2nd Circ. Affirms Dismissal Of XL Capital Suit

Law360, New York (February 27, 2009, 12:00 AM EST) -- A federal appellate court has affirmed the dismissal of a securities class action alleging that XL Capital Ltd. issued false and misleading statements about its failure to adequately reserve for losses in its reinsurance unit.

In a summary order Thursday, a three-judge panel of the U.S. Court of Appeals for the Second Circuit discounted lead plaintiff Alaska Ironworkers Pension Trust's argument that its second amended complaint adequately pled scienter or that the problems with the complaint could be cured with a third amended complaint.

The appellate...
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