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Federal Courts -
1st Circuit Court of Appeals - February 6 - February 11, 2009
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SEC v. Papa, No. 08-1172,
UNITED STATES COURT OF APPEALS FOR THE FIRST CIRCUIT, February 6, 2009, Decided
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Overview: Court rightly dismissed SEC's claims under § 10(b) of Securities Exchange Act, 15 U.S.C.S. § 78j, and Rule 10b-5, 17 C.F.R. § 240.10b-5, for failure to state claim as, while SEC argued that letters signed by individuals assisted in breach of fiduciary duty, non-disclosures in issue did not cause allegedly wrongful transactions or resultant losses.
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