Analysts doubt Parmalat win against Grant Thornton

Analysts believe
Parmalat’s
loss of a $1.92bn (?1.1bn) damages claim against Citicorp in the Superior Court
of Bergen County, New Jersey, has made it unlikely for the dairy giant to win a
suit against Bank of America (BoA) and
Grant
Thornton for $10bn each, alleging they contributed to the fraud which caused
its 2003 collapse.

‘Hopes of receiving proceeds from the litigation have been dashed,’ Ben
Rolfe, an analyst from Churchill Capital Group in Monaco, told
Bloomberg.
However, Parmalat announced today it would appeal the decision.

The cases against BoA and Grant Thornton, which are set for a New York
federal court, are expected to come to trial in next year’s second half, Nicola
Parmieri, Parmalat legal counsel, said.

He said he would be seeking to broaden the claims on appeal and did not
believe the Citigroup verdict would have any effect on the case against BoA.

Further reading:

Accountants target of another Parmalat lawsuit

Parmalat and banks settle all claims