District court dismisses claims against banks in GE case

Class action against GE for misleading investors still stands

America’s banks now have one less accusation to worry about. On Wednesday, a district court dismissed claims that JPMorgan Chase & Co., Goldman Sachs and 40 other defendants had assisted General Electric in deceiving its investors about the company’s financial health during a 2008 stock offering.

A January ruling denied the defendants’ motion to dismiss, but District Judge Denise Cote, who took charge of the case beginning in February, said that the court handled the case improperly.

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