Subject of a major financial scandal

Reference no: EM13154379

Wurst and Wurst is the accounting firm that has been used by the Intercontinental Bank for over twenty years. Alfred, a Wurst partner, was approached by Benny at a cocktail party. Benny asked about the bank's stability. Although Alfred knew that the bank's stock was overvalued because of some loans to third world countries, he felt a considerable amount of loyalty to the bank for being a good customer of his accounting firm. Alfred told Benny that Wurst had just finished an audit of the bank, and that the bank was as sound as the rock of Gibralter. The next day Benny bought 1,000 shares of Intercontinental. One month later, the bank's losses become the subject of a major financial scandal. Benny is mad and wants to sue. Does Benny have a case? Explain.

Reference no: EM13154379

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