CHICAGO, Feb. 26, 2004 (PRIMEZONE) -- Much Shelist Freed Denenberg Ament & Rubenstein, P.C. announces that a class action lawsuit is pending in the United States District Court for the District of Nevada on behalf of purchasers, redeemers and holders of shares of the Franklin Mutual Funds set forth below (the "Funds") between February 6, 1999 and February 4, 2004 inclusive ("Class Period").
The Funds that are the subject of this suit and their symbols are as follows:
Franklin AGE High Income Fund (Symbol: AGEFX, FAHAX, FHIBX,
FRAIX, FAHRX)
Franklin Adjustable U.S. Government Securities Fund (Symbol:
FISAX, FCSCX)
Franklin Aggressive Growth Fund (Symbol: FGRAX, FRAAX, FKABX,
FKACX, FKARX)
Franklin Alabama Tax-Free Income Fund (Symbol: FRALX, FALEX)
Franklin Arizona Tax-Free Income Fund (Symbol: FTAZX, FBAZX,
FAZIX)
Franklin Balance Sheet Investment Fund (Symbol: FRBSX, FBSAX,
FBSBX, FCBSX, FBSRX)
Franklin Biotechnology Discovery Fund (Symbol: FBDIX)
Franklin Blue Chip Fund (Symbol: FKBCX, FKBBX, FBCCX, FBCRX)
Franklin California High Yield Municipal Fund (Symbol: FCAMX,
FBCAX, FCAHX)
Franklin California Insured Tax-Free Income Fund (Symbol: FRCIX,
FRCBX, FRCAX)
Franklin California Intermediate-Term Tax-Free Income Fund
(Symbol: FKCIX)
Franklin California Limited Term Tax-Free Income Fund
Franklin California Tax-Exempt Money Fund (Symbol: FCLXX)
Franklin California Tax-Free Income Fund (Symbol: FKTFX, FCAVX,
FCABX, FRCTX)
Franklin Capital Growth Fund (Symbol: FKREX, FEACX, FKEQX, FREQX,
FKIRX)
Franklin Colorado Tax-Free Income Fund (Symbol: FRCOX, FCOIX)
Franklin Connecticut Tax-Free Income Fund (Symbol: FXCTX, FCTIX)
Franklin Convertible Securities Fund (Symbol: FISCX, FROTX)
Franklin Double Tax-Free Income Fund (Symbol: FPRTX, FPRIX)
Franklin DynaTech Fund (Symbol: FKDNX, FDNBX, FDYNX)
Franklin Equity Income Fund (Symbol: FISEX, FBEIX, FRETX, FREIX)
Franklin Federal Intermediate-Term Tax-Free Income Fund (Symbol:
FKITX)
Franklin Federal Limited Term Tax-Free Income Fund (Symbol:
FFTFX)
Franklin Federal Money Fund (Symbol: FMNXX)
Franklin Federal Tax-Free Income Fund (Symbol: FKTIX, FAFTX,
FFTBX, FRFTX)
Franklin Flex Cap Growth Fund (Symbol: FKCGX, FKCBX, FCIIX,
FRCGX)
Franklin Floating Rate Daily Access Fund (Symbol: FAFRX, FBFRX,
FCFRX)
Franklin Floating Rate Trust (Symbol: XFFLX)
Franklin Florida Insured Tax-Free Income Fund (Symbol: FFLTX)
Franklin Florida Tax-Free Income Fund (Symbol: FRFLX, FRFBX,
FRFIX)
Franklin Georgia Tax-Free Income Fund (Symbol: FTGAX, FGAIX)
Franklin Global Aggressive Growth Fund
Franklin Global Communications Fund (Symbol: FRGUX)
Franklin Global Growth Fund
Franklin Global Health Care Fund (Symbol: FKGHX, FGHBX, FGIIX)
Franklin Gold and Precious Metals Fund (Symbol: FKRCX, FGADX,
FAGPX, FRGOX)
Franklin Growth Fund (Symbol: FKGRX, FCGAX, FKGBX, FRGSX, FGSRX)
Franklin High Yield Tax-Free Income Fund (Symbol: FRHIX, FYIBX,
FHYIX)
Franklin Income Fund (Symbol: FKINX, FRIAX, FBICX, FICBX, FCISX,
FISRX)
Franklin Insured Tax-Free Income Fund (Symbol: FTFIX, FBITX,
FRITX)
Franklin Kentucky Tax-Free Income Fund (Symbol: FRKYX)
Franklin Large Cap Growth Fund (Symbol: FKGAX, FRGAX, FKGCX,
FRLGX)
Franklin Large Cap Value Fund (Symbol: FLVAX, FBLCX, FLCVX,
FLCRX)
Franklin Louisiana Tax-Free Income Fund (Symbol: FKLAX, FLAIX)
Franklin Maryland Tax-Free Income Fund (Symbol: FMDTX, FMDIX)
Franklin Massachusetts Insured Tax-Free Income Fund (Symbol:
FMISX, FMAIX)
Franklin Michigan Insured Tax-Free Income Fund (Symbol: FTTMX,
FBMIX, FRMTX
Franklin MicroCap Value Fund (Symbol: FRMCX)
Franklin Minnesota Insured Tax-Free Income Fund (Symbol: FMINX,
FMNIX)
Franklin Missouri Tax-Free Income Fund (Symbol: FRMOX, FMOIX)
Franklin Money Fund (Symbol: FMFXX)
Franklin Natural Resources Fund (Symbol: FRNRX, FNRAX)
Franklin New Jersey Tax-Free Income Fund (Symbol: FRNJX, FNJBX,
FNIIX)
Franklin New York Insured Tax-Free Income Fund (Symbol: FRNYX,
FNYKX)
Franklin New York Intermediate-Term Tax-Free Income Fund
(Symbol: FKNIX)
Franklin New York Limited Term Tax-Free Income Fund
Franklin New York Tax-Exempt Money Fund (Symbol: FRNXX)
Franklin New York Tax-Free Income Fund (Symbol: FNYTX, FNYAX,
FTFBX, FNYIX)
Franklin North Carolina Tax-Free Income Fund (Symbol: FXNCX,
FNCIX)
Franklin Ohio Insured Tax-Free Income Fund (Symbol: FTOIX,
FBOIX, FOITX)
Franklin Oregon Tax-Free Income Fund (Symbol: FRORX, FORIX)
Franklin Pennsylvania Tax-Free Income Fund (Symbol: FRPAX,
FBPTX, FRPTX)
Franklin Real Estate Securities Fund (Symbol: FREEX, FRLAX,
FBREX, FRRSX)
Franklin Rising Dividends Fund (Symbol: FRDPX, FRDBX, FRDTX,
FRDRX)
Franklin Short-Intermediate U.S. Government Securities Fund
(Symbol: FRGVX,
FSUAX)
Franklin Small Cap Growth Fund II (Symbol: FSGRX, FSSAX, FBSGX,
FCSGX, FSSRX)
Franklin Small Cap Value Fund (Symbol: FRVLX, FVADX, FBVAX,
FRVFX, FVFRX)
Franklin Small-Mid Cap Growth Fund (Symbol: FRSGX, FSGAX, FBSMX,
FRSIX, FSMRX)
Franklin Strategic Income Fund (Symbol: FRSTX, FKSAX, FKSBX,
FSGCX, FKSRX)
Franklin Strategic Mortgage Portfolio (Symbol: FSMIX)
Franklin Tax-Exempt Money Fund (Symbol: FTMXX)
Franklin Technology Fund (Symbol: FTCAX, FRTCX, FFTCX, FTERX)
Franklin Templeton Conservative Target Fund (Symbol: FTCIX,
FTCCX, FTCRX)
Franklin Templeton CoreFolio Allocation Fund (Symbol: FTCOX)
Franklin Templeton Founding Funds Allocation Fund (Symbol:
FFALX, FFABX, FFACX)
Franklin Templeton Growth Target Fund (Symbol: FGTIX, FTGTX,
FGTRX)
Franklin Templeton Hard Currency Fund (Symbol: ICPHX)
Franklin Templeton Moderate Target Fund (Symbol: FMTIX, FTMTX,
FTMRX)
Franklin Templeton Money Fund (Symbol: FMBXX, FRIXX, FMRXX)
Franklin Tennessee Municipal Bond Fund (Symbol: FRTIX)
Franklin Texas Tax-Free Income Fund (Symbol: FTXTX, FTXIX)
Franklin Total Return Fund (Symbol: FKBAX, FBDAX, FBTLX, FCTLX,
FTRRX)
Franklin U.S. Government Securities Fund (Symbol: FKUSX, FUSAX,
FUGBX, FRUGX, FUSRX)
Franklin U.S. Long-Short Fund (Symbol: FUSLX)
Franklin Utilities Fund (Symbol: FKUTX, FRUAX, FRUBX, FRUSX,
FRURX)
Franklin Virginia Tax-Free Income Fund (Symbol: FRVAX, FVAIX)
Templeton China World Fund (Symbol: TCWAX, TACWX)
Templeton Developing Markets Trust (Symbol: TEDMX, TDADX, TDMBX,
TDMTX, TDMRX)
Templeton Foreign Fund (Symbol: TEMFX, TFFAX, TFRBX, TEFTX,
TEFRX)
Templeton Foreign Smaller Companies Fund (Symbol: FINEX, FTFAX,
FCFSX)
Templeton Global Bond Fund (Symbol: TPINX, TGBAX, TEGBX)
Templeton Global Long-Short Fund (Symbol: TLSAX, TLSBX)
Templeton Global Opportunities Trust (Symbol: TEGOX, TEGPX)
Templeton Global Smaller Companies Fund, Inc. (Symbol: TEMGX,
TGSAX. TESGX)
Templeton Growth Fund, Inc. (Symbol: TEPLX, TGADX, TMGBX, TEGTX,
TEGRX)
Templeton International (Ex EM) Fund (Symbol: TEGEX, TGEFX)
Templeton Latin America Fund (Symbol: TELAX, TLAAX, TLAIX)
Templeton Pacific Growth Fund (Symbol: FKPGX, FPGCX)
Templeton World Fund (Symbol: TEMWX, TWDBX, TEWTX)
Mutual Beacon Fund (Symbol: TEBIX, TEBBX, TEMEX, BEGRX)
Mutual Discovery Fund (Symbol: TEDIX, TEDBX, TEDSX, TEDRX,
MDISX)
Mutual European Fund (Symbol: TEMIX, TEUBX, TEURX, MEURX)
Mutual Financial Services Fund (Symbol: TFSIX, TBFSX, TMFSX,
TEFAX)
Mutual Qualified Fund (Symbol: TEQIX, TEBQX, TEMQX, MQIFX)
Mutual Recovery Fund (Symbol: FMRVX)
Mutual Shares Fund (Symbol: TESIX, FMUBX, TEMTX, TESRX, MUTHX)
The Complaint charges Franklin Resources, Inc. and certain of its affiliates, Daniel G. Calugar ("Calugar"), Security Brokerage, Inc. ("SBI"), and DCIP, L.P. ("DCIP") with violations of the Securities Act of 1933, the Securities Exchange Act of 1934, the Investment Company Act of 1940, and with common law breach of fiduciary duties.
Much Shelist is currently investigating these claims. If you wish to discuss your rights and interests, or if you have information relevant to the lawsuit, you may contact Carol V. Gilden at Much Shelist Freed Denenberg Ament & Rubenstein, P.C., by calling a toll-free number 1-800-470-6824, or by sending an e-mail to investorhelp@muchshelist.com. Your e-mail should refer to Franklin.
Specifically, the Complaint alleges that during the Class Period the defendants failed to disclose that they improperly allowed certain favored investors, including Calugar, SBI, and DCIP, to engage in "timing" of the Funds' securities. Timing is excessive, arbitrage trading undertaken to turn a quick profit and which ordinary investors are told that the funds police. Timing injures ordinary fund investors -- who are not allowed to engage in such practices - and are acknowledged as improper practices by the Funds. In return for receiving extra fees from Calugar, SBI, and DCIP, and other favored investors, Franklin Resources and its affiliates allowed and facilitated timing activities in the Funds, to the detriment of class members, who paid, dollar for dollar, for improper profits made by Calugar, SBI, and DCIP. These practices were undisclosed in the prospectuses of the Funds, which falsely represented that the Funds actively police against timing and that premature redemptions will be assessed a charge.
If you purchased, held or redeemed the Funds during the Class Period and if you meet certain other legal requirements, you may file a motion in the court where the lawsuit has been filed to serve as a lead plaintiff. You must file your motion no later than March 5, 2004.
A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. The requirements for serving as a lead plaintiff are set forth in the Private Securities Litigation Reform Act of 1995 (15 U.S.C. Section 78u-4).
Much Shelist's history is one of experience, leadership and results. For more than 25 years, Much Shelist has represented plaintiffs in class action litigation in federal and state courts across the United States. The firm has successfully prosecuted cases involving securities fraud, antitrust violations, consumer fraud, unlawful business practices and insurance company fraud. Under Much Shelist's leadership, class members have obtained judgments and settlements in excess of $4 billion.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca