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AOL-TW Execs Accused of Insider Trading

Time: 19:28 EST/00:28 GMT | News Source: Reuters | Posted By: Todd Richardson

Two institutional shareholders said on Monday they filed suit against AOL Time Warner Inc., accusing Chairman Steve Case and other top executives of insider trading while using "tricks, contrivances and bogus transactions" to inflate the company's share price.

The University of California, which said it lost $450 million in its investment in the world's largest media company, and Amalgamated Bank's Longview Collective Investment Fund said in a statement they filed the suit in California state Superior Court in Los Angeles. In addition to AOL Time Warner and Case, the lawsuit also names as defendants Vice Chairman Ted Turner, Chief Executive Officer Richard Parsons, former CEO Gerald Levin, and former Chief Operating Officer Bob Pittman.

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