WorldCom case sparks due diligence drive

due diligence


Debt holders won a victory of sorts last month when the underwriters of WorldCom’s 2000 and 2001 bond issues made a $6 billion out-of-court settlement over a lawsuit that alleged the banks had failed to conduct proper due diligence and therefore exposed the bondholders to risk. But there are concerns that investment banks may now ramp up underwriting fees to offset future litigation risk. And some are questioning the extent to which underwriters should be liable for the behaviour of their issuer

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to View our subscription options

If you already have an account, please sign in here.

You need to sign in to use this feature. If you don’t have a account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here