Supreme Court Blocks Suits by Defrauded Investors The Supreme Court gives the business community a major victory. By a 5-3 vote, the justices block almost all efforts by investors to recover losses from secondary players in schemes to defraud stockholders. The ramifications involve suits like the one brought by Enron investors.

Law

Supreme Court Blocks Suits by Defrauded Investors

Supreme Court Blocks Suits by Defrauded Investors

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The Supreme Court gives the business community a major victory. By a 5-3 vote, the justices block almost all efforts by investors to recover losses from secondary players in schemes to defraud stockholders. The ramifications involve suits like the one brought by Enron investors against banks that are accused of helping Enron conceal its perilous financial condition.