CLASS ACTION SHAREHOLDER LAWSUIT AGAINST SCOTTISH RE STAYS ALIVE, THOUGH NOT INTACT
A New York federal district judge recently ruled on motions to dismiss filed by all defendants in a putative class action shareholder lawsuit against reinsurance company Scottish Re and others. The Complaint alleged violations of federal securities laws in connection with Scottish Re’s accounting for deferred tax assets in its financial statements and its certifications of the adequacy of the Company’s internal controls. The judge dismissed claims alleged against the accounting firm Ernst & Young (for failing to adequately establish scienter), but denied the remainder of the motions to dismiss. In re Scottish Re Group Securities Litigation, Case No. 06-5853 (USDC S.D.N.Y. Nov. 2, 2007).
This post written by Lynn Hawkins.
