Hain shareholders' suit dismissed

A judge in Mineola Thursday dismissed a suit by two shareholders of Hain Celestial Group Inc. that had sought to delay stockholders from voting on executive pay and benefits at their meeting in November based on allegedly incomplete information in the proxy.

The shareholders, identified in a judge's decision only as William Morrison and Charles Kist, had sued Hain in State Supreme Court in Mineola in November saying there was incomplete or misleading information in the proxy statement for the annual meeting, which is distributed in advance and contains information for shareholders about topics to be voted on.

The information in question was related to executive pay and future stock benefits, said attorney Robert Lynn of Lynn, Gartner, Dunne & Covello LLP of Mineola, which defended Hain. Justice Vito M. DeStefano had refused in November to delay the votes on executive pay and stock and both measures passed at the Nov. 15 stockholders meeting.

In a decision made public Thursday, DeStefano granted a plaintiffs motion to remove Morrison from the case because he no longer is a shareholder but also granted the defendants' motion dismissing the suit, saying the suit failed to make a case that the missing information was material.

An attorney who handled the case for the plaintiffs, from the Manhattan firm Faruqi & Faruqi, could not immediately be reached. Hain of Lake Success, is a producer of natural and organic food, known for brands such as Celestial Seasonings.