PLDT Inc. said Monday it has engaged the services of international law firm Milbank LLP to represent it in a class action suit in the U.S. filed against the Philippines and U.S. listed telecom company for a four-year budget overrun that total $880-million.
Milbank, according to PLDT, has questioned the legal standing of two individuals, each represented by different law firms, who sought court recognition as lead plaintiff in the class action suit.
PLDT’s lawyers sought the disqualification of Sophia Olsson and Kevin Douglas, who claim ownership of two and 35 PLDT shares, respectively, from becoming lead plaintiff in the class action suit.
The company noted that U.S.’s Private Securities Litigation Reform Act requires the lead plaintiff to have “sufficient financial interest in the outcome” of the case. It noted that neither of claimants meet the basic requirements to allow them to prosecute the case “vigorously on behalf of the putative class.”
Olsen has alleged to have suffered $22.69 in loss because of the budget overrun while Douglas claims a loss of $249.33.
The hearing for the appointment of the lead plaintiff is scheduled for May 8.
PLDT told the Philippine Stock Exchange that it will provide further updates in compliance with Philippine and US laws on disclosures related to pending litigation as they arise.
