We use cookies on this site to enable your digital experience. By continuing to use this site, you are agreeing to our cookie policy. close

Judge Tosses WorldCom Award, Snubbing NASD

Law360 (March 22, 2006, 12:00 AM EST) -- In an unusual move, a federal judge has overturned an award given to WorldCom Inc. investors by an arbitration panel of the National Association of Securities Dealers against two former brokers in Citigroup Inc.’s Salomon Smith Barney unit.

Judge Denise Cote of the U.S. District Court in Manhattan said the panel had exceeded its authority in awarding WorldCom investors Elizabeth and Donald Rich $448,000 in January 2005.

According to the judge, the panel ignored evidence that the Riches did not opt out of an investor class...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.