Monday, March 26, 2007
The U.S. Supreme Court accepted certiorari in an aiding and abetting securities fraud claim. Specifically the question presented is: Does the Central Bank decision foreclose claims for deceptive conduct under Rule 10b-5 (a) and (c) when respondents engaged in transactions with a public corporation with no legitimate business or economic purpose except to inflate artificially the public company's financial statements, but made no public statements concerning these transactions? The lower court decision is Stoneridge Investment Partners LLC v. Scientific-Atlanta Inc., 443 F.3d 987 (8th Cir.) The Docket Number is 06-43.