In August, this Court approved the settlement of this securities class action, which was brought on behalf of a class of purchasers of bonds issued by or on behalf of Citigroup, Inc. and raised claims pursuant to the Securities Act of 1933. Plaintiffs agreed to settle all claims in exchange for a payment of $730 million-an agreement that the Court found to be fair, reasonable, and adequate. See generally In re Citigroup Inc. Bond Litig., No. 08 Civ. 9522(SHS), 2013 WL 4427195 (S.D.N.Y. Aug. 20, 2013).
Plaintiffs’ attorneys, Bernstein Litowitz Berger & Grossman LLP, sought an award of attorneys’ fees and reimbursement of litigation expenses pursuant to Federal Rule of Civil Procedure 23(h), as well as reimbursement of costs and expenses incurred by class representatives pursuant to the Private Securities Litigation Reform Act of 1995 (PSLRA), 15 U.S.C. § 78u–4.
The Court reviewed the request and found that Bernstein Litowitz was entitled to both an award of reasonable attorneys’ fees and reimbursement of litigation expenses. The Court also awarded reasonable costs and expenses for services rendered to the class by the lead plaintiffs.
Bernstein Litowitz requested 20% of the common fund, or $146 million, plus interest. The court found this percentage too high, given the size of the common fund, and instead awarded the firm 16% of the common fund, or $116 .8 million.