Terra Firma Wins This Round In EMI Court Case
September 15, 2010 at 4:27 AM (PT)
TERRA FIRMA Chief GUY HANDS won a round in court YESTERDAY (9/14) in his ongoing battle with CITIGROUP over the future of EMI. YESTERDAY's ruling by NEW YORK Judge JED RAKOFF, gave HANDS the right to have allegations of fraud against CITIGROUP to proceed to trial.
CITI had asked a federal judge last week to grant a summary judgement in their favor (NET NEWS 9/10)
Now, a trial date for the case is set for OCTOBER 18th.
"We are pleased that Judge RAKOFF has rejected CITI's attempt to avoid a trial on both of TERRA FIRMA's fraud claims. We look forward to the beginning of the trial on OCTOBER 18th, when CITI will have to answer to a group of NEW YORK JURORS," said TERRA FIRMA in a statement.
Replied CITIGROUP in a statement, "We are pleased that Judge RAKOFF has dismissed two of the four claims in the case. We believe this case is entirely without merit, and we are confident that CITI will prevail at trial on the remaining two claims."
THE NEW YORK POST reports, "The two parties have been battling in court for the nearly three years, with HANDS accusing CITI of duping his firm into paying too much for the now debt-laden EMI. TERRA FIRMA's case hinges on a series of phone calls in MAY 2007 between HANDS and LONDON-based CITI banker DAVID WORMSLEY. TERRA FIRMA alleges that WORMSLEY lied and said that a competing firm, CERBERUS CAPITAL, was poised to outbid TERRA FIRMA for EMI."