Lawsuit Against Ernst & Young To Move Forward

Law360, New York (September 1, 2006, 12:00 AM EDT) -- A federal judge has denied Ernst & Young’s motion to dismiss a class action lawsuit related to its role in the Seitel Inc. accounting scandal.

In Wednesday’s order, Judge Vanessa D. Gilmore of the U.S. District Court in Houston ruled that the plaintiffs—all shareholders who purchased Seitel stock from April 2001 to May 2002—could continue their case against the Big Four accounting firm.

“Viewing the alleged facts in the light most favorable to the plaintiff under the totality of the circumstances, and accepting as true the...
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