LG Display Co., (f/k/a L.G. Phillips LCD Co., Ltd.)
Class Period: Jul 16, 2004 to Nov 13, 2008
Lead Plaintiff Deadline: Jun 4, 2010 + Deadline passed
Summary of Case:
A securities class action has been filed against LG Display Co., (f/k/a L.G. Phillips LCD Co., Ltd.) (KS) ("LG" or the "Company") on behalf of all securities purchasers from July 16, 2004 through November 13, 2008, inclusive ("Class Period"), in the United States District Court for the Southern District of New York.
The complaint alleges that during the Class Period, defendants made a series of materially false and misleading statements concerning LG's business affairs, how it was able to post historic profits, and the likelihood that it would be exposed to a massive criminal fine. The statements issued by the defendants during the Class Period were materially false and misleading because they failed to disclose and/or misrepresented the following adverse facts: a) From on or about September 21, 2001 to on or about June 1,2006, LG and its co-conspirators engaged in a price-fixing scheme in order to suppress and eliminate competition in the LCD panel industry in unreasonable restraint of interstate and foreign trade and commerce. The price-fixing scheme consisted of an ongoing agreement, understanding, and concert of action among LG and its co-conspirators. The purpose of the scheme was to fix the prices of LCD panel products; b) In order to carry out the scheme, LG and its co-conspirators participated in meetings, including group meetings commonly referred to by the participants as "crystal meetings," conversations and communications in the U.S., Taiwan and Korea to agree to charge prices for LCD panel products at certain levels to be sold to certain resellers and consumers. The scheme involved issuing price quotations, as well as exchanging information on sales of LCD panel products; c) the Company was reporting inflated revenues, profit margins and financial results that did not reflect its true business, but rather the results of the price-fixing scheme; d) LG's Class Period financial strength and cost competitiveness was the result of its participation in the price-fixing conspiracy; and e) Even after the announced raid by the KFTC of LG's headquarters on or about December 8, 2006 and through November 12, 2008, defendants misled investors worldwide by touting its financial strength, cost savings, business structure, competitive advantages and strategic initiatives, while denying involvement in the price-fixing scheme and failing to disclose the strong likelihood that LG and a number of its senior executives would be forced to plead guilty to the antitrust conspiracy which had allowed it to inflate its profits and share price, and which ultimately resulted in the payment of a historic criminal fine of $400 million.
If you purchased this company's shares during the Class Period and suffered a loss or for further information about the case, please review the links below.