IPO Fraud Case Continues
from the systematically-defrauding-investors dept
A judge has decided that thousands of investors have made a credible case that the underwriters and issuers of many IPOs during the boom years, were systematically defrauding the public. Thus, the lawsuit that the investors brought will continue. Basically, the case will look at whether or not the Wall Street IPO game was really a grand misleading pyramid scheme perpetrated by startups, VCs, and investment banks. While I agree that the banks were certainly misleading, I'm afraid that some of this case is simply due to investors who couldn't be bothered to do their own research - and are now just looking for someone to blame. This is a case where everyone was being greedy. No one complained when the stocks kept going up...
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