GE Fair Fund

GE common stock is the only security eligible for recovery under the terms of the Distribution Plan:

Security	Symbol	CUSIP
GE Common Stock	GE	369604103

You are not eligible to participate in the distribution of the Fair Fund if you are or were:

 

1. The Respondent;
2. Any current or former adviser or agent of the Respondent who participated in the conduct described in the Order;
3. Any current or former employee of the Respondent or any of its affiliates who has been terminated for cause or has otherwise resigned, in connection with the conduct described in the OIP;
4. Any Person who served at any time from January 1, 2015 through the end of the Relevant Period as an officer or director of GE, or any subsidiary or affiliate of GE;
5. Any Person who, as of the Claims Bar Date, has been the subject of criminal charges related to the conduct described in the OIP;
6. Any firm, trust, corporation, officer, or other entity in which GE and any assigns, creditors, heirs, distributees, spouses, parents, dependent children or controlled entities of any of the foregoing persons or entities has or had a controlling interest;
7. The Fund Administrator, its employees, and those persons assisting the Fund Administrator in its role as Fund Administrator; or
8. Any purchaser or assignee of another Person’s right to obtain a recovery from the Fair Fund for value; provided, however, that this provision shall not be construed to exclude those Persons who obtained such a right by gift, inheritance or devise.

The eligibility of the shares acquired through an employee benefit program will depend on the details of the program you participated in. 

If you participated in the GE Retirement Savings Plan, there is nothing further that you need to do at this time.  The plan administrator will file claims with the GE Fair Fund for all plan participants that are potentially eligible to recover.

If you participated in the GE Canada Stock Savings Plan, there is nothing further that you need to do at this time.  The plan administrator will file claims with the GE Fair Fund for all plan participants that are potentially eligible to recover.

If you did not participate in either of the above Plans, but believe your participation in a GE employee benefit program did involve an eligible investment in GE common stock during the Relevant Period, you may submit a claim and we can determine the eligibility of the transactions after the claim has been fully reviewed.

Any participants that held shares of GE common stock directly (outside of an employee plan) must file a separate claim relating to those shares.

Yes, shares purchased by reinvesting dividends are potentially eligible for recovery. Note that you must provide an account statement or other documentation for each purchase, including the date of purchase and the number of shares.

The “trade date” or “contract date” is the official date to use as the date of your transaction for purchases and/or sales.  Many broker transaction statements provide both a “trade date” and a “settlement date”.  The trade date is the correct date to use for purposes of completing a claim form.  All fees and commissions are excluded.

The eligibility of a claim is dependent upon when the shares of GE common stock were originally purchased.  The receipt of shares of GE common stock by gift or inheritance, for example, does not constitute a purchase for purposes of determining eligibility.  If the original owner of the GE common stock purchased the shares during the relevant period, you may be eligible to recover for those inherited or gifted shares.

You must include copies of broker statements or other documentation evidencing the original purchase of the GE common stock with your claim.  In addition, you must provide documentation of the transfer of the shares to you, such as the broker statements for the period in which the transfer occurred.  In the case of an inheritance, you should attach copies (please do not send originals) of any legal documentation showing you are the legal recipient of these shares.

If the original owner purchased the shares of GE common stock outside of the relevant period, the shares would not be eligible for recovery.

The Plan of Allocation (“POA”) requires us to not only identify the amount of claimant’s Recognized Loss in accordance with the calculation detailed in the POA, but also to identify what a claimant actually lost from their transactions in GE common stock on a cash-in, cash-out basis during the Relevant Period.  This is the Market Loss Limitation.

If the amount a claimant actually lost from their transactions in GE common stock during the Relevant Period on a cash-in, cash-out basis is less than the amount of their Recognized Loss as determined in accordance with the POA, then the amount of the claim will be equal to the amount of the actual loss (or gain).

For example, if a claimant realized a market gain from their transactions in GE common stock during the Relevant Period, the claimant would not be eligible for compensation because they did not suffer a loss (even if the calculation of Recognized Loss under the POA shows a loss).

Generally, the Market Loss Limitation is intended to help direct the recoveries from the Fair Fund to compensate those investors that actually suffered out of pocket losses as a result of their transactions in GE common stock.

The POA in this case requires that in determining a claimant’s eligibility we must look at all transactions that occurred during the Relevant Period, as well as all transactions that took place during the 90-day period that extends after the end of the Relevant Period (January 17, 2018 through April 16, 2018).

While an eligible claimant must have purchased GE common stock during the Relevant Period, the POA requires that all sales until April 16, 2018 be considered in determining eligible losses.  By taking into account any sales that occurred during the 90-day period, we are able to account for the proceeds of any sales during the period.  Accounting for these sales will enable us to determine the actual losses for each claimant.

This is yet another measure that is implemented to try to ensure that recoveries from the Fair Fund are directed to compensate those investors that actually suffered an out of pocket loss as a result of trading during the Relevant Period when the misinformation was in the marketplace.

If you would like more information, please see the Plan of Allocation that can be found as Exhibit A to the Distribution Plan.

The claim form must be postmarked on or before October 19, 2022.

Yes. You must provide with your completed claim form documentation of (a) the number of shares you held as of the opening of trading on October 16, 2015 if any; (b) all purchases and sales of GE common stock between October 16, 2015 through and including January 16, 2018; and (c) the number of shares you held as of April 16, 2018, if any.  Please be sure the documentation confirms the details provided in your claim form.

All documentation must include adequate identifying information (i.e., your name and account number must appear on all documentation submitted). Handwritten modifications to the documentation or self-generated schedules or statements will not be accepted.  Please do not send the originals of your supporting documentation; be sure to provide copies.  Documentation should list the security, type of transaction, date of transaction, number of shares, and total amount of the transaction.

The types of documents that should be submitted to support your claim include:

• monthly brokerage or other investment account statements;
• trade confirmation slips; or
• a signed letter from your broker on firm letterhead verifying the information you have provided in the claim form.

If you do not submit documents with your claim form to verify your holdings and transactions in GE common stock during the Relevant Period, we will be unable to validate your claim.  Notices detailing any deficiencies in your claim will be mailed at a later date and you will have an opportunity to submit additional supporting documentation at that time.

It is very important that you provide documentation in support of the holdings and transactions listed on your claim form.  Failure to do so may invalidate your claim.  If you cannot locate these documents within your personal records, contact your broker or other account representative and request copies of the documents you need.

Yes. The Fund Administrator will use its best efforts to protect the privacy of the information you provide, and the Fund Administrator will not use the information in your claim form and supporting documents other than for the purpose of processing your claim.  For more information, see our Privacy Policy located on this website.

The Fund Administrator will likely need more information in order to process your claim form.  The claim form asks for your phone number and email address so you can be contacted promptly if additional information is needed.  The Fund Administrator will not voluntarily release this information to any person or entity not involved with the Fair Fund.

The Fund Administrator needs this information to administer your claim during the claim administration process.  These identifying items are necessary for a number of reasons, including enabling the Fund Administrator to ensure payments from the Fair Fund are not directed to prohibited participants listed on the U.S. Treasury’s Office of Foreign Asset Control’s (OFAC) records.

We recognize the importance of keeping your personal information secure, and we do everything under our control to ensure this data is protected.  This personal information will only be used as necessary to administer your claim during the claim administration process.

The beneficial owner of the shares of GE common stock should complete the claim form.  If you purchased the shares but they were registered in your broker’s name, you are the beneficial owner.

You should include all of your transactions in GE common stock during the Relevant Period in one claim form, even if they were purchased or held using different brokerages or representatives.  However, if you held shares of GE common stock in accounts that were different account types or held under different legal capacities (e.g., an individual account and a partnership account), you should complete a separate claim form for each.

Yes, all owners must sign. However, if your co-owner is deceased, please read the next question below.

If the beneficial owner of the shares of GE common stock has died, and would have otherwise met the eligibility requirements of the GE Fair Fund, the estate or the legal heirs may be eligible for a distribution.  The executor or administrator of the estate should sign and submit the claim form denoting his or her title (for example, “Executor of the Estate of John Doe”) on the signature page.

If no estate was opened, or if the estate is now closed, all the legal heirs of the investor should sign their names on the claim form, and add the word “Heir”.  In either circumstance, you must attach copies (please do not send originals) of any legal documentation providing evidence you are the executor or Fund Administrator of the estate, or the legal heir of the deceased.

If you had a co-owner of the shares of GE common stock who has died, you should sign the claim form yourself, and send copies of documents that show:

a.	The co-owner has died (for example, a copy of the death certificate); and
b.	You are legally entitled to the co-owner’s interest in the shares of GE common stock.

Yes.  A determination notice will be mailed to all claimants that filed a claim form.  The determination notice will provide each claimant with the status of their claim: approved, deficient or ineligible.  If your claim is deficient, we will provide an explanation of the deficiency and an instruction regarding what is required to cure the deficiency.  If your claim is determined to be ineligible, the determination notice will provide the reason for such denial.  All information submitted in response to a determination notice, either attempting to cure a deficient claim or requesting reconsideration of a rejected claim, must be postmarked no more than 30 days after the date of your determination notice.

Until all claims have been fully processed, it is not possible to determine the amount of any individual payment because the amount will depend on a variety of factors; including, the number of eligible claims processed, the total dollar amount of the eligible claims, and the eligible loss amount of your GE common stock transactions.

If you are determined to be eligible, the amount of your recovery will be based on the plan of allocation loss methodology that was approved by the Commission.  The plan of allocation analyzes the reaction of the price of GE common stock to the misstatements and omissions alleged in the SEC’s OIP in order to assess the inflation of the price of GE common stock as a result of the conduct at issue.

Your eligible loss will be calculated in accordance with the plan of allocation.  Please note that your eligible losses will be used to determine the amount of your distribution payment from the GE Fair Fund; however, if the aggregate losses of all claimants exceeds the value of the GE Fair Fund, the GE Fair Fund will be distributed to eligible claimants proportionately based upon the ratio of the eligible losses of each claimant to the aggregate eligible losses of all eligible claimants.

You can read a more detailed explanation of the plan of allocation and how distribution payments are calculated, including examples showing the application of the methodology, in the Distribution Plan which is available on this website.

We cannot provide tax or other legal advice on this matter.  It is your responsibility to determine and pay any federal, state or other taxes you may owe on recoveries you receive from the GE Fair Fund.  Therefore, we recommend that you consult your tax advisor.

If you move after you file your claim form, please be sure to provide your new address to ensure that we are able to contact you in the event you are eligible to receive a distribution payment.  You can update your address by calling (800) 511-6120, sending an email to [email protected], or writing to:

GE Fair Fund
P.O. Box 6978
Syracuse, NY 13217-6978

No.  This Fair Fund settlement is the result of an enforcement action brought by the U.S. Securities and Exchange Commission.

No.  The Fund Administrator will not mail bulk quantities of blank claim forms or other materials to an institutional filer.  The claim form and all other relevant material can be downloaded directly from the GE Fair Fund website here, or you may direct your clients to submit their claim using the online claim filing option available here.