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ZOREN v GENESIS ENERGY Click to find out why . . .



Keywords & Phrases
CaseNo: C.A. No. 18,096, CourtCode: CC, CourtName: IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE, State: DE Delaware, UniqueCaseRef: DE>CC>00018096, Plaintiff: ZOREN, Genesis, Crude Oil, Partnership, Salomon, Ssb, Distribution, General Partner, Transactions, Ipo Prospectus, Distribution Support, Class Action, Energy, Cash, Proposed Transactions, Exchange, Richard Janiak, Unitholders, Public Unitholders, Management, Proxy Statement, Net Income, Operating Partnership, Howell, Proposed Restructuring, Common, Amended Class Action, Common Units, Units Outstanding, Llc, Von Berg, Class Action Complaint, Special Committee, Gross Margins, Gross Margin, Conley Stone , ContentID: 120240287

Case Documents
1 2000-11-15 AMENDED CLASS ACTION COMPLAINT
[ see first page and extracted highlights below  ] ItemID: 101072
40 pages
PDF
2 2000-06 CLASS ACTION COMPLAINT
[ see first page and extracted highlights below  ] ItemID: 101073
23 pages
PDF
Total Documents: 2 documents , 63 pages
Price: $ 24.95


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1 . AMENDED CLASS ACTION COMPLAINT

EXTRACTED KEY WORDS
GENESIS
PLAINTIFF
SALOMON
SSB
DISTRIBUTION
CRUDE OIL
CLASS ACTION
PARTNERSHIP
ENERGY
CASH
TRANSACTIONS
IPO PROSPECTUS
GENERAL PARTNER
UNITHOLDERS
DISTRIBUTION SUPPORT
PROPOSED TRANSACTIONS
PROXY STATEMENT
RICHARD JANIAK
AMENDED CLASS ACTION
COMMON UNITS
LLC
VON BERG
CLASS ACTION COMPLAINT
SPECIAL COMMITTEE
MANAGEMENT
GROSS MARGINS
NET INCOME
PROPOSED RESTRUCTURING
OBLIGATION
          IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
                           IN AND FOR  NE;W CASTLE COUNTY



BRIJC'E  E..  ZOREN: on behalf of himself :
and all others similarly situated.

                       Plaintiff,

               1:.                             Civil Action No. 18096 NC

GEW.;SIS ENERGY, L.P.:
GENl.;SIS  ENERGY,  LLC;  JOHK  P.
VON  BERG; MARK J.  G0RMA.N;
A. RICHARD  JANIAK; MICHAEL A.
PEAK.: HERBERT 1. GOODMAN.
J.  CO\ILI:Y STONE;  SALOMON
SMITH  IMRNEY, INC.

                       Defendants.



            NOTICE OF FILING AMENDED  CLsASS   ACTlON  COMPLAINT;


TO:             Anne C. Foster, Esquire
                Richards Layton  & Finger
                One Rodney Square
                Wilmington, Delaware 19801

                PLEASE TAKE NOTICE that plaintiff herewith files an Amended (Class Action

Complaint as OF right pursuant to #Court of Chancery Rule 15. As required by Court of Chancery

Rule 1 j(aa), attached as Exhibit A is a copy of the Amended Class Action Complaint marked to

show changes from the initial pleading



                              ROSENTHAL,  PAONHAIT,  GROSS
                               & GODDESS,  P.A.




                              Suite 1401, Mellon Rank Center
SNIPPETS:
  • GEW.;SIS ENERGY, L.P.:
  • LLC; JOHK P. VON BERG; MARK J. G0RMA.N; A. RICHARD JANIAK; MICHAEL A. PEAK.:
  • Defendants.
  • PLEASE TAKE NOTICE that plaintiff herewith files an Amended (Class Action
  • attached as Exhibit A is a copy of the Amended Class Action Complaint marked to
  • .I, CONLEIY STONE; SALOMON SMITH BARNEY, INC.
  • "Partnership") partnership shares which is alleged upon personal knowledge,
  • 2.[a) Genesis is a Delaware limittd partnership with executive offices at 500 Dallas,
  • Genesis is an independent gatherer and marketer of crude oil in North
  • Net income applicable to limited partners fell 67% to $2.3 million.
  • corporation which serves as the general partner of both the Partnership and the Opcrating
  • He is a Managing Director of SSB Lvhere he has
  • scrT:ed in,various investment banking and management positions since 1970.
  • (a> The class of Unitholders for whose benefit this action is brought is so
  • 13O'YI' Energy Partners LP by Enron Corporation, in which Enron provided cash distribution
  • The IPO Prospectus does not disclose;any prior relationship among Howell,
  • purported counter-cyclical synergi,zs to be achieved (coupled with cash distribution support
  • Pursuant to the IPO, Genesis sold 8,625.OOO Common Units at $20.625 in the
  • As a result of the dealings between Salomon and Howell, the transactions carrietcl
  • which resulted in increasing gross margins for the six months
  • obligation to prop up cash distributions continued to be a selling point for the
  • On May 10, 2000, Genesis announced that based on the recommendation of a socalled "Special
  • Under the terms of the proposed restructuring.
  • and lacks any independence to fai.rly and independently evaluate the proposed transactions.
  • Since SSB controls the contem of the proxy statement and the proxy

  • 2 . CLASS ACTION COMPLAINT

    EXTRACTED KEY WORDS
    CRUDE OIL
    PARTNERSHIP
    DEFENDANT
    SALOMON
    PLAINTIFF
    DISTRIBUTION
    EXCHANGE
    SSB
    GENERAL PARTNER
    PUBLIC UNITHOLDERS
    OPERATING PARTNERSHIP
    HOWELL
    DISTRIBUTION SUPPORT
    TRANSACTIONS
    COMMON
    UNITS OUTSTANDING
    IPO PROSPECTUS
    GROSS MARGIN
    PROPOSED TRANSACTIONS
    RICHARD JANIAK
    CONLEY STONE
    SMITH BARNEY
    GENESIS ENERGY
    YORK STOCK EXCHANGE
    CRUDE OIL PURCHASES
    NET INCOME
    PROPOSED RESTRUCTURING
    MANAGEMENT
    COMBINED OPERATIONS
    
                IN THE COURT OF CHANCERY OF THE STATE OF DELAWARE
    
                                IN AND FOR NEW CASTLE COUNTY
    
                                                  X
    
    BRUCE  1% ZOREN, on behalf of himself
    and all others similarly situated,
    
                            Plaintiff,
    
                   V.                                  Civil Action No.  /  $0  7krW               .  '
                                                                                                   I  :
    GENESIS ENERGY, L.P.;                                                                          .  .
    GENESIS ENERGY, LLC; JOHN P.                                                                   c3
                                                                                     _
    VON BERG; MARK J. GORMAN;                                                             .-  .    CL-:
    A. RICHARD JANIAK; MICHAEL A.
    PEAK; HERBERT I. GOODMAN;
    J. CONLEY STONE; SALOMON
    SMITH BARNEY, INC.
    
                            Defendants.
                                                  X
    
    
    
                                          CLASS ACTION COMPLAINT
    
                   Plaintiff, by his attorneys, alleges upon information and belief except with
    
    respect  tiz his ownership of Genesis Energy, L.P. ("Genesis," the "Company" or the
    
    "Partnership") partnership shares ("Units") which is alleged upon personal knowledge, as
    
    follows:
    
                                                 PARTIES
    
                   1.       Plaintiff is the owner of Units of defendant Genesis.
    
                   2.(a)    Genesis is a Delaware limited partnership with executive offices at 500
    
    Dallas, Suite 2500, Houston, TX 77002. As of May 9, 2000, Genesis had approximately 8.62
    
    million Units outstanding, which trade publicly on the New York Stock Exchange under the
    
    symbol "GEL".
    
    
    SNIPPETS:
  • Plaintiff, by his attorneys, alleges upon information and belief except with
  • "Partnership") partnership shares which is alleged upon personal knowledge,
  • Plaintiff is the owner of Units of defendant Genesis.
  • which trade publicly on the New York Stock Exchange under the
  • Genesis is an independent gatherer and marketer of crude oil in North
  • at pipeline and terminal facilities for resale at various points along the crude oil
  • Net income applicable to limited partners fell 67% to $2.3 million.
  • Genesis Energy, LLC (the "General Partner") is a Delaware limited
  • which is owned 54% by defendant Salomon
  • Smith Barney, Inc. and 46% by Howell Corporation, manages and
  • Defendant A. Richard Janiak has served as Director and Chairman of the
  • He is a Managing Director of SSB where he
  • has served in various investment banking and management positions since 1970.
  • He was President of Howell Crude
  • Defendant J. Conley Stone was elected to the Board of Directors of the
  • a common carrier liquid petroleum products pipeline transporter.
  • Despite the transactions at issue in this litigation,
  • behalf o-f all public Unitholders of defendant Genesis (except defendants herein and any
  • were ove.r 8.62 million Units outstanding owned by persons scattered throughout the United
  • of the "Combined Operations" of the crude oil gathering,
  • The IPO Prospectus does not disclose any prior relationship among
  • crude oil purchases, sales and exchanges along the distribution chain, and by increasing
  • Increase gross margin by using advanced
  • quarterly distribution of $0.50 per Unit, Salomon agreed in a Distribution Support Agreement,
  • and caused the General Partner to form Genesis and the Operating Partnership.
  • the New York Stock Exchange and have traded at approximately such level since such date.
  • IJnder the terms of the proposed restructuring,
  • The proposed transactions are wrongful, unfair and harmful to the public
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