The plaintiff brought a motion for leave to commence a secondary market securities class action under Part XXIII.1 of the Securities Act against Akumin Inc., its directors and officers, and its auditor, Ernst & Young LLP, and for certification of the action under the Class Proceedings Act.
The claims arose from alleged misrepresentations in Akumin's financial statements that were later restated.
The court granted leave against the Akumin defendants, finding a reasonable possibility of success at trial regarding the alleged misrepresentations and public corrections.
However, the court denied leave against the auditor, EY, finding insufficient evidence that the auditor's statements were material or publicly corrected.
The court certified the action as a global class proceeding against the Akumin defendants, rejecting arguments to exclude American purchasers from the class.
