SEC Eyes Merrill, Morgan Stanley and Others in Subprime Probe
Monday, February 11th, 2008The SEC has assembled a subprime working group of about 100 enforcement attorneys to look into whether banks and brokerage firms violated the federal securities laws in how they packaged sub-prime loans, how they valued those securities, and how they disclosed (or not) the risks of such securities to retail investors. Morgan Stanley and Merrill Lynch have disclosed that are among the brokerage firms that the SEC is investigating. (more…)
