Lowey Announces New GSE Bond Settlements Bringing Total Recovery for Investors to $386.5 Million

by | Dec 23, 2019 | Homepage, News | 0 comments

On December 16, 2019, Lowey announced two new settlements with Defendants in In re GSE Bonds Antitrust Litigation, 19-cv-01794 (S.D.N.Y.) (JSR). These settlements, which include an $87 million deal with Defendant Barclays Capital, Inc. and $250 million settlement with Defendants BNP Paribas, Cantor Fitzgerald, Citigroup, Credit Suisse, HSBC, JPMorgan, Merrill Lynch, Morgan Stanley, Nomura, Societe Generale, TD Securities, and UBS, will resolve Plaintiffs claims against all Defendants remaining in the action.

The $337 million in monetary compensation provided by these two new settlements brings the total amount of money recovered for the Class to $386.5 million.

In addition to this substantial amount of monetary compensation, the settling Defendants have also agreed to adopt antitrust compliance measures designed to prevent and detect misconduct in the GSE Bond market. These compliance measures include adopting a culture of compliance, rigorous employee training on antitrust matters specific to the GSE Bond market, strong oversight of trader behavior and commutations, and periodic assessments by a representative of Pennsylvania Treasury to ensure that the antitrust compliance program adopted by each settling Defendant is consistent with industry best practices.

Lowey serves as co-lead counsel in the In re GSE Bonds matter with Scott+Scott.

Please contact Vincent Briganti (vbriganti@lowey.com) or Christian Levis (clevis@lowey.com) with any questions.

You can learn more about Lowey’s antitrust practice here:  https://lowey.com/antitrust/