Case Study
AST Research Securities Litigation
In this Rule 10b-5 securities suit brought against AST Research, a leading PC manufacturer, the plaintiffs alleged that AST’s management had manipulated various aspects of the accounting treatment of its acquisition of Tandy Corporation to inflate the stock price. Retained by O’Melveny & Myers In this Rule 10b-5 securities suit brought against AST Research, a leading PC manufacturer, the plaintiffs alleged that AST’s management had manipulated various aspects of the accounting treatment of its acquisition of Tandy Corporation (inventory valuations, treatment of goodwill, and creation and use of reserves) to inflate the stock price. Defense counsel retained Cornerstone Research to assist Purdue University professor John McConnell in evaluating the plaintiffs’ expert’s damages calculation an