FINRA Orders UBS To Pay Kajeet $81M Over ARS

Law360, New York (August 4, 2010, 3:40 PM EDT) -- UBS Financial Services Inc. must pay kids' cell phone maker Kajeet Inc. nearly $81 million in damages over student-loan auction rate securities it sold to the company, a Financial Industry Regulatory Authority arbitration panel has ruled.

The FINRA panel issued the dispute resolution decision Tuesday, awarding the Baltimore-based company $80.8 million of the $110 million damages it sought in a claim filed in July 2009.

The panel offered no detailed reasoning for its determination, other than to say that after considering the pleadings, testimony and evidence,...
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