|
|  |
 Printer Friendly
 Text Version  Email Page
| Settlement Frequently Asked Questions |
|
|
| |
| |
 |
What does this “global settlement” mean? What happened? |
 |
In 2001 and early 2002, Congress and the SEC were examining the
issue of analyst conflicts of interest. In April of 2002, the New
York Attorney General's office announced an enforcement action against
Merrill Lynch based on internal emails it uncovered that showed analysts
were pressured to issue bullish stock recommendations to please investment
banking clients. Soon afterward, regulators from the states, industry
self-regulatory organizations and the SEC formed a joint task force
to investigate Wall Street's leading investment banks. In December
regulators announced an agreement in principle with the firms. The
agreement was finalized on April 28, 2003. |
| |
|
|
Am I part of the settlement? |
|
Lawmakers and OFIS managers are still determining how the $12.6
million Michigan settlement will be used. As pointed out in the April
28, 2003 press release, Governor Granholm said, “…part of this settlement
will help educate investors here in our state …” This means a portion
of the settlement may be used for Investor Protection and Investor
Education. |
| |
|
|
I heard the SEC will have a restitution fund. |
|
The details of investor restitution claims with the SEC have not
been finalized. We expect to have more specific information for Michigan
investors in the next few months. Check these web sites periodically
for information on whether a restitution fund will be established,
whether you qualify and how to make a claim:
SEC – www.sec.gov
NYSE – www.nyse.com
NASD – www.nasd.com
|
| |
|
|
If there is no restitution fund, what can I do? |
|
Any recovery of investor losses will be through private legal action:
|
| |
|
| This is the most recent information we have regarding
the global settlement. As we get more information and details, we
will post the information on our web site, www.michigan.gov
. Or, contact our Communication Center toll-free at (877) 999-6442
in Lansing (517) 373-0220. |
| |
|
|
|
|
|
