Ponzi Investors' Cert. Bid Fails In Suit Against East West

Law360, Los Angeles (December 14, 2011, 8:55 PM EST) -- A California state judge on Wednesday refused to certify a class of investors who allege East West Bancorp Inc. aided and abetted a $45 million Ponzi scheme, ruling plaintiffs named in the suit can't represent class members because they were paid commissions to solicit more investors.

The litigation stems from the alleged fraud perpetrated by AOB Commerce and its controller Terchi Liao, who allegedly sold fake promissory notes for three years before the U.S. Securities and Exchange Commission shut down AOB and its related entities in...
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