1 Securities Act Claim Survives In NovaGold Mine Suit

Law360, New York (June 8, 2009, 12:00 AM EDT) -- A judge has tossed some claims against NovaGold Resources Inc. and its officers in a securities class action over a failed mining project, but denied a motion to dismiss allegations that the company made recklessly false statements about the project's viability.

A single claim against NovaGold under the Securities Act of 1934 will survive, along with some “controlling persons” claims against its officers, said Judge Denise Cote of the U.S. District Court for the Southern District of New York, in an order filed Friday.

Burned investors...
To view the full article, register now.