Proof of claim in order to participate in a shareholder lawsuit should never fall on the burden of the shareholder. The accounting by the brokerage firms of the system should automatically know who those shareholders were at those stated dates and they should automatically be included.
The reason that one must provide proof of claim today is because someone could put forth a fraudulent claim, specifically someone that worked in the financial industry. But that should not be the case, the penalties in place to prevent, any fraud should be strong enough that fraud is deterred from happening.
The lawsuits are filed. The shareholder receives notice a lawsuit is being filed in their behalf and then they receive a check from the proceeds. That is how it should be done.
Rather than trying to build systems that are fraud proof the industry would be better off creating an atmosphere of trust through accountability to the shareholders. And this effort would indeed serve to create better management.
In effect the current system allows corporations to avoid liability from such lawsuits. And any proceeds not distributed by law firms earn interest- that should not be allowed. Why not? Who wants to find plaintiffs when they earn interest on the money that they won as a law firm! And indeed the money, trust, is invested back with the same people who should have been accountable to the shareholders. So it is a vicious circle of fraud.
And when a system fails to distribute proceeds as it was mandated to do it means the system was created in order to prevent an actual monetary liability from being paid. And then you get into the favoritism system whereby that law firm can hire another "humped dumpety" to sit on and, look the other way manage that trust. Or indeed buy art with the interest on the principal from somebodies 5417 kid in order to adorn an new office building. I believe that 5417 art is also favored among Charitable Organizations. What is the fair value of art? It is whatever someone will pay for it or it can be sold to someone that will pay that price for it. Dollars as if they are confetti. Maybe we will have a party someday when we change this for the future forever!
One starts to ask themselves where all the money is gone when there is no money for our basic necessities? And one looks to how a gypsy would distribute money among her tribe if she came into some that was not her own and yet under her control! A gypsy would also stand in your way of making money unless you gave some of it to her!
Copyright 2013 Thomas Paul Murphy
Originally published on 09 28 2013 at: www.themilwaukeeandwisconsinnews.blogspot.com