Archive for July, 2011

Hedge Fund Settles with Madoff Trustee

Filed July 28th, 2011 Julie

The Oppenheimer-owned Tremont hedge funds group has agreed to pay the liquidator of Bernie Madoff’s estate more than $1 billion in cash, giving swindled investors an extra taste of justice. Tremont funds will now be allowed to make claims on the Madoff estate of about $3 billion, according to a statement by trustee Irving Picard.

Another Pension Fund Sues over News Corp. Hacking Scandal

Filed July 28th, 2011 Julie

Rupert Murdoch, chairman and CEO of News Corp., and the company’s other directors have been slapped with a lawsuit filed by The Massachusetts Laborers’ Pension and Annuity Funds of Burlington. The lawsuit states that they are seeking to recover millions of dollars in losses and strengthen corporate governance over alleged mismanagement and breaches of fiduciary […]

Maibec Class Action Lawsuit Claims Wood Shingle Siding is Defective

Filed July 14th, 2011 Julie

A group of property owners say a Quebec, Canada-based wood siding maker sold them wood shingles that warped and cracked despite extensive warranties, and filed suit in New Jersey federal court last Friday against the company. Maibec produces siding under the brand names Nantucket Kennebunk and Ben Harbor and distributes its products throughout more than […]

Drug testing firm defrauded government programs for millions

Filed July 14th, 2011 joshua

A whistleblower claims a California-based drug-testing firm has been defrauding the government for millions of dollars since it first opened. According to a report at, a whistleblower lawsuit has been filed against Millenium Laboratories, accusing it of operating a scheme in which physicians claim they use the company’s urinalysis up to 20 times per […]

Lawsuit claims CitiMortgage wrongfully foreclosed on thousands of military families

Filed July 13th, 2011 joshua

A class-action lawsuit has been filed against CitiMortgage for illegally foreclosing on thousands of military families‘ homes while the soldiers served active duty. According to a report, the lawsuit was filed by U.S. Army Sgt. Jorge Rodriguez, who says Citi began foreclosure proceedings on him while he was serving active duty and in a […]

Wells Fargo settles unpaid overtime lawsuit

Filed July 12th, 2011 joshua

Wells Fargo Bank has settled a class-action lawsuit which accused the company of failing to pay overtime to employees. According to a report at, former employee Amber Salazar sued Wells Fargo in 2009 because she said the bank was forcing herself and other employees in her position to work “off-the-clock” and then mislabeled them […]

Despite Bank Claims of Improvements, Wrongful Foreclosures Continue

Filed July 11th, 2011 Julie

Banks say they have made major improvements in how they handle struggling homeowners four years into foreclosure crisis. They’ve promised not to foreclose on homeowners who are being considered for mortgage modifications, but yet it’s still happening. Such a scenario is senseless because modifying the mortgage by reducing the monthly payment might be in the […]

Insurers Sue Goldman Sachs for Securities Fraud

Filed July 8th, 2011 Julie

Liberty Mutual Insurance Co. of Boston and Safeco Corp. sued Goldman Sachs Group for securities fraud, saying the brokerage firm made “misleading statements and omissions” in a preferred-stock offering for Federal Home Loan Mortgage Co. in 2007. The plaintiffs, including Peerless Insurance Co., claim they invested $37.5 million the offering of Freddie Mac shares, which […]

Life Insurance Tactics Draw Scrutiny in New York

Filed July 6th, 2011 Julie

The top legal officer for New York is subpoenaing nine life insurers to gain information about their practices in identifying and paying out policies for deceased customers. New York Attorney General Eric Schneiderman sent subpoenas to AXA SA, Genworth Financial Inc, Guardian Life Insurance Co of America, Manulife Financial Corp, Massachusetts Mutual Life Insurance Co, […]

Life insurance companies accused of avoiding death benefit payments

Filed July 6th, 2011 joshua

New York’s Attorney General has subpoenaed at least nine life insurance companies to ensure they’re doing all they can to pay death benefits to policy holders’ beneficiaries. According to a Wall St. Journal report, AG Eric Schneiderman wants all insurance companies who were issued subpoenas to double-check their policy holders with a federal death database […]