CAR_Public/010719.mbx              C L A S S   A C T I O N   R E P O R T E R

              Thursday, July 19 2001, Vol. 3, No. 140

                              Headlines


AKBAR TANDJUNG: Trial Against Top Legislative Officials Postponed
AGENCY.COM: Schiffrin & Barroway Files Securities Suit In S.D. New York
ALASKA STATE: State Supreme Court Okays Suit Over Miller's Reach Fire
AMERICAN EXPRESS: Awaits Final Court Approval Of Settlement Offer
ATOFINA CHEMICALS: Charfoos Christensen Files Damage Suit In Michigan

BLUE MARTINI: Bernstein Liebhard Begins Securities Suit In S.D. NY
BRESNAN COMMUNICATIONS: Systems Subscribers Sue Over Late Fee Charges
CALICO COMMERCE: Faces Securities Fraud Lawsuit In S.D. New York
CALIPER TECHNOLOGIES: Milberg Weiss Files Securities Suit In S.D. NY
CARNIVAL CORPORATION: Faces Securities Fraud Lawsuit In S.D. Florida

CARNIVAL CORPORATION: Settles Two Damage Suits Over Port Charges
CHARTER COMMUNICATIONS: Faces Suits In Four States Over Processing Fee
CHINADOTCOM INC.: Marc Henzel Files Securities Suit In S.D. New York
ETOYS INC.: Stull Stull Commences Securities Suit In S.D. New York
EXODUS COMMUNICATIONS: Slotnick Shapiro Files Suit In N.D. California

HORACE MANN: Settles Lawsuit Filed By Disability Policies Purchasers
IMMUNE RESPONSE: Schiffrin & Barroway Files Suit In S.D. California
INTERMEDIA CABLE: Customers Claim Late Fee Charges Unreasonable
IRWIN FINANCIAL: Mortgage Corporation Subsidiary Faces Broker Fees Suit
IRWIN UNION: Sued In Rhode Islands For Violating Truth In Lending Act

KFC RESTAURANT: Spearfish, S.D. Branch Sued for Sexual Harassment
LEHMAN BROTHERS:Bankrupt IPO Securities Issuers File Consolidated Suit
MAY DEPARTMENT: Settles Lawsuit, Agrees To Improve Access To 430 Stores
MONTANA STATE: Game Farm Owners Ask For Animal Shooting Ban Lift
OWENS CORNING: Dwyer & Collora Files Amended Massachusetts Complaint  

REDBACK NETWORKS: Stull Stull Files Securities Suit In S.D. New York
RHYTHMS NETCONNECTIONS: Milberg Weiss Begins S.D. NY Securities Suit
ROBB MONTGOMERY: Plaintiffs Settles Suit Against Doctor for $3.4M
SCHICK TECHNOLOGIES: Optimistic That Settlement Deal Will Be Approved
SOUTH KOREA: Korean Business Groups Can't Agree On Possible Effects

SYCAMORE NETWORKS: Marc Henzel Commences Securities Suit In S.D. NY
TCI FALCON: Customers Cry Foul, Sue Over Assessment Of Late Fees
TIBCO SOFTWARE: Faces Securities Fraud Lawsuit In S.D. New York
TICKETS.COM: Schiffrin & Barroway Begins Securities Suit In S.D. NY
TOWNE SERVICES: Court Grants Dismissal Motion, But Allows Suit To Go On

TRAFFIX INC.: Awaits Court Approval of $3.2 Million Settlement Deal
TREX COMPANY: Milberg Weiss Files Securities Suit In W.D. Virginia
U.S. WIRELESS: Beleaguered Company Reports Losses of $32.7M This Year
U.S. WIRELESS: Cauley Geller Files Securities Suit In N.D. California
VULCAN MATERIALS: Chemical Releases At LA Plant Triggers Several Suits

                              *********


AKBAR TANDJUNG: Trial Against Top Legislative Officials Postponed
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The class action litigation by some Pasuruan, Madura and Surabaya
people in East Java against House Speaker Akbar Tandjung and Chairman
of the People's Consultative Assembly (MPR) Amien Rais has been
postponed until July 16, the Financial Times reports.

The first hearing was held by the Supreme Court in Jakarta last June
20, but was not attended by either Amien Rais or Akbar Tandjung in
person.  

The Supreme Court hearing on the class action last month was reportedly
presided over by Supreme Judge Artidjo Alkautsar, the Times said.

Both House Speaker Akbar Tandjung and MPR Chairman Amien Rais were
accused of violating the 1945 Constitution by smoothing the path of the
DPR to issue memorandums of censure against President Abdurrahman Wahid
and call on the MPR to hold a special session that could impeach the
President.   

About 5,000 East Java people from the three towns, which are Wahid
supporter strongholds, signed the class action litigation, the Times
said.

MPR Chairman Amien Rais was also charged with unbecoming behavior for
joining a demonstration of anti-Wahid university students in Jakarta.


AGENCY.COM: Schiffrin & Barroway Files Securities Suit In S.D. New York
-----------------------------------------------------------------------
Schiffrin & Barroway, LLP filed a class action lawsuit in the United
States District Court for the Southern District of New York on behalf
of all purchasers of the common stock of Agency.com, Ltd. (Nasdaq:
ACOM) from December 8, 1999 through December 6, 2000, inclusive.

The suit names the following as defendants: Agency.com, Goldman Sachs &
Co., Salomon Smith Barney, Inc., Chan Suh, Kyle Shannon, Kenneth Trush
and Charles Dickson.

For more information, contact: Schiffrin & Barroway, LLP through Marc
A. Topaz, Esq. or Stuart L. Berman, Esq. by Mail: Three Bala Plaza
East, Suite 400, Bala Cynwyd, PA  19004 by Phone: 1-888-299-7706 (toll
free) or 1-610-667-7706 or by E-mail: info@sbclasslaw.com


ALASKA STATE: State Supreme Court Okays Suit Over Miller's Reach Fire
---------------------------------------------------------------------
The Alaska Supreme Court, in a recent ruling, has cleared the way for a
group of homeowners to sue the State over alleged negligence in its
handling of the 1996 Miller's Reach fire, according to a recent
Associated Press report.  

The ruling also affects a similar class action lawsuit against the
State.

The Supreme Court's opinion reversed the action of the Superior Court,
which dismissed the case in 1999, asserting the State's immunity from
forest fire lawsuits and charges of negligence.  

The Supreme Court justices, however, held that the Department of
Justice is not immune from lawsuits.

The fire destroyed more than 37,000 acres and several hundred
structures in the Big Lake area.  

The homeowners sued for damages, claiming the State Division of
Forestry was negligent in fighting the fire.


AMERICAN EXPRESS: Awaits Final Court Approval Of Settlement Offer
-----------------------------------------------------------------
Only a final court approval is needed now to finally put to rest a
class action lawsuit filed against American Express Financial
Corporation and several other defendants in August last year.

In a regulatory filing with the Securities and Exchange Commission, the
Company revealed that oral arguments were heard by a federal court in
Minnesota last March on plaintiffs' motion for final approval of the
class action settlement.

In that hearing, six motions to intervene were filed together with
objections to the proposed deal.

A decision by the U.S. District Court for the District of Minnesota on
the matter is still pending.

Aside from the Company, the following Companies were also name as
defendants in the suit:

     (i) American Express Financial Advisors,

    (ii) American Centurion Life Assurance Company,

   (iii) American Enterprise Life Insurance Company,

    (iv) American Partners Life Insurance Company,

     (v) IDS Life Insurance Company and

    (vi) IDS Life Insurance Company of New York.

The complaint put at issue various alleged sales practices and
misrepresentations and allegations of violations of federal laws.


ATOFINA CHEMICALS: Charfoos Christensen Files Damage Suit In Michigan
---------------------------------------------------------------------
A class action suit was filed Monday against Atofina Chemicals
following a deadly explosion over the weekend of a rail car carrying
25,000 gallons of methyl mercaptan, the Click on Detroit.com News
reported.

The suit was filed by Detroit law firm Charfoos and Christensen in
federal district court, citing the possibility of dangerous chemicals
being released into neighborhoods surrounding Atofina's Riverview
facility.

The explosion that killed three individuals and injured nine others
happened early Saturday morning, when a rail car carrying the methyl
mercaptan began leaking, caught fire then exploded.

According to the report, the blast released dangerous levels of the
chemical to the air, causing more than 2,000 people to be evacuated in
Riverview and nearby Grosse Ile, Wyandotte and Trenton.

Methyl mercaptan is a flammable substance used in pharmaceutical and
agricultural products.

Atofina Chemicals is a unit of Total Fina Elf, one of the world's
largest integrated oil companies that explores for, develops, and
produces crude oil and natural gas, refines and markets oil, and trades
and transports both crude and finished products.

The Atofina unit is a major chemical producer.


BLUE MARTINI: Bernstein Liebhard Begins Securities Suit In S.D. NY
------------------------------------------------------------------
Bernstein Liebhard & Lifshitz, LLP filed a securities class action
lawsuit on behalf of all persons who acquired Blue Martini, Inc.
(NASDAQ: BLUE) securities between July 24, 2000 and July 9, 2001.

The case is pending in the United States District Court for the
Southern District of New York.

Named as defendants in the complaint are Blue Martini and the following
executive officers of Blue Martini:

     (i) James C. Gaither,

    (ii) A. Michael Spence,

   (iii) Andrew W. Verhalen,

    (iv) Edward H. Vick, and

     (v) William F. Zuendt.

The complaint also names as defendants the following underwriters of
Blue Martini's initial public offering: Goldman, Sachs & Co., Dain
Rauscher Incorporated, Thomas Weisel Partners LLC and U.S. Bancorp
Piper Jaffray Inc.

The complaint charges defendants with violations of the Securities Act
of 1933 and the Securities Exchange Act of 1934.

For more information, contact: Bernstein Liebhard & Lifshitz through
its Shareholders Relations: Linda Flood by Mail: 10 East 40th Street,
New York, New York 10016 by Phone: (800) 217-1522 or 212-779-1414 or by
E-mail: BLUE@bernlieb.com


BRESNAN COMMUNICATIONS: Systems Subscribers Sue Over Late Fee Charges
---------------------------------------------------------------------
Several subscribers to the systems of Bresnan Communications Group, LLC
have filed or threatened class action complaints, alleging the  
Company's practice of assessing an administrative fee to those whose
payments are delinquent constitutes an invalid liquidated damage
provision and a breach of contract, and violates local consumer
protection statutes.

Plaintiffs seek recovery of all late fees paid to the subject systems
as a class purporting to consist of all subscribers who were assessed
such fees during the applicable limitation period, plus attorneys' fees
and costs.

"Although it is possible that BCG may incur losses upon conclusion of
these matters and the matters referred to above, an estimate of any
loss or range of loss cannot presently be made," the Company said in
its latest report to the Securities and Exchange Commission.


CALICO COMMERCE: Faces Securities Fraud Lawsuit In S.D. New York
----------------------------------------------------------------
Calico Commerce, Inc. informed the Securities and Exchange Commission
recently that beginning in March 2001, a number of complaints were
filed in the Southern District of New York seeking an unspecified
amount of damages on behalf of an alleged class of persons who
purchased its shares common stock between the date of its initial
public offering and the end of June 2000.

The complaints name as defendants Calico and certain of its current and
former directors and officers, and several underwriters of its initial
public offering.

Plaintiffs allege, among other things, that the Company's prospectus,
incorporated in the Registration Statement on Form S-1 filed with the
Securities and Exchange Commission, was materially false and
misleading.

This is accordingly due to the fact that it failed to disclose that the
investment banks that underwrote Calico's initial public offering of
securities and others received undisclosed and excessive brokerage
commissions.

In addition, the underwriters allegedly required investors to agree to
buy shares of the Company's securities after the initial public
offering was completed at predetermined prices as a precondition to
obtaining initial public offering allocations.

The plaintiffs further allege that these actions artificially inflated
the price of the Company's common stock after the initial public
offering.

The plaintiffs attempt to state claims for violation of Sections 11, 12
and 15 of the Securities Act of 1933, and under Section 10(b) and 20(a)
of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated by
the Securities Exchange Commission.

On June 12, 2001, Judge Shira A. Scheindlin, United States District
Judge for the Southern District of New York, ordered that:

     (a) all of the class action complaints be consolidated,

     (b) Cynthia Yuen Lai Hui, Marshall Hui and Paul Statham be
         appointed to serve as lead plaintiffs pursuant to the Private
         Securities Litigation Reform Act, and

     (c) the law firms of Bernstein Liebhard & Lifschitz LLP of New
         York and Schiffrin & Barroway of Bala Cynwood Pennsylvania be
         appointed and serve as lead counsel for plaintiffs pursuant to
         the PSLRA.

Calico and the other defendants will be required to respond to a
consolidated amended complaint at the end of August 2001.

"While management intends to defend the actions vigorously, the
litigation is in the preliminary stage, and we cannot predict the
outcome with certainty," the Company said.

"Should the outcome of the litigation be adverse to us, we could be
required to pay significant monetary damages to the plaintiffs, which
could harm our business," the Company added.

        
CALIPER TECHNOLOGIES: Milberg Weiss Files Securities Suit In S.D. NY
--------------------------------------------------------------------
Milberg Weiss Bershad Hynes & Lerach LLP filed a class action lawsuit
Tuesday on behalf of purchasers of the securities of Caliper
Technologies Corporation (NASDAQ: CALP) between December 14, 1999 and
December 6, 2000, inclusive.

The action is pending in the United States District Court, Southern
District of New York against defendants Caliper, Credit Suisse First
Boston Corporation, Daniel L. Kisner, M.D., James L. Knighton and David
V. Milligan, PhD.

The complaint alleges violations of Sections 11, 12(a)(2) and 15 of the
Securities Act of 1933 and Section 10(b) of the Securities Exchange Act
of 1934 and Rule 10b-5 promulgated thereunder.

For more information, contact: Steven G. Schulman or Samuel H. Rudman
by Mail: One Pennsylvania Plaza, 49th fl., New York, NY, 10119-0165 by
Phone: (800) 320-5081 by E-mail: Calipercase@milbergNY.com or visit the
firm's Website: www.milberg.com


CARNIVAL CORPORATION: Faces Securities Fraud Lawsuit In S.D. Florida
--------------------------------------------------------------------
World's largest cruise operator, Carnival Corporation, faces several
actions filed in the U.S. District Court for the Southern District of
Florida against four of its officers on behalf of a purported class of
purchasers of its Common Stock.

The plaintiffs are claiming that statements the Company made in public
filings violate federal securities laws and seek unspecified
compensatory damages, attorneys' fees and costs and expert fees.  

The action is currently proceeding.

"We believe that we and our officers, as applicable, have meritorious
defenses to these claims and, accordingly, we all intend to vigorously
defend against all such claims," the Company said in a recent
regulatory report to the Securities and Exchange Commission.


CARNIVAL CORPORATION: Settles Two Damage Suits Over Port Charges
----------------------------------------------------------------
Several actions are currently pending against Carnival Corporation
filed on behalf of purported classes of persons who paid port charges
to Carnival Cruise Lines, Holland America Line and Costa Cruises.

The suits allege that statements made in advertising and promotional
materials concerning port charges were false and misleading.  

Plaintiffs claim the Company violated various state consumer protection
acts through fraud, conversion, breach of fiduciary duties and unjust
enrichment.  

Plaintiffs seek compensatory damages or, alternatively, refunds of
portions of port charges paid, attorneys' fees, costs, prejudgment
interest, punitive damages and injunctive and declaratory relief.

Carnival recently entered into an agreement to settle the Passenger
Complaint filed against it.  

The trial court signed a final order and judgment approving the
settlement.

Under the settlement agreement, Carnival will issue travel vouchers
with a face value of $25-$55 depending on specified criteria, to
certain of its passengers who sailed between April 1992 and June 1997.  

The vouchers also provide class members with a cash redemption option
of up to 20% of the face value.  

The aggregate face value of travel vouchers that Carnival will issue,
assuming no cash redemptions, is approximately $125 million.  

Alternatively, if all passengers elect the cash redemption feature, the
vouchers could be redeemed for approximately $25 million in cash.  

Pursuant to the settlement, Carnival will pay the plaintiffs' legal
fees awarded by the court.  

Several plaintiffs who asserted objections to the settlement filed a
notice of appeal from the trial court order approving the settlement.

Holland America Tours, for its part, has entered into a settlement
agreement for the one Passenger Complaint filed against it.  

The trial court approved the settlement on September 28, 1998.  

Under the settlement agreement, Holland America will issue a total of
approximately $14 million in travel vouchers. The vouchers have a face
value of $10-$50, depending on specified criteria, to certain of its
passengers who are U.S. residents and who sailed between April 1992 and
April 1996, and would pay a portion of the plaintiffs' legal fees.

One member of the Holland America Tours settlement class appealed the
trial court's approval of the settlement.  

In August 2000, the court of appeals refused to approve the settlement
and remanded the case to the trial court.  

At the request of Holland America Tours, the Washington Supreme
Court has agreed to review the court of appeals ruling.  

The Washington Supreme Court is expected to make a decision by the end
of 2001.

Carnival Corporation is the world's largest cruise operator with six
cruise lines carrying some 2.6 million passengers.

Its brands include Carnival Cruises (primarily family Caribbean
vacations), Holland America (luxury cruises), and Cunard Line (ocean
liner service).

Carnival's Costa Crociere offers cruises to European destinations,
while its Seabourn and Windstar lines serve the top of the luxury
market.

Carnival also operates Holland America Westours, which offers sight-
seeing tours to Alaska and the Yukon.
    
    
CHARTER COMMUNICATIONS: Faces Suits In Four States Over Processing Fee
----------------------------------------------------------------------
Leading cable system operator Charter Communications Holdings LLC faces
punitive class action lawsuits in Alabama, Indiana, Texas and
Wisconsin.

These suits were brought on behalf of all person residing in those
respective states who are or were potential customers of the Company's
cable television service, and who have been charged a processing fee
for delinquent payment of their cable bill.

The actions challenge the legality of the processing fee and seek
declaratory judgment, injunctive relief and unspecified damages.

In Alabama and Wisconsin, the Company has entered into joint
speculation and case management orders with attorneys for plaintiffs.

A Motion to Dismiss is pending in Indiana.

"The Company intends to vigorously defend the actions," a report to the
Securities and Exchange Commission said.

The company serves more than 6 million subscribers in 40 US states. Not
only is it a leading cable TV player, but Charter has also embarked on
a $3.5 billion system upgrade to be able to offer broadband services
over its cable.

Its new products include digital cable (1 million customers) and high-
speed Internet access via cable modem (252,000 customers).


CHINADOTCOM INC.: Marc Henzel Files Securities Suit In S.D. New York
--------------------------------------------------------------------
The law firm of Marc S. Henzel filed a class action lawsuit in the
United States District Court, Southern District of New York on behalf
of purchasers of the securities of Chinadotcom Corp., (Nasdaq: CHINA)
between July 12, 1999 and December 6, 2000, inclusive.

The complaint alleges violations of Sections 11, 12(a)(2) and 15 of the
Securities Act of 1933 and Section 10(b) of the Securities Exchange Act
of 1934 and Rule 10b-5 promulgated thereunder.

For further details, contact: The Law Offices of Marc S. Henzel by
Mail: 210 West Washington Square, Third Floor Philadelphia, PA 19106,
by Phone: 888-643-6735 or 215-625-9999 by Fax: 215-440-9475 by E-mail:
Mhenzel182@aol.com or visit the firm's Website:
www.members.aol.com.mhenzel182


ETOYS INC.: Stull Stull Commences Securities Suit In S.D. New York
------------------------------------------------------------------
Stull, Stull & Brody filed a class action lawsuit Tuesday in the United
States District Court for the Southern District of New York, on behalf
of purchasers of eToys Inc. (NASDAQ:ETYS) common stock between May 19,
1999 and December 6, 2000, inclusive.

The complaint alleges that defendants violated the federal securities
laws by issuing and selling eToys common stock pursuant to the May 19,
1999 IPO without disclosing to investors that some of the underwriters
in the offering, including the lead underwriters, had solicited and
received excessive and undisclosed commissions from certain investors.

For more information, contact: Stull Stull & Brody through Tzivia
Brody, Esq. by Phone: 1-800-337-4983 (toll free) or by E-mail:
SSBNY@aol.com or by Fax: 212/490-2022 or by Mail: 6 East 45th Street,
New York, NY 10017.


EXODUS COMMUNICATIONS: Slotnick Shapiro Files Suit In N.D. California
---------------------------------------------------------------------
Slotnick, Shapiro & Crocker, LLP filed a class action in the United
States District Court for the Northern District of California on behalf
of all individuals and institutional investors that purchased the
publicly traded securities of Exodus Communications, Inc. (Nasdaq:
EXDS) between March 30, 2001 and June 30, 2001, inclusive.

The Complaint charges that the Company and certain officers and
directors with violations of federal securities laws by providing
materially false and misleading information about the Company's
financial condition, and as a result of these false and misleading
statements the Company's stock traded at artificially inflated prices
during the Class Period.

For more information, contact: SLOTNICK, SHAPIRO & CROCKER, LLP through
Stephen D. Oestreich, Esq. by Mail: 100 Park Avenue, 35th Floor, New
York, NY 10017 by Phone: 212-687-5000 or 1-888-367-5291 (toll free) by
Fax: 212-687-3080 or by E-Mail: soestreich@sscny.com


HORACE MANN: Settles Lawsuit Filed By Disability Policies Purchasers
--------------------------------------------------------------------
Horace Mann Educators Corporation (NYSE:HMN) has submitted a settlement
agreement to the court in a class action suit brought against the
company by customers who purchased certain disability policies.

All parties involved in the suit have mutually agreed to the
settlement, which will be covered by an after-tax reserve of
approximately $5 million that was previously announced in the fourth
quarter of 2000.

This reserve will cover payment to the class, legal fees and
administration costs and will have no negative effect on the company's
current and future earnings.

The settlement is now pending court approval.

Plaintiffs in the suit asserted they did not fully understand the
provision of the policy's offsetting benefits due to receipt of other
forms of income.

Policies with offset provisions, which are standard in the insurance
industry, have premium rates and benefits that are based on the fact
that many people have other sources of income to protect against
disability, such as retirement benefits, social security and additional
insurance policies.

In general, disability policies account for less than 2 percent of
Horace Mann's business.

Broadly, the settlement will provide additional benefits for current
policyholders and compensation to those who demonstrate they did not
understand what they purchased.


IMMUNE RESPONSE: Schiffrin & Barroway Files Suit In S.D. California
-------------------------------------------------------------------
Schiffrin & Barroway, LLP filed a class action lawsuit in the United
States District Court for the Southern District of California on behalf
of all purchasers of the common stock of Immune Response Corporation
(Nasdaq: IMNR) from May 17, 1999 through July 6, 2001, inclusive.

For further details, contact: Schiffrin & Barroway, LLP through Marc A.
Topaz, Esq. or Stuart L. Berman, Esq. by Mail: Three Bala Plaza East,
Suite 400, Bala Cynwyd, PA  19004 by Phone: 1-888-299-7706 (toll free)
or 1-610-667-7706 or by E-mail: info@sbclasslaw.com


INTERMEDIA CABLE: Customers Claim Late Fee Charges Unreasonable
---------------------------------------------------------------
InterMedia Cable Systems, an affiliate of Charter Communications
Holdings, LLC has been named in purported and certified class actions
in various jurisdictions concerning late fee charges and practices.

Certain cable systems owned by InterMedia charge late fees to customers
who do not pay their cable bills on time.

These late fee cases challenge the amount of the late fees and the
practices under which they are imposed.

The plaintiffs raise claims under state consumer protection statutes,
other state statutes and common law.

The plaintiffs generally allege that the late fees charged by
InterMedia's cable systems, including the Systems in the States of
Tennessee, South Carolina and Georgia are not reasonably related to the
costs incurred by the cable systems as a result of the late payment.

The plaintiffs seek to require cable systems to reduce their late fees
on a prospective basis and to provide compensation for alleged
excessive late fee charges for past periods.

These cases are either at the early stages of the litigation process or
are subject to a case management order that sets forth a process
leading to mediation.


IRWIN FINANCIAL: Mortgage Corporation Subsidiary Faces Broker Fees Suit
-----------------------------------------------------------------------
Irwin Financial Corporation revealed recently that its subsidiary Irwin
Mortgage Corporation is a defendant in a class action lawsuit relating
to its payment of broker fees to mortgage brokers.

On June 15, 2001, the subsidiary's appeal on the issue of class
certification was denied by a panel of the United States Court of
Appeals for the 11th Circuit.

On July 11, 2001, the subsidiary filed a motion for a rehearing before
the Court of Appeals on the class certification issue.

Although the Company has not yet formed a reasonable estimate of the
amount of potential loss, if any, that the Corporation could suffer, it
is expected that an adverse outcome in this litigation could have a
material adverse effect on its financial condition and results of
operations.


IRWIN UNION: Sued In Rhode Islands For Violating Truth In Lending Act
---------------------------------------------------------------------
Irwin Union Bank and Trust Company and Irwin Home Equity Corporation,
both subsidiaries of Irwin Financial Corporation, are defendants in a
lawsuit in the U.S. District Court for the District of Rhode Island.

The suit is seeking certification as a class action and alleges that
Irwin's disclosures and closing procedure for certain home equity loans
did not comply with the Truth in Lending Act.

Because the case has only recently been filed, the Bank has not formed
a reasonable estimate of the amount of potential loss, if any, that it
could suffer.


KFC RESTAURANT: Spearfish, S.D. Branch Sued for Sexual Harassment
-----------------------------------------------------------------
The U.S. Equal Employment Opportunity Commission filed recently a class
action sexual harassment lawsuit in the U.S. District Court in Rapid
City, South Dakota, against The Colonel, a Kentucky Fried Chicken
restaurant, located in Spearfish, S.D.

According to a recent Associated Press report, the lawsuit alleges  
former assistant manager Rick Jones made unwanted advances and
inappropriate comments to several female employees.  

The complaint states that one employee quit because of the harassment.


LEHMAN BROTHERS:Bankrupt IPO Securities Issuers File Consolidated Suit
----------------------------------------------------------------------
Four bankrupt issuers of IPO securities have filed a consolidated class
action against 20 underwriters defendants, including Lehman Brothers
Holdings Inc.

According to Lehman Brothers, the consolidated complaint was brought to
court last July 6.

It seeks unspecified compensatory damages and injunctive relief for
alleged violations of the antitrust laws based on the theory that the
defendant underwriters fixed and maintained fees for underwriting
certain IPO securities at super-competitive levels.

The four plaintiffs are CHS Electronics, Inc.; Equalnet Communications
Corp., MDCM Holdings, Inc.; and Jeffrey A. Weinman, as trustee of the
Bankruptcy Estate of Western Pacific Airlines.

Meanwhile, Lehman Brothers also admitted in its recent report to the
Securities and Exchange Commission that it has been named in numerous
purported class actions beginning March this year.

The class of investors on whose behalf the actions are purportedly
brought is those individuals and entities who purchased securities
after an IPO made during the period of March 1997 through December
2000.

In certain cases, the class period may be narrower because it is
limited to investors in particular IPOs.

The actions all essentially allege that the underwriter defendants
conspired to require customers who wanted large allocations of IPO
shares to pay undisclosed, excessive commissions in the form of rebates
of up to one-third of their profits from the resale of the shares.

The underwriter defendants also allegedly required customers to agree
to buy shares offered in the IPOs after the IPOs were completed at
prices higher than the IPO price as a condition to receiving their
requested IPO allocation and to make such purchases at specified
escalating price levels designed to increase stock prices in the
secondary market, in a practice referred to as "laddering a stock."

The actions assert claims based on federal securities law violations,
federal antitrust violations and/or state antitrust violations.


MAY DEPARTMENT: Settles Lawsuit, Agrees To Improve Access To 430 Stores
-----------------------------------------------------------------------
May Department Stores Co. has agreed to renovate its 430 stores to make
them more accessible to disabled shoppers in a settlement agreement
announce Tuesday.

The Associated Press said the renovation will cost dearly the $14
billion-a-year retailer over the next three years.

It agreed to make their aisles, fitting rooms and bathrooms more
accessible to disabled shoppers.

According to the report, the Company also promised to get rid of long
tablecloths that can tangle wheelchair wheels within a year, lower the
height of showcase tables to 3 feet within 18 months and widen aisles
to fitting rooms and restrooms within three years.

U.S. District Judge Federico Moreno has scheduled a hearing to review
the settlement on Aug. 21, the report said.


MONTANA STATE: Game Farm Owners Ask For Animal Shooting Ban Lift
-----------------------------------------------------------------
Attorneys representing game farm owners recently asked U.S. District
Judge Donald Molloy to issue a temporary injunction lifting a ban that
outlaws the shooting of captive animals on Montana's 92 game farms. The
game farm owners have contested, in a class action lawsuit filed
previously, the ballot initiative that is phasing out game farms in the
state, according to a recent Associated Press report.

After listening to arguments from Stan Kaleczyc, a Helena lawyer
representing the Montana game farm operators, and attorneys
representing the state and other proponents of game farm Initiative
143, Judge Molloy said that he would rule on the request as quickly as
possible.

The arguments offered by both sides were the same ones used to support
and oppose the issue when it came before the voters.  

Kaleczyc argued that "it's inappropriate to take one person's idea of
ethical hunting and impose it on another"; that the Initiative violates
the game farm operators' constitutional rights and represents a danger
to their future livelihoods.  

"This cannot be fully compensated by monetary damages; the injuries can
only be resolved by granting a preliminary injunction," said Kaleczyc.  

Attorneys representing the state and sportsmen's groups told Judge
Molloy that Initiative 143 was passed by Montana voters because they
are concerned the captive animals are a source of disease and a danger
to the traditional hunting industry in Montana.

Voters, in November 2000, had passed Initiative 143, prohibiting the
licensing of new game farms, expansions and transfers of licenses and
the shooting of captive animals on the already existent game farms.  

In February 2001, Kim and Cindy Kafka of Havre and Pat and Connie
Corbett of Sidney filed a class action lawsuit in federal court, asking
that Initiative 143 be overturned on the grounds that it is
unconstitutional.  

They also requested $100 million in damages to compensate for the harm
the Initiative had done to their business.  

The same game farm operators filed the recent motion asking Judge
Molloy to temporarily enjoin the state from enforcing the ban on game
hunting while their class action proceeds through the courts.


OWENS CORNING: Dwyer & Collora Files Amended Massachusetts Complaint  
---------------------------------------------------------------------
Dwyer & Collora, LLP filed recently an Amended Complaint in a class
action lawsuit that was originally commenced on April 27, 2001 in the
United Stated District Court for the District of Massachusetts.

The Amended Complaint was filed on behalf of purchasers of Owens
Corning Inc. (NYSE: OWC) 7.5% Notes due May 1, 2005, 7.7% Notes due May
1, 2008, or 7.5 Debentures due August 1, 2018 between April 30, 1998
and October 5, 2000, inclusive.

The suit names the following as defendants:

     (i) Goldman Sachs & Company,

    (ii) Credit Suisse First Boston,

   (iii) Barclays Capital, Inc.,

    (iv) Chase Securities, Inc.,

     (v) J.P Morgan & Co.,

    (vi) First Chicago Capital Markets, Inc.,

   (vii) BancAmerica Robertson Stephens,

  (viii) Citicorp Securities, Inc.,

    (ix) NationsBanc Montgomery Securities, LLC,

     (x) BNY Capital Markets, Inc.,

    (xi) Merrill Lynch, Pierce Fenner & Smith, Inc.,

   (xii) RBC Dominion Securities Corporation,

  (xiii) Scotia Capital Markets (USA) Inc.,

   (xiv) SG Cowen Securities Corporation,

    (xv) Glen H. Hiner,

   (xvi) Domenico Cecere,

  (xvii) Steven J. Strobel,

(xviii) Michael I. Miller,

  (xix) Norman P. Blake, Jr.,

    (xx) Gaston Caperton,

   (xxi) William W. Colville,

  (xxii) Landon Hilliard,

(xxiii) Sir Trevor Holdsworth,

  (xxiv) Jon M. Huntsman, Jr.,

   (xxv) Ann Iverson,

  (xxvi) W. Walker Lewis,

(xxvii) Furman C. Moseley, Jr.,

(xxviii) W. Ann Reynolds,

  (xxix) Leonard S. Coleman, Jr., and

   (xxx) John H. Dasburg.

The Amended Complaint charges the defendants, who include the various
underwriters who participated in the offerings of the Debt Securities
to the public as well as certain Owens Corning officers and directors,
with violations of Sections 11, 12(a)(2) and 15 of the Securities Act
of 1933.

For more details, contact: Dwyer & Collora, LLP through William H.
Kettlewell, Esq., David A. Bunis, Esq. or Daniel J. Cloherty, Esq. by
Phone: 617-371-1000


REDBACK NETWORKS: Stull Stull Files Securities Suit In S.D. New York
--------------------------------------------------------------------
Stull Stull & Brody filed Tuesday a class action lawsuit in the United
States District Court for the Southern District of New York, on behalf
of purchasers of Redback Networks Inc. (NASDAQ:RBAK) common stock
between May 17, 1999 and July 3, 2001, inclusive.

The complaint alleges that defendants violated the federal securities
laws by issuing and selling Redback Networks common stock pursuant to
the May 17, 1999 IPO without disclosing to investors that some of the
underwriters in the offering, including the lead underwriters, had
solicited and received excessive and undisclosed commissions from
certain investors.

For more details, contact: Stull, Stull & Brody through Tzivia Brody,
Esq. by Phone: 1-800-337-4983 (toll free) by E-mail: SSBNY@aol.com by
Fax: 212/490-2022 or by Mail: 6 East 45th Street, New York, NY 10017.


RHYTHMS NETCONNECTIONS: Milberg Weiss Begins S.D. NY Securities Suit
--------------------------------------------------------------------
Milberg Weiss Bershad Hynes & Lerach, LLP filed Tuesday a class action
lawsuit on behalf of purchasers of the securities of Rhythms
Netconnections, Inc. (NASDAQ: RTHM, RTHM.OB) between April 6, 1999 and
December 6, 2000, inclusive.

The action is pending in the United States District Court, Southern
District of New York against defendants Rhythms, Merrill Lynch, Pierce,
Fenner & Smith Incorporated, Salomon Smith Barney, Inc., BancBoston
Robertson Stephens, Inc., Catherine M. Hapka and Scott C. Chandler.

The complaint alleges violations of Sections 11, 12(a)(2) and 15 of the
Securities Act of 1933 and Section 10(b) of the Securities Exchange Act
of 1934 and Rule 10b-5 promulgated thereunder.

For further details, contact: Steven G. Schulman or Samuel H. Rudman by
Mail: One Pennsylvania Plaza, 49th fl. New York, NY, 10119-0165 by
Phone: (800) 320-5081 by Email: Rhythmscase@milbergNY.com or visit the
firm's Website: www.milberg.com


ROBB MONTGOMERY: Plaintiffs Settles Suit Against Doctor for $3.4M
-----------------------------------------------------------------
A total of $3.4 million will be paid to Lora Land and about 200 other
plaintiffs, former patients of retired foot doctor Robb Montgomery.

Dave Fopay, writing for the Journal Gazette and Times Courier, reported
that this means the Coles County case will not be appealed.  

The settlement won't be final until Circuit Judge Paul Komada approves
it. The judge scheduled another hearing for July 31, 2001.

Lead plaintiff attorney Mitch Shick described Montgomery's finances as
"basically insolvent," which meant he wouldn't have the personal assets
needed to cover the damages.  

The settlement money will come from National-Ben Franklin Insurance
Co., which provided Montgomery with malpractice insurance before he
retired in 1992, the report said.

The trial, which lasted seven weeks, concluded on June 1.  

Jurors awarded about $3.9 million in damages to Land and 25 other
former patients.   

Judge Komada later ordered more than $26 million in additional damages
to the 178 former patients whose cases weren't considered during the
trial.

The original lawsuit filed by Ms. Land against Montgomery in 1992
alleged that the doctor performed unnecessary surgeries and treatments
that caused permanent injuries.

Land agreed to reduce her damages to $500,000 from $962,000 under the
settlement.  

Attorneys Mike Kokal and Robert Marshall represented Montgomery and the
insurance company at the hearing, but reportedly would not comment on
the settlement.

Legal notices explaining the settlement will be sent to the 304 of
Montgomery's former patients who wanted to join the lawsuit, the
Courier said.  

They have until the July 31 hearing to object to the settlement or
appeal the case 30 days after Komada approves it.


SCHICK TECHNOLOGIES: Optimistic That Settlement Deal Will Be Approved
---------------------------------------------------------------------
Schick Technologies, Inc. expressed optimism recently that a three-year
old shareholders suit will soon be dismissed.

The Company entered into a stipulation of settlement last month with
the nine shareholders who have each filed separate class suits in 1998.

The settlement deal, which provides for the payment of $3.4 million to
the plaintiffs, awaits final approval by the U.S. District Court for
the Eastern District of New York.

According to the company, the settlement amount will be paid in its
entirety by the Company's insurance carrier and is not expected to have
any material impact on the financial results of the Company.

The Complaint names as defendants the Company, David B. Schick, Thomas
E. Rutenberg, and David Spector as well as PricewaterhouseCoopers, LLP.

The Complaint alleged that the defendants issued false and misleading
statements concerning the Company's publicly reported earnings in
violation of federal securities laws.


SOUTH KOREA: Korean Business Groups Can't Agree On Possible Effects
-------------------------------------------------------------------
Two large business groups in Korea have opposing views on the impending
introduction of class action lawsuits in the Korean legal framework in
March 2002.

According to Korea Herald, the Korean Chamber of Commerce and Industry
is in favor of the plan, as it will help eradicate irregularities such
as false market disclosures and share price manipulation.

But the Federation of Korean Industries, a lobbying group for large
industrial conglomerates, believes class action suits will lead to a
rash of minority shareholder suits, the report said.

The federation foresees abuses of class action lawsuits by ill-
intentioned shareholders that will interrupt business operations.


SYCAMORE NETWORKS: Marc Henzel Commences Securities Suit In S.D. NY
-------------------------------------------------------------------
The law firm of Marc S. Henzel filed a securities class action lawsuit
in the United States District Court for the Southern District of New
York on behalf all persons who acquired Sycamore Networks, Inc.
(Nasdaq: SCMR) securities between October 21, 1999 and June 28, 2001.

Named as defendants in the complaint are Sycamore and the following
executive officers of Sycamore:

     (i) Daniel E. Smith,

    (ii) Gururaj Deshpande,

   (iii) Frances M. Jewels,

    (iv) Timothy Barrows and

     (v) Paul Ferri.

The complaint also names as defendants the following underwriters of
Sycamore's initial public offering: Morgan Stanley & Co. Incorporated,
Lehman Brothers, Inc., J.P. Morgan Securities, Inc., and Dain Rauscher
Wessels, a division of Dain Rauscher Incorporated.

The complaint charges defendants with violations of the Securities Act
of 1933 and the Securities Exchange Act of 1934.

For additional information, contact: The Law Offices of Marc S. Henzel
by Mail: 210 West Washington Square, Third Floor Philadelphia, PA 19106
by Phone: 888-643-6735 or 215-625-9999 by Fax: 215-440-9475 by E-mail:
Mhenzel182@aol.com or visit the firm's Website:
www.members.aol.com/mhenzel182


TCI FALCON: Customers Cry Foul, Sue Over Assessment Of Late Fees
----------------------------------------------------------------
TCI Falcon Systems, an affiliate of leading cable systems operator
Charter Communications Holdings LLC, is besieged with several
complaints from subscribers questioning the propriety of assessing them
late fees.

A number of these subscribers have already filed or threatened to file
separate class actions against the Company.

They claim that assessing an administrative fee to customers whose
payments are delinquent constitutes an invalid liquidated damage
provision, a breach of contract, and violates local consumer protection
statutes.

Plaintiffs seek recovery of all late fees paid to the subject systems
as a class purporting to consist of all customers who were assessed
such fees during the applicable limitation period, plus attorneys' fees
and costs.

"Based upon the facts available, management believes that, although no
assurance can be given as to the outcome of these actions, the ultimate
disposition should not have a material adverse effect upon the combined
financial condition of the TCI Falcon Systems," a report by the Company
to the Securities and Exchange Commission said.


TIBCO SOFTWARE: Faces Securities Fraud Lawsuit In S.D. New York
---------------------------------------------------------------
A class action complaint was filed against Tibco Software, Inc. on July
6, 2001 alleging violations of federal securities laws related to its
initial public offering prospectus.

The suit names as defendants the Company, several of the Company's
current and former officers and directors and the underwriters of its
IPO.

It is pending in the United States District Court for the Southern
District of New York.

The complaint claims, among others, that the prospectus contained false
and misleading statements regarding, certain commissions purported to
have been received by the underwriters in connection with their
allocation of shares in the Company's initial public offering.

The Company is still evaluating the case, and there can be no assurance
that it will prevail.

"An unfavorable outcome of this litigation could have a material
adverse effect on the Company's consolidated financial position,
liquidity or results of operations," a report by the Company to the
Securities and Exchange Commission said.


TICKETS.COM: Schiffrin & Barroway Begins Securities Suit In S.D. NY
-------------------------------------------------------------------
Schiffrin & Barroway, LLP filed a class action lawsuit in the United
States District Court for the Southern District of New York on behalf
of all purchasers of the common stock of Tickets.com, Inc. (Nasdaq:
TIXX) from November 3, 1999 through December 6, 2000, inclusive.

The suit names as defendants Tickets.com, Credit Suisse First Boston
Corporation, Morgan Stanley & Co., Incorporated, Morgan Stanley Dean
Witter Online, Inc., W. Thomas Gimple, John M. Markovich, Michael R.
Rodriguez and C. Ian Sym-Smith.

For more details, contact: Schiffrin & Barroway, LLP through Marc A.
Topaz, Esq. or Stuart L. Berman, Esq. by Mail: Three Bala Plaza East,
Suite 400, Bala Cynwyd, PA  19004 by Phone: 1-888-299-7706 (toll free)
or 1-610-667-7706 or by E-mail: info@sbclasslaw.com
                    

TOWNE SERVICES: Court Grants Dismissal Motion, But Allows Suit To Go On
-----------------------------------------------------------------------
Towne Services, Inc. announced recently its motion to dismiss a
securities lawsuit has been granted in part by the court. The effect,
however, allows the suit to continue.

The suit filed in November 1999 alleges, among other things, that Towne
should have disclosed in the prospectus used for its secondary public
offering in June 1999 that it allegedly experienced serious problems
with its network infrastructure and processing facilities during the
move of its corporate headquarters in June 1999.

These problems allegedly led to a higher than usual number of customers
terminating their contracts during the second quarter.

Towne Services allows businesses and banks to convert in-house credit
transactions into automated, virtual credit card accounts.

The Company's systems transmit accounts receivable data to businesses'
banks and invoice the businesses' customers. Upon receipt of the sales
and payment information, the banks advance funds to the companies.

No class has yet been certified in this case and discovery has not yet
commenced.

Towne believes that the allegations in the complaint are without merit
and intends to defend the lawsuit vigorously.


TRAFFIX INC.: Awaits Court Approval of $3.2 Million Settlement Deal
-------------------------------------------------------------------
Traffix, Inc. recently announced that it has successfully settled a
class action suit for $3.2 million.

The Company said in its regulatory filing with the Securities and
Exchange Commission that a hearing for final approval of the deal is
scheduled for September 21.

The same report, however, did not indicate what the nature of the
action is or where it is pending.

"There can be no assurance that the District Court will finally approve
the settlement," the Company said.


TREX COMPANY: Milberg Weiss Files Securities Suit In W.D. Virginia
------------------------------------------------------------------
Milberg Weiss Bershad Hynes & Lerach LLP filed Tuesday a class action
lawsuit on behalf of purchasers of the securities of Trex Company, Inc.
(NYSE: TWP) between November 2, 2000 and June 18, 2001, inclusive.

The action is pending in the United States District Court, Western
District of Virginia against defendants Trex, Robert Matheny, Roger A.
Wittenberg and Anthony J. Cavanna.

The Complaint alleges that defendants violated Sections 10(b) and 20(a)
of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated
thereunder, by issuing a series of material misrepresentations to the
market between November 2, 2000 and June 18, 2001, thereby artificially
inflating the price of Trex securities.

For further details, contact: Steven G. Schulman or Samuel H. Rudman by
Mail: One Pennsylvania Plaza, 49th fl. New York, NY, 10119-0165 by
Phone: (800) 320-5081 by Email: Trexcase@milbergNY.com or visit the
firm's Website: www.milberg.com


U.S. WIRELESS: Beleaguered Company Reports Losses of $32.7M This Year
---------------------------------------------------------------------
U.S. Wireless Corporation, which is facing several class action suits,
revealed Tuesday that its net losses for the fiscal year ended March 31
amounted to $32.7 million.

This has nearly doubled its losses for fiscal year 2000.

Common shares losses this year amounted to $1.67 per share compared to
$1.42 per share or $17.7 million last year, the East Bay Business Bay
reported.

According to the report, total costs and operating expenses were $22.8
million, compared to $8.9 million for the previous fiscal year.

Operating expenses totaled $10.4 million, compared to $5.2 million for
2000.

The report said that the company incurred higher operating expenses
because of increases in personnel and costs in its facilities in the
Bay Area, Seattle, and Washington, D.C.

U.S. Wireless also incurred during the fiscal year $9.6 million in
charges related to litigation settlements, of which significant
portions were non-cash charges, the report added.


U.S. WIRELESS: Cauley Geller Files Securities Suit In N.D. California
---------------------------------------------------------------------
Cauley Geller Bowman & Coates, LLP filed a class action in the United
States District Court for the Northern District of California on behalf
of purchasers of U.S. Wireless Corporation (Nasdaq: USWC) publicly
traded securities during the period between June 29, 1999 and May 25,
2001, inclusive.

The complaint charges U.S. Wireless and its former Chairman and CEO
with violations of the Securities Exchange Act of 1934.

For more details, contact: CAULEY GELLER BOWMAN & COATES, LLP through
its Client Relations Department: Jackie Addison, Sue Null or Charlie
Gastineau by Mail: P.O. Box 25438, Little Rock, AR 72221-5438 by Phone:
1-888-551-9944 (toll free) or by E-mail: info@classlawyer.com


VULCAN MATERIALS: Chemical Releases At LA Plant Triggers Several Suits
----------------------------------------------------------------------
Various claims for personal injuries have been filed against Vulcan
Materials Co. as a result of chemical releases at the Company's
Geismar, Louisiana, chloralkali plant earlier this year.

According to the Company, some of these cases, which have been filed
within the past month, seek class action status.

No discovery has taken place so far, the company said.

Vulcan Materials is the largest US producer of construction aggregates
(crushed stone, gravel, and sand used in virtually all construction,
from highways to housing), sold primarily to the private sector.

It also produces industrial and specialty chemicals. Vulcan's chemicals
businesses make chloralkali and process chemicals (such as chlorine,
caustic soda, hydrochloric acid) for pulp and paper processing, water
treatment, and other industrial uses.

"Based on the information currently available to it, the Company does
not believe that the ultimate resolution of these suits will have a
materially adverse impact on the Company," a report to the Securities
and Exchange Commission said.

  
                              *********

S U B S C R I P T I O N   I N F O R M A T I O N

Class Action Reporter is a daily newsletter, co-published by Bankruptcy
Creditors' Service, Inc., Trenton, New Jersey, and Beard Group, Inc.,
Washington, D.C.  Enid Sterling, Larri-Nil Veloso and Lyndsey Resnick,
Editors.

Copyright 2001.  All rights reserved.  ISSN 1525-2272.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers.

Information contained herein is obtained from sources believed to be
reliable, but is not guaranteed.

The CAR subscription rate is $575 for six months delivered via e-mail.
Additional e-mail subscriptions for members of the same firm for the
term of the initial subscription or balance thereof are $25 each.  For
subscription information, contact Christopher Beard at 301/951-6400.

                  * * *  End of Transmission  * * *