Irish Nuns, Investors Sue Morgan Stanley for Not Selling Notes
This article is for subscribers only.
Morgan Stanley was accused of taking a profit for itself and failing to sell notes when it should have in a lawsuit filed by nuns, a veterinary fund and 85 other Irish investors.
Morgan Stanley and Saturns Investments Europe Plc, a special-purpose vehicle set up by the New York-based bank, “deliberately or carelessly failed to redeem the notes” when they were downgraded to junk in January 2009, according to a statement by Stewarts Law LLP, the lawyers for the investors.