Attorney General Hood Wins Securites Case 9-0 at United States Supreme Court
April 27, 2010
Jackson, MS–Attorney General Jim Hood applauds today’s ruling by the
United States Supreme Court in a securities fraud case for the Public
Employees Retirement System (MPERS) of Mississippi.The ruling came in
Merck & Co. v. Reynolds, et al., No. 08-905 (U.S.) where MPERS is a
court-appointed Lead Plaintiff.
Today’s unanimous ruling by the U.S. Supreme Court holds that the two
year statute of limitations for securities fraud actions under the
discovery rule does not begin to run until investors could and should
have discovered a defendant’s fraud. In an era in which securities
frauds are increasingly complex and sophisticated, the Supreme Court’s
decision will help prevent valid securities fraud claims against a
defendant from being dismissed as time barred simply because the
defendant was able to conceal from the public the key facts that would
allow an investor to plead a viable securities fraud claim against them.
“Rather than rewarding defendants for concealing their wrongful
conduct, the Courts decision today will help ensure that defrauded
investors will get their day in court, and have their claims decided on
the merits,” said Attorney General Hood.
Accordingly, the Courts ruling is an important victory not only for
Merck investors, but for all investors.
The Attorney Generals office, which represents the interests of
Mississippi PERS in this matter, would also like to thank the Attorneys
General of the more than 25 states that submitted an amicus curiae (or
friend of the Court) brief with the Supreme Court that supported our
position in this important case.
The law firm of Bernstein Litowitz Berger & Grossmann LLP represents
MPERS in this action.