Panel: CEO’s Scienter Can Be Imputed To Company In Securities Class Action
(November 13, 2015, 1:04 PM EST) -- SAN FRANCISCO — A Ninth Circuit U.S. Court of Appeals panel on Oct. 23 reversed and remanded a federal district court’s dismissal of a securities class action lawsuit, ruling that a CEO’s scienter could be imputed to the company even though his actions were “adverse to the company’s interests” (In re ChinaCast Education Corp. Securities Litigation, No. 12-57232, 9th Cir.; 2015 U.S. App. LEXIS 18462).
(Opinion available. Document #57-151116-010Z.)
Lead plaintiffs Costa Brava Partnership III LP and Jayhawk Private Equity Fund III LP filed a consolidated...