Provident Trustee Settles Creditor Suit Over Broker Fees

Law360, New York (February 7, 2013, 4:48 PM EST) -- The trustee for defunct Provident Royalties LLC and brokerages that sold securities as part of Provident's alleged $485 million Ponzi scheme have settled a suit brought by creditors seeking to recoup $13.1 million in broker fees, according to a Texas federal court order Wednesday.

Milo H. Segner Jr., trustee for PR Liquidating Trust and Summit Brokerage Services Inc., Wedbush Morgan Securities Inc. and DeWaay Financial Network LLC, went into court-ordered mediation in November over the disputed brokerage fees and whether they should be returned to creditors...
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