IMPORTANT INFORMATION ABOUT THE TYCO FAIR FUND

On January 5, 2016, the Court signed an Order (the “Distribution Order”) authorizing a second distribution of the Fair Fund. Pursuant to the Distribution Order, payments were issued to Eligible Claimants on February 16, 2016. To view a copy of the Distribution Order, click here.


Welcome to the Tyco SEC Fair Fund Website

If you purchased Tyco common stock between December 1, 1997 and March 13, 2003 inclusive (the "Recovery Period") you may be eligible for compensation.

Background

On April 17, 2006, the Commission filed its Complaint in this action alleging that from 1996 through 2002 Tyco International Ltd. ("Tyco") violated the federal securities laws by, among other things, fraudulently overstating its financial results, improperly using excess reserves to enhance and smooth those reported earnings, and failing to disclose to investors substantial amounts of senior executive compensation and a large number of related party transactions. On May 1, 2006, this Court entered final judgment (the "Final Judgment") against Tyco, to which Tyco consented without admitting or denying the allegations in the Complaint. The Final Judgment ordered Tyco to pay disgorgement of $1 and a civil penalty of $50,000,000 to the Clerk of the Court within ten business days. On May 10, 2006, Tyco paid a total of $50,000,001 to the Clerk of the Court. Pursuant to the Final Judgment, the funds were deposited in the Court Registry Investment System ("CRIS") in an interest-bearing account identified by this case name and docket number ("Tyco CRIS Account"). Subsequently, on December 21, 2006, the Commission filed a related case against three former Tyco officers and employees alleging violations related to the accounting misconduct that was asserted in the Commission's action against Tyco. See SEC v. Richard D. Power, Edward Federman, and Richard J. "Skip" Heger, No. 06-CV-15343 (RWS). From late 2007 to 2009, final judgments were entered against all three of the defendants in that action. The final judgments ordered that the disgorgement and civil penalties paid by the individual defendants be deposited into the Tyco CRIS Account. As of December 31, 2009, the Tyco CRIS account's balance was approximately $55.8 million. The final judgments entered in these matters provided that the Commission may propose a plan to distribute the funds in the Tyco CRIS Account subject to the Court's approval, and that such plan may provide that the funds be distributed pursuant to the SEC Fair Fund provisions of Section 308(a) of the Sarbanes-Oxley Act of 2002, 15 U.S.C. § 7246(a). On August 5, 2009, the Commission submitted its Motion to Establish a SEC Fair Fund and Appoint a Fund Administrator. On August 19, 2009, this Court granted the Commission's motion and entered an Order Establishing a SEC Fair Fund and Appointing a Fund Administrator ("Order"). The SEC Fair Fund consists of all of the funds in the Tyco CRIS Account, together with any funds added to that account prior to any distribution of the SEC Fair Fund, plus accrued interest. The Order also appointed The Garden City Group, Inc. ("GCG") to serve as the Fund Administrator ("Fund Administrator") to assist in developing a Plan of Distribution of the SEC Fair Fund pursuant to which monies in the SEC Fair Fund will be distributed to investors harmed by the violations alleged in the Complaint. The Order also authorizes the Fund Administrator to oversee the administration of claims and the distribution of the SEC Fair Fund pursuant to the terms of the Plan of Distribution, subject to oversight by the Court.

The Fund Administrator, in consultation with the Commission staff, prepared the Plan of Distribution, and the Commission submitted the Plan of Distribution to this Court for its approval. The Court approved the Plan of Distribution on November 23, 2010.

Please be advised that the claims period is closed and no further proof of claim forms will be accepted. On April 23, 2013 the Judge signed the Order to Transfer Funds to the Fund Administrator for Disbursement and the distribution (consisting of approximately $56 million) began on June 18, 2013.

If you have any questions, you may call (800) 810-5638 in the United States, send an email to Questions@tycosecsettlement.com, or you may write to us at the following address:

Tyco SEC Fair Fund
c/o The Garden City Group, Inc.
Fund Administrator
P.O. Box 9382
Dublin, OH 43017-4282

You can also visit the Securities and Exchange Commission's website by clicking here.