The Supreme Court yesterday dealt Enron investors a defeat, rejecting their lawsuit that alleged securities fraud by Wall Street investment banks that did business with the energy company.
The decision follows last week’s major ruling in the
The Supreme Court’s refusal to hear the Enron appeal was anticipated following last week’s ruling.
In the Enron lawsuit, the 5th U.S. Circuit Court of Appeals in New Orleans already has ruled that the banks did not act directly in the market for Enron securities.
The legal team for Enron investors said it has evidence that “the analysts knew what was going on” and that the lawyers for the Enron investors can show that the banks “buoyed the market for Enron securities.”