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Deciding a case of first impression in the circuit, the 2nd U.S. Circuit Court of Appeals has extended the requirement of pleading fraud with particularity to sections of the Securities Act of 1933 that do not require the plaintiff to show the defendant had fraudulent intent. This means that claims under securities laws for false filing statements or prospectuses must now show what statements were made, when, by whom, and why they were fraudulent.
January 22, 2004 at 12:00 AM
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The original version of this story was published on Law.Com
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