MBI Securities Litigation

Welcome to the website for MBI EY Securities Litigation, pending in the United States District Court for the Eastern District of California (the “Action”).

The purpose of this website is to inform you of a securities class action now pending in the United States District Court for the Eastern District of California (the “Court”) under the above caption.

The Court-appointed Lead Plaintiffs, Special Situations Fund III QP, L.P. and Special Situations Cayman Fund, L.P. (“Lead Plaintiffs” or “The Funds”), on behalf of themselves and the other members of the EY Settlement Class, have reached a proposed settlement of the Action with Defendant Ernst & Young LLP (“EY” or the “Settling Defendant,” and together with Lead Plaintiffs, the “Settling Parties”) for $775,000 in cash (the “EY Settlement”).

The EY Settlement, if approved, will resolve all claims in the above-captioned securities class action pending in the Court against EY. The claims asserted against EY are the only remaining claims in this Action and, therefore, if the Settlement is approved by the Court, the Action will be completely resolved subject to any appeals.

The Class, certified by the Court, consists of:

All persons and entities who or which purchased or otherwise acquired MBI common stock directly in or traceable to the Company’s secondary offering pursuant to MBI’s Form S-1 Registration Statement, dated May 16, 2014, and its Prospectus dated June 5, 2014 (the “Secondary Offering”), and were damaged thereby (the “Secondary Claimants”).

The Frequently Asked Questions page of this website has more information on your rights as a Class Member in this Action.

Your Legal Rights and Options in This Settlement

Submit A Claim Form Postmarked No Later Than May 6, 2019, If You Have Not Already Submitted One.	If you previously submitted a Proof of Claim Form in connection with the MBI Settlement, you do not need to submit another Proof of Claim Form because all transaction information regarding your MBI common stock was required to be included in the earlier Proof of Claim Form, and that information will be used for purposes of calculating EY Settlement Class Members’ proportional share of the Net Settlement Fund. If you have NOT previously submitted a Claim Form, YOU MUST SUBMIT A CLAIM FORM, postmarked no later than May 6, 2019, in order to be eligible to share in the net proceeds of the Settlement. This is the only way to be eligible to receive a payment from the Net Settlement Fund. You can obtain a copy of the Claim Form here or by calling 1-855-907-3227. If you are an EY Settlement Class Member and you remain in the EY Settlement Class, you will be bound by the Settlement as approved by the Court, and you will give up any Released Lead Plaintiffs’ Claims that you have against EY and EY’s Releasees, so it is in your interest to submit a Claim Form if you have not already done so.
Exclude Yourself From The Settlement Class By Submitting A Written Request For Exclusion So That It Is Received No Later Than June 27, 2019.	If you exclude yourself from the EY Settlement Class, you will not be eligible to receive any payment from the EY Settlement Fund. This is the only option that allows you to ever to be part of any other lawsuit against any of EY or EY’s Releasees concerning the Released Lead Plaintiffs’ Claims.
Object To The Settlement By Submitting A Written Objection So That It Is Received No Later Than June 27, 2019.	If you do not like the proposed EY Settlement or the request for attorneys’ fees and reimbursement of Litigation Expenses, you may write to the Court and explain why you do not like them. You cannot object to the EY Settlement or the fee and expense request unless you are an EY Settlement Class Member and do not exclude yourself from the EY Settlement Class.
Go To A Hearing On July 11, 2019 At 2:00 P.M., And File A Notice Of Intention To Appear So That It Is Received No Later Than June 27, 2019.	Any EY Settlement Class Member may attend the Settlement Hearing. Filing a written objection and notice of intention to appear by June 27, 2019 allows you to speak in Court, at the discretion of the Court, about the fairness of the proposed Settlement and/or the request for attorneys’ fees and reimbursement of Litigation Expenses. If you submit a written objection, you may (but you do not have to) attend the hearing and, if you also file a notice of intention to appear, speak to the Court about your objection at the discretion of the Court.
Do Nothing	If you are a member of the EY Settlement Class who/which has not previously submitted a Claim Form, and you do not submit a Claim Form now, you will not be eligible to receive any payment from the Net Settlement Fund. You will, however, remain a member of the EY Settlement Class, which means that you give up your right to sue about the claims that are resolved by the Settlement and you will be bound by any judgments or orders entered by the Court in the Action.