Ex-Morgan Keegan Directors Settle With SEC Over MBS Values

Law360, Chicago (June 14, 2013, 3:34 PM EDT) -- Eight former Morgan Keegan & Co. fund directors inked a settlement Thursday with the U.S. Securities and Exchange Commission over allegations that they failed to properly oversee mutual funds that overvalued dicey mortgage-backed securities during the 2007 housing bust.

In a cease and desist order resolving the enforcement action, the former directors submitted to the SEC’s findings that they failed to satisfy their pricing responsibilities under federal securities laws, but neither admitted nor denied the allegations.

"Our settlement sends a clear warning of our commitment to...
To view the full article, register now.