The Canadian Imperial Bank of Commerce

A class action lawsuit, accusing The Canadian Imperial Bank of Commerce (CIBC) of insider trading, has been settled. Global Crossing Ltd. trustee filed a suit against the bank in an effort to recoup money lost to creditors from Global Crossing's bankruptcy in 2002. The trustee alleged CIBC knew the fibre-optics company was in trouble when they sold billions of dollars worth of its stock. In 1996, CIBC acquired a 38 percent stake in Global Crossing for $38 million and was worth approximately $1 billion when the company launched a public offering 18 months later. CIBC has denied the allegations, stating the action was almost the same as a claim filed by the trustee against the bank two years ago. (Jun-22-06) [GLOBE AND MAIL]