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

259. On August 3, 2005, Lead Counsel filed Lead Plaintiff’s Motion for Partial Summary
Judgment Against Defendant Merrill Lynch for Knowingly Committing Deceptive Acts in
Furtherance of a Scheme to Defraud (Docket No. 3772), which argued for partial summary judgment
because the convictions of Merrill Lynch’s employees established the charges against them and thus
established Lead Plaintiff’s allegations against Merrill Lynch. On September 22, 2005, Merrill
Lynch filed an opposition (Docket No. 3937), which argued against summary judgment because the
motion was procedurally improper; Lead Plaintiff had failed to establish a violation of the securities
laws; and Merrill Lynch was not subject to joint and several liability. On October 31, 2005, Lead
Counsel filed Lead Plaintiff’s Reply in Support of Motion for Partial Summary Judgment Against
Defendant Merrill Lynch (Docket No. 4105), which reasserted that partial summary judgment was
procedurally proper and warranted. The Court denied the motion, finding that the convictions of the
Merrill Lynch employees failed to provide a proper basis for summary judgment because they were
on appeal. See 7/31/06 Order re Lead Plaintiff’s Partial Summary Judgment re Merrill Lynch
(Docket No. 4904) at 2-3.
260. On August 9, 2005, Deutsche Bank filed The Deutsche Bank Entities’ Memorandum
in Support of (1) Motion for Partial Reconsideration and Dismissal or (2) Motion to Require a
Second Amended Complaint Before a Response by the Deutsche Bank Entities (Docket No. 3791).
The motion argued that Lead Plaintiff had failed to satisfy the scienter pleading requirements of
Southland, 365 F.3d 353; the loss causation pleading requirements of Dura, 544 U.S. 336; and also
that aspects of Lead Plaintiff’s claims, as articulated in briefing, were not pled in the FACC. The
motion requested that either Lead Plaintiff’s Exchange Act claims be dismissed; or that Lead
Plaintiff be required to plead its claims in full. On August 29, 2005, Lead Counsel filed its Motion
for Leave to File an Amended Complaint as to Deutsche Bank, Motion for Entry of an Order
Requiring Deutsche Bank to Answer Lead Plaintiff’s Amended Complaint and Lead Plaintiff’s
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