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DSAM GLOBAL VALUE FUND v. ALTRIS SOFTWARE, INC.

No. 00-56848.

288 F.3d 385 (2002)

DSAM GLOBAL VALUE FUND; Putnam Tank Car Employee Profit Sharing Plan; Establishment Comfort; Rolando Chavez; Hank Elkins, Plaintiffs-Appellants, v. ALTRIS SOFTWARE, INC., Defendant, and PricewaterhouseCoopers LLP, Defendant-Appellee.

United States Court of Appeals, Ninth Circuit.

Filed April 19, 2002.

Attorney(s) appearing for the Case

Eric A. Isaacson, Milberg Weiss Bershad Hynes & Lerach, LLP, San Diego, CA, for the plaintiffs/appellants.

Maureen E. Mahoney, Latham & Watkims, Washington, DC, and Miles N. Ruthberg, Latham & Watkins, Los Angeles, CA, for the defendant/appellee.

Before O'SCANNLAIN and SILVERMAN, Circuit Judges, and REED, District Judge.

OPINION

SILVERMAN, Circuit Judge.

The issue in this case is whether the allegations of a seriously botched audit are sufficient to plead scienter under the heightened pleading requirements of the Private Securities Litigation Reform Act ("PSLRA") and In re Silicon Graphics, Inc. Sec. Litig., 183 F.3d 970 (9th Cir. 1999). It is alleged that the auditor egregiously failed to see the obvious — that according to...

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