In Re American Bank Note Holographics, Inc. Securities Litigation

How courts have described this case

Verbatim parenthetical descriptions written by other courts when citing this decision. Ranked by citation-network relevance.

• finding agency relationship based in part upon “allegations of interlocking financial, managerial, and business relationships” between the parent and subsidiary
• issuer not liable as seller under § 12(a)(2) because it had transferred title to underwriters in accordance with a firm commitment underwriting
• “[T]he magnitude of the accounting irregularities removes the actions from the sphere of mere corporate mismanagement to the realm of reckless behavior.”
• plaintiff alleged conscious misbehavior or recklessness where defendants made a large number of extremely false statements over several years and were in a position to know that the statements were false
• complaint that alleged that defendant participated in “the preparation of the false and misleading Registration Statement and Prospectus and participating in ‘road shows’ to promote” the stock was sufficient to allege solicitation
• “That revenues were radically inflated over a period of two years, and in repeated 10-Q and 10-K filings with the SEC, is circumstantial evidence of recklessness giving rise to a strong inference of fraud.”

Source: CourtListener parenthetical corpus (CC0).