Morgan Stanley Strikes Back At CDO Fraud Claims

Law360, New York (December 6, 2011, 8:38 PM EST) -- Morgan Stanley & Co. Inc. on Monday denied fraud allegations lodged by 18 Singaporean investors who accused the financial services giant of taking unfair bets against mortgage-backed security investments, purportedly resulting in a $154.7 million loss.

The financial firm filed an answer in New York federal court contesting all claims brought in the suit, which alleges that the company took a short position against a synthetic collateralized debt obligation it packaged and marketed so it would see profits when investors lost out. The company further demanded...
To view the full article, register now.

Related

Sections

Case Information

Case Title

Dandong et al v. Pinnacle Performance Limited et al


Case Number

1:10-cv-08086

Court

New York Southern

Nature of Suit

Other Fraud

Judge

Jesse M. Furman

Date Filed

October 25, 2010

Law Firms

Companies

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.