Wednesday, June 15, 2005

JPMorgan to pay $2.2 billion in Enron Settlement

Now the other shoe drops. The Number 3 US bank just announced its settlement with investors of Enron - 2.2 billion dollars. Last week Citigroup agreed to pay 2 billion dollars.

The lead plaintiff in the case is the Board of Regents of the University of California who sued a number of financial firms. So far financial institutions have agreed to pay Enron shareholders $4.7 billion. In addition to the Citigroup and JP Morgan settlements, Bank of America has agreed to pay $69 million and Lehman Brothers paid $222.5 million.

The other financial institutions still involved include Barclays Plc, Credit Suisse First Boston, Merrill Lynch, Canadian Imperial Bank of Commerce, Toronto Dominion Bank, Royal Bank of Canada, Deutsche Bank AG and the Royal Bank of Scotland. The plaintiff are expecting settlements to reach 7 billion dollars.

JPMorgan Read the original article
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