NC Claims BNY Mellon Broke Deal With $95M Lehman Buy

Law360, New York (March 15, 2012, 6:28 PM EDT) -- North Carolina’s treasurer sued Bank of New York Mellon Corp. on Thursday, accusing the bank of breaching an investment deal with the state’s pension funds by investing $95 million in Lehman Brothers Holdings Inc., which collapsed in 2008.

The suit claims that BNY Mellon invested the pension funds’ money in Lehman Brothers securities that didn’t meet the minimum requirements of an investment agreement between the bank and the state.

When Lehman Brothers went belly-up in September 2008, the value of the state’s investment plummeted by $70...
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