Never miss a story — sign up for PLANSPONSOR newsletters to keep up on the latest retirement plan benefits news.
Pension Funds Sue JPMorgan & Goldman Sachs over Misleading Statements
According to the article, as a result of the misstatements, MF Global’s stock traded at inflated prices. The complaint filed in the U.S. District Court for the Southern District of New York said, “While the extend of MF Global’s exposure to European sovereign debt was concealed, the defendants were able to raise some $900 million the offerings.”
MF Global Holdings, which was run by former Goldman Sachs co-CEO Jon Corzine, filed for bankruptcy on October 31 after making bets on sovereign debt and getting margin calls.
The complaint was filed by IBEW Local 90 Pension Fund and the Plumbers & Pipefitters’ Local #562 Pension Fund. Other companies named as defendants in the case include: Bank of America Corp.’s Merrill Lynch, Citigroup Global Markets Inc., Deutsche Bank Securities Inc., RBS Securities Inc., Jefferies & Co., Corzine and MF Global officers.
The case is IBEW Local 90 Pension Fund v. Corzine, No.11-8401.
You Might Also Like:
PRT: Myths and Reality
The Golden Anniversary of ERISA: Celebrating Progress and Charting the Future of Retirement Security
Why PBGC’s Flat-Rate Premiums Need to Drop
« OMERS Venture Capital Investment Arm Names Managing Director