$440 million payback due to tainted research
This article appears courtesy of Institutional Investor
A federal judge in New York City has given the green light to the Securities and Exchange Commission, the NASD and the New York Stock Exchange to distribute an estimated $440 million to some 15,000 of 20,000 investors who were determined to be harmed by tainted research. The checks, which are expected to be mailed before the end of the year, reports The New York Times, range from $100 to $15 million, which are said to be claims paid in full.
About half the 20,000 claims that are part of the $1.4 billion settlement that a 11 banks agreed to pay, belong to investors who held 100 or few shares. Merrill Lynch, which settled separately, is not part of this fund.