2nd Circ. Nixes Doral Investors' PwC Fraud Claims

Law360, New York (September 4, 2009, 1:38 PM EDT) -- A federal appeals court has ruled that accounting firm PricewaterhouseCoopers LLP's failure to catch alleged financial misstatements by client Doral Financial Corp. does not meet standards for securities fraud, upholding the dismissal of claims against PwC in a suit brought on behalf of investors.

In a summary order Thursday, a three-judge panel of the U.S. Court of Appeals for the Second Circuit affirmed a decision by the U.S. District Court for the Southern District of New York, finding that the plaintiffs did not plead requisite scienter...
To view the full article, register now.