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The report, which was requested last March by Representative Henry A. Waxman, Democrat of California who heads the House Oversight and Government Reform Committee, asked the inspectors general of the Defense Department and other contracting agencies to "review these contracts to determine whether misrepresentations were made" to obtain them.
Royal, which is based in Naperville, Ill., and is a unit of the British insurer Royal and SunAlliance, goes a little further, stating, "Based upon the current information known to Royal, it appears that material misrepresentations were made to Royal during the underwriting process".
Sports Direct claims "misrepresentations were made to induce Sports Direct into signing a non-disclosure agreement, locking them out of any ability to trade in the bonds or equity of Debenhams for a period of time".
Similar(57)
As an initial matter, the requirement that a putative class representative establish that it executed trades "between the time the misrepresentations were made and the time the truth was revealed" relates primarily to the Rule 23(a)(3) and (a)(4) inquiries into typicality and adequacy of representation, not to the Rule 23(b)(3) predominance inquiry.
To summarize: an economist should select as the event days to be studied the days the allegedly fraudulent misrepresentations were made and the days the market learned the truth.
All sorts of misrepresentations were made, and the negotiations with Khrushchev reached an impasse over inspection.
Defense lawyers said in court papers and an interview that no material misrepresentations were made.
He said most of the misrepresentations were made after the collapse in September 2008 of Lehman Brothers Holdings, in which his funds were invested.
Thus, the lower court opinion in Basic expressly identified "the time the misrepresentations were made and the time the truth was revealed" as part of fraud on the market.
Accepted event study methodology teaches that an economist should exclude from the regression the days the alleged fraudulent misrepresentations were made ("inflationary days"), the days the market learned the truth ("corrective days") (together, "event days") and any other days on which major company-specific news, such as a quarterly earnings statement, was reported ("material news days").
See Brief for United States 15, n. 2 ("Precise identification of the times when the alleged misrepresentation was made and the truth was subsequently revealed is... important to ensure that the named plaintiff has traded stock during the time the stock price allegedly was distorted by the defendant's misrepresentations".).
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com