NEW YORK, July 7, 2006 (PRIMEZONE) -- The Pomerantz Firm announces that it is seeking Supreme Court review for Section 10(b) Claim under The Securities Exchange Act of 1934. In "Central Bank, N.A. v. First Interstate Bank, N.A.," 511 U.S. 164 (1994), the Supreme Court held that Section 10(b) of the Securities Exchange Act does not provide a private right of action for claims against persons who aid and abet the fraudulent acts of another party.
In "Stoneridge Investment Partners LLC v. Scientific-Atlanta, Inc. and Motorola, Inc.," 443 F.3D 987 (8th Cir. 2006), the Eighth Circuit Court of Appeals held that Central Bank also forecloses claims against those who engage in a course of business which operates as a fraud upon investors unless that person issued a false and misleading statement. The Eighth Circuit ruling is at odds with recent cases which have upheld such liability in security class actions against Enron, Parmalat, Global Crossing and others.
Supreme Court review of the Eighth Circuit opinion is requested to bring certainty and predictability to this important area of the law.
Petitioner in the Supreme Court is represented by Stanley M. Grossman of Pomerantz Haudek Block Grossman & Gross LLP. The Pomerantz Firm, which has offices in New York, Chicago and Washington, D.C., is acknowledged as one of the premier firms in the areas of corporate, securities and antitrust class litigation and has continued to "make the law" in these areas. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz firm pioneered the field of securities class actions. Today, more than 50 years later, the Pomerantz firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty and corporate misconduct For more information about the Pomerantz Firm, visit its Web site at www.pomlaw.com.