Tuesday, June 12, 2012

Deloitte Coughs Up $19.9 Million to Settle Bear Stearns Lawsuit





Deloitte & Touche agreed to pay $19.9 million to settle claims by investors who lost money in the stock of JPMorgan Chase’s Bear Stearns unit from 2006 to 2008, the good folks at Bloomberg report.

The settlement, which must be approved by a judge in Manhattan federal court, resolves claims against Deloitte by a class of shareholders claiming Bear Stearns, with the help of Deloitte, its auditor, made misstatements about its financial condition. Bear Stearns shares dropped after news became public about risky hedge funds and negative ratings-company outlooks.

Bear Stearns, a New York-based investment bank, announced in January 2008 that U.S. prosecutors were inquiring into the collapse of the hedge funds. In March 2008 JPMorgan Chase announced it was buying Bear Stearns for $2 a share.

Last week, Bear Stearns agreed to a settlement requiring it to pay $275 million to investors to settle the litigation…

More?  Check out http://www.bloomberg.com/news/2012-06-11/deloitte-settles-bear-stearns-lawsuit-for-19-9-million.html

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