Steamfitters Sue Investment Firm Over Madoff Losses

Law360, New York (June 12, 2009, 12:00 AM EDT) -- A steamfitters union pension fund has filed a putative class action against a unit of KeyCorp, alleging the investment management firm ignored a series of red flags regarding Bernard L. Madoff's enormous Ponzi scheme before investing millions of dollars with a Madoff feeder fund.

In a complaint filed Thursday in the U.S. District Court for the Eastern District of Pennsylvania, the Pittsburgh-based board of trustees of the Steamfitters Local 449 Retirement Security Fund sued Austin Capital Management Ltd., KeyCorp and several senior executives for making imprudent...
To view the full article, register now.