Wall Street Journal
Two units of Citigroup Inc. have been ordered to pay $6.4 million to a group of investors, including the head of a Chicago-area investment-banking firm, for losses they incurred in a family of municipal arbitrage funds. The award by a divided securities arbitration panel represented a partial victory for the investors, who included D. Theodore […]
Ignites
In what is being hailed as an historic change to the securities arbitration process, the SEC has approved a rule that allows investors to choose only public arbitrators to hear and decide their claims against brokers. Previously, in cases with three arbitrators (those involving claims over $100,000), the panels have been made up of two […]
Wall Street Journal
A unit of Citigroup Inc. (C) must pay a group of investors a total of $2.43 million for losses they incurred in a municipal arbitrage fund that lost about 80% during a period between 2007 and 2008. Five Memphis-based investors filed the claim in 2009, seeking damages related to MAT Five, which is among a […]
Investment News
Dozens of plaintiffs suing brokerage firms this month and last have seen a veritable gusher of multimillion-dollar awards – leaving some plaintiff’s attorneys anticipating a continued stream of such arbitration rulings. The awards, all decided by Financial Industry Authority Inc. arbitration panels in September and October include: Larry “J.R. Ewing” Hagman’s $11.5 million award vs. […]
Bloomberg
When duped investors set out to make themselves whole after a fleecing by a broker, the American way is to hustle them off to a private court run by Wall Street. It’s a tradition that was set in stone when the Supreme Court in 1987 said that, if an investor signed an agreement to arbitrate, […]