A class action complaint entitled DeConti v. CBT Group PLC, Case No. C-98-3897 (SBA), was filed on October 8, 1998 in the United States District Court of the Northern District of California, on behalf of all persons and entities that acquired the American Depository Shares of CBT Group PLC [NASDAQ:CBTSY] in exchange for common stock which they held in The Forefront Group, Inc. [formerly NASDAQ:FFGI] in a merger which took place in May 1998. The class action also asserts claims on behalf of all purchasers of American Depositary Shares of CBT Group PLC from January 20, 1998 through September 30, 1998, inclusive (the "Class Period").

The complaint alleges that CBT Group PLC and certain of its officers and directors violated federal securities laws by misrepresenting facts in the registration statement and prospectus issued in connection with the merger. Under the Securities Act of 1933, persons who received their shares of CBT in the merger may recover money damages if material misrepresentations are made in a registration statement and prospectus even if those misrepresenations were not made intentionally or recklessly. The Complaint separately asserts claims under Section 10(b) of the Securities Exchange Act of 1934 based upon allegations of intentional or reckless conduct.

The complaint alleges that throughout the Class Period, defendants artificially inflated the price of the shares of CBT by overstating revenue and earnings and by misrepresenting the Company's business trends and prospects. When the truth was disclosed, the price of CBT stock fell as much as 88% - and fell over 80% from the price on the merger date.

Update

This case has been settled. The Claims Administrator for this litigation is Gilardi & Co. If you would to download the Notice of Pendency of Class Action or would like further information about the settlement, please go to www.gilardi.com.

If you have any further questions, please feel free to contact us.