On March 1, the U.S. District Court for the Middle District of Florida dismissed a claim against Robert A. DiGiorgio, CEO of Radius Capital Group, under Section 10(b) of the Securities Exchange Act of 1934 and SEC Rule 10b-5, concerning allegedly false statements made in an RMBS prospectus. The court applied the rule articulated by the Supreme Court in Janus Capital Group., Inc. v. First Derivative Traders, 131 S. Ct. 2296 (2011), that the maker of a false statement for purposes of Rule 10b-5 is the person with "ultimate authority over the statement." The Court concluded that the complaint failed to plead adequately that defendant was the maker of the statements of issue, but granted leave to amend. Decision.
Register Now As you are not an existing subscriber please register for your free daily legal newsfeed service.Register
If you have any questions about the service please contact email@example.com or call Lexology Customer Services on +44 20 7234 0606.
Federal court applies Janus in dismissing federal securities fraud claim in SEC action
- Orrick Herrington & Sutcliffe LLP
- March 26 2012
If you are interested in submitting an article to Lexology, please contact Andrew Teague at firstname.lastname@example.org.
"Lexology is a good barometer of a firm's expertise as the articles showcase a firm's understanding of the issues involved and how up to date their knowledge is. It's a good one stop solution where one is able...
"Lexology is a good barometer of a firm's expertise as the articles showcase a firm's understanding of the issues involved and how up to date their knowledge is. It's a good one stop solution where one is able to view the same law/cases from different perspectives; on the whole I would rate Lexology as a good service."
How Yee Loh