Judge Tosses Finisar Insider Trading Shareholder Suit

Law360, Los Angeles (January 16, 2013, 7:55 PM EST) -- A California federal judge Wednesday dismissed a putative class action against Finisar Corp. and several of its executives, ruling that shareholders didn't prove the telecommunications company's brass had inflated the firm’s value then cashed out millions in equity just before the company’s stock price crashed.

In a 10-page order, U.S. District Judge Edward J. Davila dismissed without prejudice the putative consolidated class action, agreeing with Finisar that the plaintiff class failed to sufficiently plead facts describing a false statement or material omission in regards to public...
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