2nd Circ. Won't Revive ACCI Gambling Investment Suit

Law360, Wilmington (June 17, 2011, 7:42 PM EDT) -- The Second Circuit on Friday upheld the dismissal of derivative and class action claims alleging mutual fund manager American Century Cos. Inc. is liable for investments in an online gambling operation that saw its stock plummet after a government crackdown.

In May 2010, U.S. District Judge Denise Cote tossed the suit alleging violations of the Racketeer Influenced and Corrupt Organizations Act, as well as state law claims for breach of fiduciary duty, negligence and waste.

The complaint — lodged by shareholder Laura Seidl — sought to...
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