Judge Nixes 'Wordy' Freddie Mac Securities Action

Law360, New York (October 20, 2010, 3:48 PM EDT) -- A federal judge has chucked a "long, wordy and very unspecific" shareholder class action accusing Freddie Mac executives, its underwriters and an auditor of making false statements in a securities offering before the mortgage giant collapsed, but left the window open for another complaint.

Judge Miriam Goldman Cedarbaum of the U.S. District Court for the Southern District of New York on Tuesday dismissed the plaintiffs' third complaint against PricewaterhouseCoopers LLP, Goldman Sachs & Co., J.P. Morgan Securities Inc. and Freddie Mac executives, telling the shareholders that...
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