NSW Registry, Federal Court of Australia (NSD89/2006).
Slater and Gordon commenced proceedings on behalf of Telstra shareholders who purchased their shares between 12 August and 2 September 2005 and who did not sell these shares before 6 September 2005.
The claim alleged Telstra knew of information material to the price or value of Telstra’s shares that it did not disclose to the market, but rather disclosed in a briefing Telstra gave the Federal Government in which the company disclosed declining fixed line revenue and under investment.
Telstra agreed to pay $5m (with $3.75m for shareholders and $1.25m for legal costs and disbursements) to settle the claim. This was approved by the court on 13 December 2007.
1. Strike Out (2 November 2006).
2. Settlement Approval (13 December 2007).