UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK
JIMMY CHIN, on behalf of himself and all others
similarly situated,
CIVIL ACTION NO.
Plaintiff,
CLASS ACTION COMPLAINT
v. FOR VIOLATIONS OF FEDERAL
SECURITIES LAWS
CHORDIANT SOFTWARE, INC.; SAMUEL
SPADAFORA; STEVEN SPRINGSTEEL; DAIN JURY TRIAL DEMANDED
RAUSCHER, INC.; FLEETBOSTON
ROBERTSON STEPHENS, INC.; and THOMAS
WEISEL PARTNERS LLC,
Defendants.
Plaintiff, individually and on behalf of all other persons similarly situated, by
attorneys, for plaintiff's Complaint, allege upon the investigation made by and through plaintiff's
which included, inter alia, a review of relevant filings made by Chordiant Software, Inc.
"Company") with the Securities and Exchange Commission, as well as, tele-conferences, press
news articles, analyst reports, and media reports concerning the Company. Furthermore, this
is based upon plaintiff's personal knowledge as to plaintiff and plaintiff's own acts, and upon
and belief as to all other matters, based upon the aforementioned investigation.
NATURE OF THE ACTION
1. This is a class action on behalf of all persons, other than defendants and
parties, who purchased, converted, exchanged or otherwise acquired Chordiant common stock, as
defined below, including, but not limited to, during the period from February 14, 2000 through
6, 2000 (the "Class Period") to recover damages caused by defendants' violations of the federal
law.
2. In the wake of the raging bull market of the 1990's lies a series of
alleged malfeasance by major Wall Street securities firms. As reported in national news sources
SNIPPETS:
UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF NEW YORK
RAUSCHER, INC.; FLEETBOSTON
Plaintiff, individually and on behalf of all other persons similarly situated, by plaintiff's
which included, inter alia, a review of relevant filings made by Chordiant Software, Inc.
"Company") with the Securities and Exchange Commission, as well as, tele-conferences, press
news articles, analyst reports, and media reports concerning the Company.
This is a class action on behalf of all persons, other than defendants and certain related
2000 to recover damages caused by defendants' violations of the federal securities
In the wake of the raging bull market of the 1990's lies a series of investigations into
alleged malfeasance by major Wall Street securities firms.
investment banks charged issuers of new securities excessive commissions and inflated
Second, investigators are examining, and have evidence, that major investment banks
exchange for promises by these customers that they would purchase additional shares of the
after-market, thereby inflating and maintaining the market price for the IPOs.
participation in the IPO market and after-market trading.
inflation in the IPO stock price, above the offering price, and create a false sense of
obtain allocations of stock on the offering - - but before the first after-market trade.
Securities Act of 1933 15 U.S.C. '' 77k, 77land 77o and Sections 10and
including the preparation and dissemination in this judicial district of the Prospectus
reports to shareholders of defendants Chordiant, which documents were materially false and
during the Class Period (including the trading of Chordiant stock based upon misleading
the underwriter defendants conduct substantial business in this district.
4,500,000 shares of common stock at $18 per share pursuant to a Prospectus and Registration
Manipulated Securities omitted and/or misrepresented material facts about the offering of
In direct contravention to Rules 101 and 102 of Regulation M of the Exchange Act,
direct participation and agreement of Chordiant and the Individual Defendants.
violation of Regulation M, which governs market manipulation.
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