ROANOKE TIMES
Copyright (c) 1997, Roanoke Times
DATE: Saturday, April 12, 1997 TAG: 9704140038
SECTION: BUSINESS PAGE: A-5 EDITION: METRO
DATELINE: URBANA, ILL.
SOURCE: ASSOCIATED PRESS
A federal judge approved a $30 million settlement Friday for Archer Daniels Midland Co. shareholders who saw their portfolios plunge when a federal price-fixing investigation hit the headlines.
The settlement could affect more than 170,000 shareholders of the self-styled ``supermarket to the world'' and raises to $190 million the amount ADM has agreed to pay to settle lawsuits and criminal price-fixing charges.
The class-action lawsuit accused Decatur, Ill.-based ADM of inflating its stock price by not revealing that a large share of its profits came from price-fixing. ADM offered the settlement without admitting any wrongdoing.
``Obviously, we believe this is a fair and equitable settlement,'' ADM lawyer Jim Shafter said at Friday's court hearing.
In October, ADM admitted fixing prices for citric acid and the livestock feed additive lysine and agreed to pay a record $100 million criminal fine. The company also has agreed to settle lawsuits from some citric acid and lysine customers, although a lawsuit accusing it of fixing prices for high-fructose corn syrup used in most soft drinks is still pending.
The plan approved by U.S. District Judge Harold Baker applies to those who bought ADM stock between September 1992 and July 10, 1995, when ADM shares plunged on the news of the FBI price-fixing probe.
Lawyers for both sides said about 17,000 ADM shareholders have filed claims for their parts of the settlement.
LENGTH: Short : 37 linesby CNB