Imax Investors Reel In $12M In Securities Action

Law360, New York (January 27, 2012, 8:17 PM EST) -- Imax Corp. has agreed to pay $12 million to wind up a putative class action alleging the movie pioneer misled investors about shoddy accounting methods, according to settlement papers filed Thursday in New York federal court.

Investor group The Merger Fund asked U.S. District Judge Naomi Reice Buchwald to approve the deal, which would resolve allegations that Imax issued press releases in 2006 falsely proclaiming a record $35.1 million in revenues from the fourth quarter of 2005. Imax later admitted it had improperly recognized revenues, but...
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