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Morgan Stanley to Pay $225 Million Settlement Over Mortgage Securities | Tony Seruga
Dec
10

Morgan Stanley to Pay $225 Million Settlement Over Mortgage Securities

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Morgan Stanley will pay $225 million to settle lawsuits related to its sale of faulty mortgage-backed securities to five now-defunct corporate credit unions.

The bank reached the settlement with the National Credit Union Administration without admitting fault, the N.C.U.A. said in a statement Thursday.

The N.C.U.A. filed the suits in 2013, going after several of Wall Street’s biggest banks to recover after the collapse of the credit unions, which it said at the time created the biggest crisis in the credit union industry’s history. The suits targeted 10 banks over their sale of $2.4 billion in mortgage bonds to the credit unions. It has settled several cases since then…

Morgan Stanley to Pay $225 Million Settlement Over Mortgage Securities

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