Judge rejects class action against MBIA

0 Comments Published by claudia February 22nd, 2007 in News, SOX, North America, Company News Tags: , , , , , .

A federal judge has dismissed a proposed shareholder class action lawsuit charging that MBIA Inc. defrauded investors by using sham reinsurance transactions to mask a $170 million bond loss in 1998.

U.S. District Judge Louis L. Stanton ruled Tuesday that the suit is barred by the two-year statute of limitations in the Sarbanes-Oxley Act.

Armonk, N.Y.-based financial guarantee insurer MBIA agreed last month to pay $75 million to settle U.S. Securities & Exchange Commission fraud charges related to the 1998 reinsurance deals. The retroactive reinsurance—placed with AXA Re Finance S.A., Munich Reinsurance Co. and Converium Re—allowed MBIA to avoid taking a $170 million loss on bonds issued by a bankrupt affiliate of Allegheny Health, Education and Research Foundation of Pittsburgh. In side agreements, MBIA promised to repay the reinsurers by transferring future bond business, and regulators charged that MBIA should have accounted for the deals as loans rather than as reinsurance.

Business insurance: Judge rejects class action against MBIA

Votes | Average: 0 out of 5 Votes | Average: 0 out of 5 Votes | Average: 0 out of 5 Votes | Average: 0 out of 5 Votes | Average: 0 out of 5 (No Ratings Yet)
Loading ... Loading ...
 E-Mail This Post/Page EMail This Print This Post

Search

About

You are currently browsing the SOX Center weblog archives for mbia inc.

- Sponsored by -

Categories

Highest Rated Entries

  • Committee on Capital Markets Regulation Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5 (5 out of 5)
  • AsiaInfo Assists China Mobile to Comply With the Sarbanes-Oxley Act Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5 (5 out of 5)
  • Follow up to the High Tech Industries Conference for Financial Professional, 22th 2006 Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5 (5 out of 5)
  • SOX Automation, Inc is the new sponsor of the SOX-Center.com blog Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5 (5 out of 5)
  • California Board of Accountancy Presents a Free Forum Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5 (5 out of 5)
  • Morningstar: Oxley Sees Changes In Sarbanes-Oxley In Near Future Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5 (5 out of 5)
  • Sarbanes-Oxley does not apply outside the U.S. Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5 (5 out of 5)
  • SOX Automation News: NASPP 14 annual Conference in Las Vegas, Oct 10-13, 2006 Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5 (5 out of 5)
  • Wall Street firms asked to detail Sarbanes-Oxley's impact Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5 (5 out of 5)
  • EU Says US Moves Ease Dispute Over Sarbanes-Oxley Act Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5Average: 5 out of 5 (5 out of 5)

    • Most Rated Entries

  • Anti-Sox Clause maybe included in NYSE-Euronext Merger Deal - 6 Votes
  • Interesting Report: 92 % of Public Companies’ Revenue Processes at Risk for Compliance Failures and Restatements - 3 Votes
  • SOX focus on Big4Guy.com this week - 3 Votes
  • U.S. competitiveness is at risk, says report - 3 Votes
  • Can the government protect the LSE from Sarbox? - 3 Votes
  • SEC offers Further Relief for Smaller Companies - 2 Votes
  • Committee on Capital Markets Regulation - 2 Votes
  • California Board of Accountancy Presents a Free Forum - 2 Votes
  • High Tech Industries Conference for Financial Professionals at Sept. 22th 2006 - 2 Votes
  • Sarbanes-Oxley does not apply outside the U.S. - 2 Votes

    • Most Viewed Entries

  • California Board of Accountancy Presents a Free Forum - 297,884 Views
  • Board Proposes Revised Auditing Standard on Internal Control over Financial Reporting - 204,912 Views
  • Japan insurer Millea quits Nasdaq, U.S. accounting - 14,350 Views
  • SEC: No Help Needed from Congress - 8,493 Views
  • Sarbanes-Oxley law has been a pretty clean sweep - 8,367 Views
  • Oxley says reforms' effects overblown - 7,436 Views
  • Congress Flexes Its Regulatory Muscles - 7,400 Views
  • House Votes to Give Small Companies More Time on Sarbanes-Oxley - 7,357 Views
  • CFOs and controllers at U.S. subsidiaries of Japanese firms begin implementing the Japanese version of Sarbanes-Oxley. - 7,340 Views
  • Follow PCAOB meeting about Sarbanes-Oxley-Act via webcast - 7,286 Views

    • Most Emailed Entries

  • CFO to Pay $51M for Fraud, Sarbox Breach - 4 Emails
  • Board Proposes Revised Auditing Standard on Internal Control over Financial Reporting - 4 Emails
  • SEC offers Further Relief for Smaller Companies - 1 Emails
  • Interesting Report: 92 % of Public Companies’ Revenue Processes at Risk for Compliance Failures and Restatements - 1 Emails
  • Committee on Capital Markets Regulation - 1 Emails
  • California Board of Accountancy Presents a Free Forum - 1 Emails
  • Follow PCAOB meeting about Sarbanes-Oxley-Act via webcast - 1 Emails
  • NYSE chief attacks Aim - 1 Emails
  • Sarbanes-Oxley Charges in Conn. Case Worry Corporate Defense Lawyers - 1 Emails
  • Compliance stifles outsourcing - 1 Emails

    • Syndicate