Auditor Beats Malpractice Suit Over Disputed PE Firm Appraisal

Law360, New York (October 1, 2013, 2:15 PM EDT) -- A New York state appeals court on Tuesday affirmed dismissal of a malpractice suit brought by investors against Marcum & Kliegman LLP tied to a clean bill of health the auditor gave to a private equity firm, finding that the audit was released after redemptions to the plaintiffs' $13 million worth of money-losing outlays had already been frozen. 

A unanimous four-judge panel in New York's First Department, a midlevel appellate court, backed up Manhattan trial court Judge Bernard J. Fried, who in April 2012 held that, since...
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