Declaration Of Helen J. Hodges In Support Of Lead Counsel's ...

1999) (“ICERS Order”) (granting motion to intervene). Deutsche Bank then settled ICERS’ private
claim (Docket No. 2699). On June 23, 2005, Frankfurt Trust moved to intervene to be a named
plaintiff on §12(a)(2) claims (Docket No. 3639). While that motion was under submission, Deutsche
Bank settled Frankfurt Trust’s private claim also (Docket No. 4024) (withdrawal). Because no other
plaintiff who had a §12(a)(2) claim against a non-settling defendant moved to intervene, the Court
eventually dismissed Lead Plaintiff’s §12(a)(2) claims.
206. In November 2005, Lead Plaintiff filed a notice of supplemental authority (Docket
No. 4135) alerting the Court to the Fifth Circuit’s decision in Feder v. Electronic Data Sys., Inc., No.
05-40636 (5th Cir. Oct. 24, 2005). On November 7, 2005 the Court issued an Order (Docket No.
4134) seeking a summary of outstanding issues related to class certification. Lead Plaintiff filed a
response to the Court’s Order on November 30, 2005 (Docket No. 4224). In that summary Lead
Plaintiff reiterated that all the prerequisites for class treatment had been met and that a class could
and should be certified.
207. After the Fifth Circuit’s rulings in the Bell and Unger cases regarding the factors a
court must weigh in determining whether an efficient market exists, Lead Plaintiff submitted the
Declaration of Blaine Nye (Docket No. 4390) in support of Lead Plaintiff’s motion. That declaration
examined each of the factors laid out in Bell and Unger and concluded that Enron’s common stock,
bonds and other securities all traded on an efficient market. In response to the Nye Declaration, on
February 14, 2006 defendants filed various supplemental memoranda in opposition to Lead
Plaintiff’s amended motion for class certification. Those filings were supported by declarations of
experts hired by defendants and raised numerous arguments of law and fact. On March 3, 2006,
Lead Plaintiff filed responses to the various oppositions (Docket Nos. 4528, 4529). Lead Plaintiff
also submitted on that date the rebuttal declaration of Dr. Nye (Docket No. 4527). That document
addressed and refuted many of defendants’ arguments.
- 116 -