NEW YORK (Reuters) – A U.S. judge on Friday dismissed lawsuits by investors who accused Goldman Sachs Group Inc and Morgan Stanley of engaging in market manipulation before the collapse of Bill Hwang’s investment firm Archegos Capital Management LP.
U.S. District Judge Paul Crotty in Manhattan rejected claims that the Wall Street banks, two of Archegos’ prime brokers, should be liable for selling several Archegos-linked stocks while possessing inside knowledge about the firm’s imminent collapse, materially harming investors in those stocks.
(Reporting by Jonathan Stempel in New York; editing by Jonathan Oatis)
Source: KFGO
