Bad news for Computer Associates co-founder, Charles Wang, who has found himself thrown under the bus by protege and former CA CEO, Sanjay Kumar. All this is spinning out of the lawsuit filed by Big Texan Sam Wyly, who we've written about before in these parts based on his other adventures in litigation.

-- MDT

Labels: CA, Charles Wang, Sam Wyly, Sanjay Kumar

This decision from Justice Eugene Nardelli and his fellows at the court of appeals stymies the efforts of super-star investor, Sam Wyly, who had been seeking access to documents from Milberg, along with several other major class action litigation firms, including Stull, Stull & Brody, and Schiffrin Barroway Topaz & Kessler. Wyly was after docs from Computer Associates class action, in which his interests were represented (he would, in fact, argue misrepresented) by the above firms. Wyly also has a legal malpractice case pending against the three firms in Manhattan's Supreme Court.

-- MDT

Labels: class action, malpractice, Milberg, Sam Wyly, Schiffrin Barroway, Stull Stull and Brody

Texas billionaire Sam Wyly is concerned that the cozy relationship between Milberg founder Melvyn Weiss and Computer Associates board of director member (and former highly embarrassing U.S. Senator, Alfonse D'Amato), might have undercut the compensation obtained for aggrieved investors in CA.

Wyly has filed suit against Milberg, and a host of other firms who participated in the case (Stull, Stull & Brody; Schiffrin, Barroway Topaz & Kessler; and Coughlin Stoia Geller Rudman & Robbins). A key allegation in the case involves a summer 2003 meeting between Weiss, D'Amato and another CA board member in which a reasonable settlement was discussed.

The reasonable deal that followed included an end to all pending actions against CA, immunity for past and present CA executives and board members as well as less that a penny to the dollar reimbursment of lost funds - a result which the Wyly team has labeled "one of the most egregious cases of [legal] malpractice I've seen in 23 years.".

Get the full-on details of the Wyly / Milberg suit at Newsday.

And for a little more background on Mr. Wyly, including proxy fights at CA and a particularly spectacular hedge fund flame-out, see this BusinessWeek article.

-- MDT

Labels: Alfonse D'Amato, CA, Melvyn Weiss, Milberg Weiss, Sam Wyly