Regions Financial Corp (RF.N) agreed to pay $210 million to settle allegations that its Morgan Keegan brokerage fraudulently marketed mutual funds and said it hired Goldman Sachs Group Inc (GS.N) to explore strategic options for that unit. Seven federal and state regulators including the U.S. Securities and Exchange Commission had accused Morgan Keegan of fraudulently misleading investors from January to July of 2007 about the risks of mutual funds filled with subprime mortgages, and artificially inflating the funds' prices. Wednesday's settlement was announced one day after the SEC said another major bank, JPMorgan Chase & Co (JPM.N), agreed to pay $153.6 million to settle charges it defrauded investors who bought mortgage debt, also on the eve of the credit crisis. The accord with Regions, a large U.S. southeast regional bank based in Birmingham, Alabama, stemmed from roughly $1.5 billion of investor losses tied to five Morgan Keegan funds.
Regions Financial Corporation (Regions) is a financial holding company. Shares of RF fell by 1.43% or $-0.09/share to $6.21. In the past year, the shares have traded as low as $5.12 and as high as $8.09. On average, 14687200 shares of RF exchange hands on a given day and today's volume is recorded at 28034348.
The Goldman Sachs Group, Inc. (Goldman Sachs) is a bank holding and a financial holding company. Shares of GS fell by 1.06% or $-1.44/share to $134.52. In the past year, the shares have traded as low as $129.50 and as high as $175.34. On average, 5724200 shares of GS exchange hands on a given day and today's volume is recorded at 4209438.
JPMorgan Chase & Co. (JPMorgan Chase) is a financial holding company. Shares of JPM fell by 0.54% or $-0.22/share to $40.69. In the past year, the shares have traded as low as $35.16 and as high as $48.36. On average, 29539600 shares of JPM exchange hands on a given day and today's volume is recorded at 27303174.
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