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IN RE DISCOVERY ZONE SECURITIES LITIGATION

No. 94 C 7089.

943 F.Supp. 924 (1996)

In re DISCOVERY ZONE SECURITIES LITIGATION.

United States District Court, N.D. Illinois, Eastern Division.

September 27, 1996.

Attorney(s) appearing for the Case

Steven Popuch, Swift, Popuch & Sinclair, Chicago, IL, Michael David Craig, Schiffrin & Craig, Ltd., Buffalo Grove, IL, Mark C. Gardy, Abbey & Ellis, New York City, Robert P. Sugarman, Milberg, Weiss, Bershad, Hynes & Lerach L.L.P., New York City, Robert M. Roseman, Spector & Roseman, P.C., Philadelphia, PA, for plaintiffs Robert Kahn, Randy Stark.

John P. Scotellaro, Maureen W. Kirby, Peter G. Rush, Amy Lamar Ostrander, Bell, Boyd & Lloyd, Chicago, IL, for defendants Robert D. Mitchum, Victor R. Casini, Gerald E. Seegers, John T. McCarthy, Discovery Zone, Donald F. Flynn.

MEMORANDUM OPINION AND ORDER

CASTILLO, District Judge.

Plaintiffs brought this class action securities fraud suit on behalf of all persons who purchased Discovery Zone, Inc. ("DZ") common stock between February 17, 1994 and September 15, 1995.1 Under a fraud-on-the-market theory, the complaint charges five DZ senior officers2 with misleading the...

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