MT. PLEASANT, S.C.,
May 31, 2016 /PRNewswire/ -- Motley
Rice LLC, sole lead counsel in In re Barrick Gold Securities
Litigation, has reached a $140
million preliminary settlement with the leading gold mining
company Barrick Gold Corporation (NYSE: ABX), on behalf of
shareholders who purchased or acquired Barrick common stock on the
New York Stock Exchange between May 7,
2009 and Nov. 1, 2013. Today,
plaintiffs filed an application for preliminary settlement approval
with U.S. District Judge Richard M.
Berman. Lead plaintiffs in the case are Union Asset
Management Holding AG and LRI Invest S.A.
Lead plaintiffs alleged that Barrick and certain current and
former executives misrepresented the company's compliance with
environmental regulations and the adequacy of the company's
internal controls related to the company's Pascua-Lama mine located
along the border of Chile and
Argentina. On April 1, 2015, the court denied in part the
defendants' motion to dismiss the 197-page Consolidated Amended
Class Action Complaint and on March 23,
2016, granted the lead plaintiffs' motion for class
certification.
"I am pleased we were able to reach this resolution for
investors," said Motley Rice lead attorney for the plaintiffs,
James M. Hughes.
Barrick purchased the Pascua-Lama gold mine in 1994 and from
2000 to 2006 worked to obtain environmental approval from the
Chilean and Argentine governments. Among one of the contingencies
for approval was that Barrick would follow 400 environmental
conditions as set forth by Chilean regulators.
On May 7, 2009, Barrick announced
that it would start construction at the Pascua-Lama site, claiming
it would be one of the lowest-cost gold mines in the world and
yield double-digit returns for investors. Despite significant
environmental compliance issues throughout the class period, which
resulted in the issuance of an injunction that suspended
construction, lead plaintiffs asserted Barrick released statements
to investors that it was in compliance with environmental
regulations and had adequate internal controls. On Oct. 31, 2013, Barrick indefinitely halted the
project, having spent more than $5
billion on the project.
Motley Rice attorneys James Hughes, William Narwold, Christopher Moriarty, Meredith
Miller, Robert Haefele and Michael Pendell led the litigation as
sole lead counsel, working with liaison counsel Labaton Sucharow
LLP and additional counsel Robbins Geller Rudman & Dowd
LLP.
The case is In re Barrick Gold Securities Litigation,
case number 1:13-CV-03851 in the U.S. District Court for the
Southern District of New York.
About Motley Rice LLC
Motley Rice is one of the
nation's largest plaintiffs' litigation firms. With a tradition of
representing those whose rights have been violated, Motley Rice
attorneys gained recognition for their pioneering asbestos
lawsuits, their work with the State Attorneys General in the
landmark litigation against Big Tobacco, and their representation
of 9/11 families in the ongoing lawsuit against terrorist
financiers. The firm continues to handle complex litigation in
numerous areas, including securities fraud; antitrust; consumer
protection; mesothelioma; environmental contamination; prescription
and over-the-counter drugs; other medical devices; human rights;
aviation disasters; and wrongful death. Motley Rice is
headquartered in Mt. Pleasant,
S.C., and has additional offices in Connecticut; Louisiana; Washington, D.C.; New York; Missouri; Rhode
Island; and West Virginia.
For more information, contact Motley Rice attorney Joe Rice (SC,
DC) at 1.800.768.4026 or visit www.motleyrice.com. Connect with us
on Facebook, LinkedIn, and Twitter.
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SOURCE Motley Rice LLC