Ashland Loses 6th, 2nd Circ. Appeals In ARS Suits

Law360, New York (July 28, 2011, 3:23 PM EDT) -- Ashland Inc. on Thursday lost appeals before the Sixth and Second circuits in two suits alleging Oppenheimer & Co. Inc. and Morgan Stanley misrepresented the quality and risk exposure of auction rate securities.

In the case against Oppenheimer, the Sixth Circuit upheld U.S. District Judge Jennifer B. Coffman's February 2010 finding that Ashland's fraud claim did not meet the particularity requirements of the Private Securities Litigation Reform Act.

At the same time, the Second Circuit upheld a New York federal judge's dismissal of Ashland's securities fraud...
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