Zhu v. UCBH Holdings, Inc. et al

Filing 333

ORDER GRANTING 332 STIPULATION And Motion for Administrative Relief to Stay Civil Action as to All Parties. Signed by Judge JEFFREY S. WHITE on 9/16/14. (jjoS, COURT STAFF) (Filed on 9/16/2014)

Case4:09-cv-04208-JSW Document332 Filed09/15/14 Page1 of 5

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Mary McNamara, SBN 147131
[e-mail]
Britt Evangelist, SBN 260457
[e-mail]
SWANSON & McNAMARA LLP
300 Montgomery Street, Suite 1100
San Francisco, California 94104
Telephone: [phone]
Facsimile: [phone]
Attorneys for defendant JOHN CINDEREY

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UNITED STATES DISTRICT COURT

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NORTHERN DISTRICT OF CALIFORNIA

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Guohua Zhu, et al.,
Plaintiffs,

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v.

Case No. CV 09-4208 JSW (LB)
STIPULATION, MOTION FOR
ADMINISTRATIVE RELIEF, AND
[PROPOSED] ORDER STAYING CIVIL
ACTION

UCBH HOLDINGS, INC., et al.,

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Defendants.

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Court: Hon. Jeffrey S. White
Rule: Civil Local Rule 7-11

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THE PARTIES TO THE ABOVE-ENTITLED ACTION HEREBY STIPULATE

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TO AND MOVE FOR THE FOLLOWING RELIEF PURSUANT TO CIVIL

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LOCAL RULE 7-11:

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This is a putative class action securities fraud lawsuit brought by plaintiff,

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Guohua Zhu, and others similarly situated, against UCBH Holdings, Inc., (“UCBH”), a formerly

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publicly traded company, and various former UCBH officers and directors, towit, Thomas Wu,

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Ebrahim Shabudin, Craig On, Robert Nagel, Douglas Mitchell, Daniel Gautsch, John Kerr,

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Burton Thompson, John Cinderey, Joseph J. Jou, Li-Lin Ko, Godwin Wong, David Ng, Daniel P.

Case4:09-cv-04208-JSW Document332 Filed09/15/14 Page2 of 5

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Riley, Richard Li-Chung Wang, Dennis Wu and Thomas Yu (collectively, the “Individual

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Defendants”).

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2.

UCBH’s wholly-owned subsidiary, United Commercial Bank (“the Bank”), failed

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on November 6, 2009 and the FDIC was appointed receiver and sold the Bank’s assets to East

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West Bancorp. The FDIC has made a “no value” determination as to Bank assets, finding the

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assets of the Bank insufficient to distribute to general unsecured claims. Various governmental

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entities, including the U.S. Department of Justice, the FDIC and the SEC have conducted and

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continue to conduct investigations into the circumstances of the Bank’s failure.

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3.

On November 24, 2009, UCBH filed a petition for Chapter 7 bankruptcy in the

U.S. Bankruptcy Court for the Northern District of California.
4.

On September 15, 2011, two of the individual defendants in this civil case,

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Ebrahim Shabudin and Thomas Yu, were indicted in the Northern District of California on

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various criminal charges, including securities fraud. United States v. Shabudin and Yu, CR 11-

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664 JSW. On November 15, 2011, this Court determined that United States v. Shabudin and Yu

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was related to this civil case, as defined by Crim. L.R. 8-1(b), and ordered the Clerk of Court to

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reassign United States v. Shabudin and Yu to this Court. (CR 11-664 JSW, DKT # 23)

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5.

On November 13, 2012, upon the consent of the Individual Defendants in this

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civil case to produce documents that they had already produced to the FDIC, DOJ and the SEC,

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the Court entered an order staying discovery. (DKT # 302). On November 16, 2012, at the

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request of the Individual Defendants, the Court referred the case to a randomly-assigned United

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States Magistrate Judge for a settlement conference. (DKT # 305) On February 26, 2013,

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Magistrate Judge Laurel Beeler held a settlement conference with all parties. (DKT # 317).

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6.

Since the February 26, 2013 settlement conference, in a process facilitated by

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Magistrate Judge Beeler, the parties have continued to meet and confer concerning possible

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settlement of the case. (DKT #s 319-322; 327-331). The parties have determined that progress

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toward resolution of the case is unlikely before the outcome of United States v. Shabudin and Yu

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is known and that a stay of this civil case would best facilitate ultimate resolution.

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Stipulation to Stay
Zhu, et al., v. UCBH Holdings, et al., CV 09-4208 JSW (LB)

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7.

On June 3, 2014, this Court set a trial date of February 9, 2015 in United States v.

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Shabudin and Yu (CR 11-664 JSW, DKT # 188). On September 8, 2014, the Court set an

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October 7, 2014 change of plea hearing for Thomas Yu (CR 11-664 JSW, DKT # 207). The

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criminal case pending against Ebrahim Shabudin remains set for trial on February 9, 2015. All

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parties in this civil case hereby stipulate and move that this civil action be stayed in its entirety as

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to all parties until further order by the Court, to be entered after the conclusion of trial in United

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States v. Shabudin and Yu.

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IT IS SO STIPULATED.

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Dated: September 15, 2014

Respectfully submitted,
/s/
.
Laurence M. Rosen
THE ROSEN FIRM P.A.
Attorney for GUOHUA ZHU individually
and on behalf of all other similarly situated

Dated: September 15, 2014

Respectfully submitted,
/s/
Steven M. Bauer
LATHAM & WATKINS LLP
Attorney for THOMAS WU

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.

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Dated: September 15, 2014

Respectfully submitted,
/s/
.
James A. Lassart
MURPHY PEARSON BRADLEY &
FEENEY LLP
Attorney for EBRAHIM SHABUDIN

Dated: September 15, 2014

Respectfully submitted,
/s/
.
Nanci L. Clarence
CLARENCE DYER & COHEN LLP
Attorney for CRAIG ON

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Stipulation to Stay
Zhu, et al., v. UCBH Holdings, et al., CV 09-4208 JSW (LB)

Case4:09-cv-04208-JSW Document332 Filed09/15/14 Page4 of 5

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Dated: September 15, 2014

Respectfully submitted,
/s/
Daniel J. Bergeson
BERGESON LLP
Attorney for
ROBERT NAGEL
DOUGLAS MITCHELL
DANIEL GAUTSCH

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Dated: September 15, 2014

Respectfully submitted,
/s/
Anthony P. Schoenberg
FARELLA BRAUN MARTEL LLP
Attorney for JOHN KERR

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.

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Dated: September 15, 2014

Respectfully submitted,
/s/
.
Jeffrey L. Bornstein
K&L GATES LLP
Attorney for BURTON D. THOMPSON

Dated: September 15, 2014

Respectfully submitted,
/s/
Mary McNamara
SWANSON & McNAMARA LLP
Attorney for JOHN CINDEREY

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.

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Dated: September 15, 2014

Respectfully submitted,
/s/
Anna Erickson White
MORRISON & FOERSTER LLP
Attorney for
JOSEPH J. JOU
LI-LIN KO
GODWIN WONG
DAVID NG
DANIEL P. RILEY
RICHARD LI-CHUNG WANG
DENNIS WU

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Stipulation to Stay
Zhu, et al., v. UCBH Holdings, et al., CV 09-4208 JSW (LB)

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Dated: September 15, 2014

Respectfully submitted,
/s/
Jill B. Rowe
COOPER WHITE & COOPER LLP
Attorney for THOMAS YU

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ORDER

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Pursuant to the foregoing stipulation and motion, and good cause appearing therefor, IT

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IS HEREBY ORDERED that this action is stayed in its entirety as to all parties until further

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order by the Court, to be entered after the conclusion of trial in United States v. Shabudin and

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Yu.

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IT IS SO ORDERED
September 16,
Dated: ____________ 2014

_______________________________
HON. JEFFREY S. WHITE
United States District Court Judge
Northern District of California

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Stipulation to Stay
Zhu, et al., v. UCBH Holdings, et al., CV 09-4208 JSW (LB)