Monster Worldwide, Inc. (NASDAQ: MNST), a New York-based online employment solutions company, has announced the preliminary settlement of the securities class action pending against it in the S.D.N.Y. The case, originally filed in March 2007, stems from allegations that Monster Worldwide and certain of its former executives failed to adhere to the company’s stated options granting practices, resulting in the issuance of false and misleading financial statements.
The settlement is for $47.5 million, including a $550,000 payment from Monster’s former Chief Executive Officer. The National Law Journal has an article on the settlement, which notes the recent decision in the case rejecting one of the proposed class representatives. Additional coverage can be found at Securities Litigation Watch, including a useful presentation tracking all of the options backdating class actions.