2nd Circ. Revives MBIA Securities Class Action

Law360, New York (February 28, 2011, 6:05 PM EST) -- Citing the U.S. Supreme Court’s 2010 decision in Merck v. Reynolds, the Second Circuit on Monday revived a proposed class action alleging accounting malfeasance by MBIA Inc., which investors say allowed the company to avoid reporting a $170 million loss.

A three-judge panel of the U.S. Court of Appeals for the Second Circuit remanded the case to the U.S. District Court for the Southern District of New York to determine when exactly the plaintiffs triggered the two-year statute of limitations for securities fraud cases.

Judge Louis...
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