Wells Fargo pays $62.5mm to settle seclending lawsuit

Reuters: Approximately 100 investors, led by the City of Farmington Hills Employees Retirement System pension plan, have asked U.S. District Judge Donovan Frank in St. Paul, Minnesota, for preliminary approval of the deal, which would resolve a 2010 class action.

The plaintiffs argued that the bank marketed its lending program as safe but instead invested their funds in risky products such as mortgage-backed securities, causing significant losses.

The full article is here.

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