Panel: Investors Failed To Plead Scienter, Misstatements Against Auditors, Others

(April 12, 2016, 2:44 PM EDT) -- NEW YORK — A federal district court did not err in dismissing a securities fraud lawsuit against the auditors and former officers and directors of a Chinese education services provider, a Second Circuit U.S. Court of Appeals panel ruled April 8, because the investors failed to properly plead an actionable misstatement or omission and scienter in making its state and federal securities law claims (Special Situations Fund III Qp L.P., et al. v. Deloitte Touche Tohmatsu CPA Ltd., et al., No. 15-1813, 2nd Cir.; 2016 U.S....
To view the full article, register now.