Barclays Plc (BARC) won dismissal of a lawsuit by holders of its American depositary receipts who claimed the U.K. bank misled shareholders about its manipulation of the London Interbank Offered Rate, or Libor.
U.S. District Judge Shira Scheindlin today dismissed the suit, filed last year, on behalf of a class of investors who bought Barclays’s ADRs between July 10, 2007, and June 27, 2012. She said the alleged misstatements didn’t violate the law or lacked a sufficient connection to Barclays’ practices with regard to Libor.
The investors, led by the Carpenters Pension Trust Fund of St. Louis and St. Clair Shores Police & Fire Retirement System, claimed Barclays violated U.S. securities laws through misstatements in financial filings, in a conference call with analysts and in the rates it submitted for use in setting Libor. The plaintiffs also claimed Barclays failed to disclose contingent liabilities as required by regulators.
The case is Gusinsky v. Barclays Plc, 12-cv-5329, U.S. District Court, Southern District of New York (Manhattan).
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