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Loss Causation Not Shown

A district court (ED Pa) found that a complaint insufficiently demonstrated that a company's alleged misrepresentations concerning its revenues and internal controls was causally linked to investors' losses. The complaint did not show loss causation because the investors did not demonstrate that the market actually learned about the inadequacies of the accounting procedures and controls.

Marsden v. Select Medical Corp. (ED Pa) is reported at ¶94,361.