On March 28, Judge Richard Sullivan of the United States District Court for the Southern District of New York dismissed with prejudice a suit by five Loreley Financing entities against several banks and collateral managers stemming from Loreley's investments in three CDOs that defaulted. The defendants included Wells Fargo Bank, Harding Advisory, Structured Asset Investors and the three CDOs. The court dismissed each of Loreley's claims in their entirety. It concluded that Loreley failed to allege adequately that an outside investor had interfered with the collateral managers' asset selection. The court also rejected Loreley's allegations of material omissions in the offering documents, concluding that the information in question had been adequately disclosed to investors. It further held that Loreley failed to plead facts giving rise to a strong inference that the defendants knew certain assets had decreased in value prior to purchasing them for one of the CDOs. The court dismissed the remaining claims for the same reasons it dismissed the fraud claim. Orrick represents Harding Advisory in this matter. Order.