SCOTUS Will Review Investor’s Fraud Case Over Trend Omission (1)

The US Supreme Court agreed Friday to review a securities fraud case alleging Macquarie Infrastructure Corp. failed to disclose its assessment of the impact of a new oil regulation.

The Second Circuit had reinstated Moab Partners LP’s lawsuit, holding that the investor had adequately alleged circumstances where Macquarie was obliged to disclose its assessment of the regulation’s consequences.

Macquarie petitioned for Supreme Court review in May, arguing the opinion deepened a circuit split. A securities fraud claim shouldn’t be built on a failure to disclose under Item 303 of Regulation S-K, the infrastructure conglomerate said. The company is now known ...