Judicial Panel Grants Defense Request, Over Plaintiff Objection, for Pretrial Coordination of Class Action Lawsuits Pursuant to 28 U.S.C. § 1407 and Agrees With Defense Request to Transfer Class Actions to Southern District of New York
Ten individual and class action lawsuits, nine (9) in New York and one (1) in Illinois, were filed against various defendants alleging federal securities laws violations arising out of the collapse of Refco, Inc. In re Refco Securities Litig., ___ F.Supp.2d ___ (Jud.Pan.Mult.Lit. December 28, 2007) [Slip Opn., at 1]. Defense attorneys for Credit Suisse Securities, Banc of America Securities, Grant Thornton, Mayer Brown and PricewaterhouseCoopers filed a motion with the Judicial Panel for Multidistrict Litigation (MDL) requesting centralization of the class actions pursuant to 28 U.S.C. § 1407 in the Southern District of New York. Id. Two other defendants supported the motion; lawyers for the Illinois plaintiffs opposed pretrial coordination. Id. The Judicial Panel granted the motion to centralize the class action lawsuits and agreed with the defense that the Southern District of New York was the appropriate transferee court. Id., at 1-2.