LexisNexis® Legal Newsroom
Mealey's Securities/D&O Liability - Misrepresentation Claims In Securities Suit Too Vague, 8th Circuit Panel Rules

ST. PAUL, Minn. - Lead plaintiffs in a securities class action lawsuit against a 3D printer manufacturer and certain of its executive officers have failed to plead any actionable misrepresentations in claiming that the defendants violated federal securities laws by misrepresenting the company's business...

Mealey's Securities/D&O Liability - Securities Suit Remanded To District Court For Consideration Of New Evidence

NEW YORK - Ruling that a federal district court should first consider new evidence from a pair of enforcement actions against a company, a Second Circuit U.S. Court of Appeals panel on July 27 vacated a shareholder's appeal and remanded the action to the district court for further review of the new...

Mealey's Securities/D&O Liability - Stock Drop Claims Survive Dismissal Motion In Securities Class Action

NEW YORK - A federal judge in New York on July 28 substantially denied dismissal of claims in a securities class action lawsuit against a specialty pharmaceutical company and certain of its current and former executive officers and directors, ruling that a shareholder has shown that the defendants violated...

Mealey's Securities/D&O Liability - Medical Testing Provider Hit With Shareholder Securities Class Action

BOSTON - A shareholder filed a securities class action against a genetic tumor testing provider and certain of its executive officers on July 28, alleging that the defendants artificially inflated the company's stock price by misrepresenting that it was on track to receive Medicare reimbursement...

Mealey's Securities/D&O Liability - Minnesota Federal Judge Dismisses ERISA, Securities Claims Against Target Corp.

MINNEAPOLIS - A Minnesota federal judge on July 31 granted Target Corp.'s motion to dismiss an Employee Retirement Income Security Act action and a securities action against it, finding that the ERISA claims failed to plausibly allege that the defendants breached their duty of prudence, duty of loyalty...

Mealey's Securities/D&O Liability - Judge Trims Claims In Securities Class Action Against Drug Maker, Others

PHOENIX - A lead plaintiff in a securities class action lawsuit against a commercial-stage specialty pharmaceutical company and certain of its current and former executive officers has failed to show that a majority of the defendants' alleged misrepresentations concealing their involvement in an...

Mealey's Securities/D&O Liability - Former CEO Shkreli Convicted On Securities Fraud, Conspiracy Claims

BROOKLYN, N.Y. - A federal jury in New York on Aug. 4 convicted former pharmaceutical company CEO and hedge fund manager Martin Shkreli on claims that he orchestrated a massive Ponzi scheme over a six-year span while CEO of Retrophin Inc. (United States of America v. Martin Shkreli, No. 15-637, E.D....

Mealey's Securities/D&O Liability - American Pipe Tolling Does Not Apply To Claims In Securities Suit, Panel Rules

PHILADELPHIA - American Pipe & Construction Co. v. Utah tolling does not apply to claims in four related securities class action lawsuits against pharmaceutical companies and others that misrepresented the clinical trial results for a cholesterol treatment drug in violation of federal securities...

Mealey's Securities/D&O Liability - Lead Plaintiffs Pleaded Actionable Misstatements In Securities Suit, Judge Rules

SANTA ANA, Calif. - Lead plaintiffs in a securities class action lawsuit against a restaurant chain, certain of its senior officers and others have properly shown that the defendants issued actionable misstatements and omissions regarding the business and financial condition of the company in violation...

Mealey's Securities/D&O Liability - Judge Refuses To Dismiss Securities, UCL Claims Asserted By Club Investor

SAN DIEGO - After finding that the manager of a nightclub development company fraudulently induced an investor into investing money for the development of a new club, a California federal judge on Aug. 7 refused to dismiss the investor's claims for violation of California's unfair competition...

Mealey's Securities/D&O Liability - 9th Circuit Panel Partially Overturns Securities Class Action Ruling

SEATTLE - A federal district court partially erred in dismissing a shareholder class action lawsuit against a health care company and its CEO over their alleged misrepresentations made with regard to its breast cancer screening products because the lead plaintiff has shown that certain of the defendants'...

Mealey's Securities/D&O Liability - Investor Sues Pipe Maker, Others Over Financial Condition Misstatements

BROOKLYN, N.Y. - A manufacturer of water and drainage pipes and various precast products, and certain of its executive officers and directors issued misrepresentations in Securities and Exchange Commission documents for an initial public offering (IPO) regarding the company's business and financial...

Mealey's Securities/D&O Liability - Many Claims Survive Motion To Dismiss In Securities Suit Against Mining Company

NEW YORK - Shareholders in a securities class action lawsuit against a mining company and certain of its current and former executive officers and directors have shown that the defendants issued a number of actionable false and misleading statements and have properly pleaded corporate scienter on the...

Mealey's Securities/D&O Liability - Investor Awarded Over $33,000 In Fees, Expenses In Citigroup Securities Suit

NEW YORK - A shareholder in a securities class action lawsuit against Citigroup Inc. and others over their alleged issuance of misrepresentations regarding the financial institution's exposure to the subprime mortgage lending crisis has shown that he is entitled to $33,412.50 in attorney fees and...

Mealey's Securities/D&O Liability - Class Definition In Securities Suit Against Medical Tech Company Limited

SAN JOSE, Calif. - On the heels of his ruling from the bench to limit the class definition for a securities class action lawsuit against a medical technology developer and certain of its current and former executive officers, a federal magistrate judge on Sept. 6 issued a written ruling explaining his...

Mealey's Securities/D&O Liability - Drugmaker, Investors Reach $20M Settlement In Stock Drop Suit

SEATTLE - Pharmaceutical company CTI BioPharma Corp. will pay $20 million to settle claims that it, its CEO and members of its board of directors and underwriters of two of the company's public offering of stock in 2015 concealed certain adverse information, including patient deaths, in the clinical...

Mealey's Securities/D&O Liability - Judge: Pension Fund Pleaded Misrepresentation, Scienter In Securities Suit

SANTA ANA, Calif. - A pension fund has shown that a financial institution and its former CEO's failure to disclose their connection to a convicted fraudster and Ponzi scheme operator were material and that the CEO acted with scienter in failing to disclose his ties to the fraudster, a federal judge...

Mealey's Securities/D&O Liability - Shkreli Seeks Acquittal On Conspiracy To Commit Securities Fraud Claim

BROOKLYN, N.Y. - The U.S. government misled jurors by using a legally flawed definition of the term affiliate and its application to a conspiracy to commit securities fraud claim against former pharmaceutical company CEO and hedge fund manager Martin Shkreli in his criminal case, which prejudiced the...

Mealey's Securities/D&O Liability - Investor Failed To Show That Bank's Internal Controls Were Flawed, Judge Rules

NEW YORK - An investor has failed to show that an investment bank and two of its senior executives violated provisions of federal securities law by failing to adequately monitor the bank's internal controls in the wake of a former employees' massive securities fraud scheme, a federal judge in...

Mealey's Securities/D&O Liability - First Securities Class Action Filed In Wake Of Equifax Data Breach

ATLANTA - Following credit monitoring and reporting firm Equifax Inc.'s Sept. 7 announcement of a massive data breach involving 143 million consumers and numerous consumer class action filings, a securities class action complaint was filed on Sept. 8 in Georgia federal court (Hampden Kuhns v. Equifax...

Mealey's Securities/D&O Liability - Judge: Reliance On Erroneous Information In Securities Suit Fatal To Claims

OAKLAND, Calif. - The lead plaintiff in a securities class action lawsuit against a clinical stage biopharmaceutical company relied on erroneous information in arguing that the company and certain of its senior executives concealed from investors certain adverse events observed in a phase III clinical...

Mealey's Securities/D&O Liability - Judge Revoke's Shkreli's Bail After Social Media Posts About Clinton

BROOKLYN, N.Y. - Ruling that former pharmaceutical company CEO and hedge fund manager Martin Shkreli failed to show that he is not a "danger to the safety of any other person or the community if released," the New York federal judge overseeing Shkreli's criminal proceedings on Sept. 13...

Mealey's Securities/D&O Liability - Judge Grants Investors' Motion To Amend In BlackBerry Securities Class Action

NEW YORK - Newly uncovered evidence that could show that mobile device manufacturer BlackBerry Ltd. and certain of its former executive officers concealed declining sales of its new Z10 smartphone and other 10 series mobile devices is enough to warrant amendment of a shareholder class action complaint...

Mealey's Securities/D&O Liability - Judge Allows Majority Of Claims To Survive In Securities Class Action

NEW YORK - A federal judge in New York on Sept. 19 substantially rejected a motion to dismiss filed by defendants in a securities class action lawsuit, ruling that the lead plaintiff in the action has properly pleaded a majority of its federal securities law claims (In re VEON Ltd. Securities Litigation...

Mealey's Securities/D&O Liability - Swedish Telecom Provider To Pay Nearly $1B To Settle FCPA Claims

WASHINGTON, D.C. - Swedish telecommunications provider Telia Co. AB has agreed to pay nearly $1 billion as part of a global settlement with U.S., Dutch and Swedish officials for its role in a massive bribery and money laundering scheme with government officials in Uzbekistan, according to documents filed...