Raydon, Lubbock National Denied OK of $2.4 Million Stock Deal

Florida defense contractor Raydon Corp. and Lubbock National Bank were denied court approval for a $2.4 million class settlement in a case challenging Raydon’s transition to employee ownership, after a federal court in Florida identified several problems with the deal.

Judge Wendy W. Berger of the U.S. District Court for the Middle District of Florida on Wednesday denied the parties’ motion for settlement approval, adopting a 31-page order by a federal magistrate judge that listed the deal’s shortcomings. The parties have until April 19 to address the problems and file a new settlement motion.

Berger agreed with Magistrate Judge Gregory ...