On July 19th, the Second Circuit reversed the entry of summary judgment dismissing plaintiffs', investors in Winstar, putative class action securities fraud lawsuit. Plaintiffs sued Winstar's auditor alleging violations of Sections 10(b) and 18 of the Securities Exchange Act of 1934. Because triable questions of fact exist as to whether the auditor acted with scienter in making alleged misrepresentations in its audit opinion letter, whether the plaintiffs purchased Winstar's stock in actual reliance on those representations, and whether the plaintiffs suffered losses as a result, the Second Circuit vacated the entry of summary judgment and remanded the case for further proceedings. BIM Intermobiliare SGR v. Grant Thornton LLP.