Plaintiffs Presbyterian Healthcare Services and the New Mexico Hospital Equipment Loan Council sued their financial advisor and the broker-dealer for their Auction Rate Securities – Goldman Sachs and Co., – alleging that Goldman Sachs wrongfully failed to disclose material facts about the stability of the ARS market, resulting in the loss of over $10,000,000 when the ARS market crashed in 2008.
Goldman Sachs moved to dismiss and the District Court granted the motion.
“Because the Second Circuit Court of Appeals has repeatedly rejected claims materially identical to the claims here, and because some of Plaintiffs’ causes of action are barred by the statute of limitations, the Court grants Goldman Sachs’s motion to dismiss.”