The Children's Internet $5.5M Fair Fund

Will Gendron

Editor in Chief

Published

November 6, 2024 11:20 AM

Updated

November 6, 2024

The Children's Internet, Inc.

If you purchased shares of The Children's Internet, Inc. (TCI) between January 1, 2002, and December 31, 2005, you may be eligible to claim compensation from an SEC action.

The Children's Internet, Inc. must pay $5,500,000 for alleged fraudulent activities involving the sale of securities. The lawsuit accused the company and its principals of misusing investor funds and failing to disclose commissions paid to stock promoters.

Who is eligible for compensation?

To be eligible for compensation, you must meet the following criteria:

You purchased shares of TCI between January 1, 2002, and December 31, 2005.
You are identified as a Preliminary Claimant by the Commission, having suffered a Recognized Loss as a result of transactions in the securities during the relevant period.
You are not an Excluded Party or an Unresponsive Preliminary Claimant.

The official settlement website has identified potential claimants based on records obtained during the investigation. If you have received a notice, it means you have been identified as a Preliminary Claimant.

How much can each claimant get?

The compensation for harmed people or entities is determined based on their Recognized Loss, calculated according to the Plan of Allocation. The total fair fund is $5,500,000, which will be distributed among eligible claimants. The distribution amount for each claimant is their pro-rata share of the net available fund.

Recognized Loss Calculation: Your Recognized Loss is based on the sum of your investments in TCI shares during the relevant period.

If the total Recognized Losses amount to $10,000,000, and your Recognized Loss is $1,000, your pro-rata share would be 0.1% of the net fund. For example, if the net available fund is $5,500,000, your compensation would be $5,500.