A New York federal judge granted preliminary approval Friday to a nearly $500 million deal settling claims by investors that major banks including JPMorgan Chase, Morgan Stanley, Goldman Sachs and Credit Suisse colluded to avoid modernization of the stock loan market.
In Friday's order, U.S. District Judge Katherine Polk Failla certified a class of investors for the purposes of the settlement, as recommended by U.S. Magistrate Judge Sarah L. Cave in July 2022. The financial institutions, along with UBS and EquiLend, agreed to pay $499 million to the settlement fund and implement governance changes, according to the settlement notice last month.
Quinn Emanuel Urquhart & Sullivan LLP and Cohen Milstein Sellers & Toll PLLC are preliminarily appointed as co-lead counsel for the settlement class, Friday's order states.
Iowa Public Employees' Retirement System, Orange County Employees Retirement System, Sonoma County Employees' Retirement Association, Los Angeles County Employees Retirement Association and Torus Capital LLC will represent the class in the settlement, Judge Faila wrote.
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The investor plaintiffs are represented by Quinn Emanuel Urquhart & Sullivan LLP and Cohen Milstein Sellers & Toll PLLC.
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