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Raytheon Dodges Securities Fraud Suit as Court Sees Weak Facts

Nov. 21, 2022, 6:52 PM

Raytheon Technologies Corp. investors can’t proceed with claims that the aerospace company defrauded the government and set the stage for a stock-price drop, a federal court ruled.

The allegations appear very serious, but the facts show a more “benign” view that undermines the suit, the US District Court for the District of Arizona said Nov. 18.

Judge John C. Hinderaker concluded that the investors didn’t meet the heightened standard for alleging securities fraud. He granted Raytheon’s motion to dismiss after looking at publicly available documents and complete versions of materials cited in the complaint. Those factual inquiries are permissible at ...