Refco inc. failed to disclose in sec filings that millions of dollars of its accounts receivables were uncollectible. two months after its ipo, the company went bankrupt. answer

Respuesta :

in this case, Shareholders should filed a lawsuit against the company’s law firm, alleging that it was liable under Section 10(b) for drafting Refco'so’s SEC filings which contained these materials. They would only be liable for their own “articulated statement” or statements of others that they had explicitly adopted