Putnam Freed From $70.5M Credit Agricole Suit

Law360, New York (June 13, 2011, 6:34 PM EDT) -- A New York state judge ruled Monday that investment adviser Putnam Advisory Co. LLC should not be a defendant in a lawsuit accusing French bank Credit Agricole SA of secretly helping a hedge fund short collateralized debt obligations, costing investors $70.5 million.

The plaintiffs — four purchasing entities that German bank IKB Deutsche Industriebank AG created to help it invest in real estate-linked CDOs — allege that they lost $70.5 million because Credit Agricole's Caylon unit allowed hedge fund Magnetar Capital LLC to purposely select weak...
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