The Kentucky Department of Financial Institutions says checks from the recent Morgan Keegan settlement will be mailed today to investors who filed an approved claim. The fund administrator, A.B. Data, will issue 1,930 checks totaling just over $4.5 million to Commonwealth investors.
The settlement resulted from an investigation of seven bond funds sold by Morgan Keegan to more than 30,000 investors. The department says the funds lost approximately 1 and a half billion dollars from January 1st, 2007, to March 31st, 2008. The Securities and Exchange Commission required Morgan Keegan and Morgan Asset Management to pay a total of $200 million to establish an SEC Fair Fund and a States' Fund, both to be paid to investors in the five states involved in the settlement.