2nd Circuit Revives $200 Million WorldCom Case

2nd Circuit Revives $200 Million WorldCom Investor Case Against Citi
The American Lawyer

Reach back into the Enron era and you may recall Jack Grubman, Salomon Barney's star telecom analyst. When the telecom market collapsed, Grubman resigned as regulators examined his ties to fraud-ridden WorldCom. His touting of WorldCom stock helped lead Salomon's parent, Citigroup, to pay $2.65 billion to settle claims from WorldCom investors in 2004. Now, Grubman's back, as the 2nd Circuit revives a $200 million suit, filed by an investor group that opted out of the Citi deal five years ago. [more]