context: Furthermore, the plaintiffs cannot connect any of their losses to E & Y on a materialization of the risk theory, whether those losses purportedly arose out of the 6/30/99 AOL Opinion or out of any other allegedly false audit opinions. In each of the cases in which the Second Circuit has employed a materialization of the risk analysis, it has considered a particular risk that was allegedly concealed by the defendant's actions and which then materialized to cause a market loss.
citation_a.signal: see also
citation_a.identifier: 399 F.Supp.2d 298, 308-09
citation_a.parenthetical: risk that a complicated scheme misled the public as to the true value of securities failed to materialize to cause the plaintiffs' losses
citation_a.sentence: See Lattanzio, 476 F.3d at 157-58 (risk of impending bankruptcy was not concealed by audit opinion); Lentell, 396 F.3d at 177 (risk of stock volatility was not concealed by “buy” and “accumulate” recommendations); Emergent Capital Inv. Mgmt., LLC v. Stonepath Group, Inc., 343 F.3d 189, 197-98 (2d Cir.2003) (risk of defendants’ “dumping” their own shares of company stock was concealed by failure to reveal previous “pump and dump” schemes by the defendants); Suez Equity Investors, L.P. v. Toronto-Dominion Bank, 250 F.3d 87, 97-98 (2d Cir.2001) (risk of liquidity crisis was concealed by edited background report omitting important negative events in executive’s financial and business history); see also In re Initial Public Offering Sec. Litig. (“In re IPO II”), 399 F.Supp.2d 298, 308-09 (S.D.N.Y.2005) (risk that a complicated scheme misled the public as to the true value of securities failed to materialize to cause the plaintiffs’ losses).
citation_b.signal: see
citation_b.identifier: 396 F.3d 177, 177
citation_b.parenthetical: risk of stock volatility was not concealed by "buy" and "accumulate" recommendations
citation_b.sentence: See Lattanzio, 476 F.3d at 157-58 (risk of impending bankruptcy was not concealed by audit opinion); Lentell, 396 F.3d at 177 (risk of stock volatility was not concealed by “buy” and “accumulate” recommendations); Emergent Capital Inv. Mgmt., LLC v. Stonepath Group, Inc., 343 F.3d 189, 197-98 (2d Cir.2003) (risk of defendants’ “dumping” their own shares of company stock was concealed by failure to reveal previous “pump and dump” schemes by the defendants); Suez Equity Investors, L.P. v. Toronto-Dominion Bank, 250 F.3d 87, 97-98 (2d Cir.2001) (risk of liquidity crisis was concealed by edited background report omitting important negative events in executive’s financial and business history); see also In re Initial Public Offering Sec. Litig. (“In re IPO II”), 399 F.Supp.2d 298, 308-09 (S.D.N.Y.2005) (risk that a complicated scheme misled the public as to the true value of securities failed to materialize to cause the plaintiffs’ losses).