out of the Los Vegas courthouse. Seems AEHI is running out of time and money.