Boston Scientific Corporation (BSX) Wins Dismissal of Suit Over Sales Group
9/21/2011 8:05:36 AM
Boston Scientific Corp. won dismissal of a class-action lawsuit accusing the company of failing to disclose questionable sales practices in its cardiac- devices group to investors. Four pension funds sued last year, claiming losses of more than $2.8 million from buying the stock at an artificially inflated price. U.S. District Judge Douglas Woodlock in Boston ruled yesterday that the complaint failed to state a “cognizable” claim for securities fraud. “Rather than suggesting an intent to deceive investors, the facts contained in the complaint exhibit the defendants engaging in a good faith process to inform themselves and the public of the risks,” Woodlock said in a 41-page opinion.