Thursday, October 18, 2007
Unisystems Inc. filed a putative class action against State Street Corp. over losses in fixed-income funds held in workplace retirement plans. The complaint alleges that the funds were misrepresented as conservative investments and did not disclose their investments in high-risk and mortgage-backed securities. Prudential previously filed suit against State St. with similar allegations, and several State Attorneys General are investigating State Street in connection with losses in state retirement plans. WSJ, State Street Is Sued Over Fund Losses.