9th Circ. Renews Case Over E&Y Role In $2.2B Scandal

Law360, New York (April 14, 2011, 5:10 PM EDT) -- The Ninth Circuit on Thursday said Ernst & Young LLP must face allegations that its auditors knowingly covered up the $2.2 billion Broadcom Corp. backdating scandal, overruling a lower court that found the auditors might have simply made errors.

Reversing a lower court win for the accounting firm, a three-judge panel of the U.S. Court of Appeals for the Ninth Circuit said Broadcom investors who lost money in the scandal could pursue a case against E&Y, Broadcom's auditor.

When Broadcom acknowledged the backdating, which took place...
To view the full article, register now.

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.