Quantcast
The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:SEC Accuses Morgan Keegan of Fraud Not Rated 0.0 Email Routing List Email & Route  Print Print
Wednesday, April 7, 2010

SEC Accuses Morgan Keegan of Fraud

News summary by MFWire's editors

The SEC on Wednesday brought forth fraud charges against Morgan Keegan & Company, Morgan Asset Management and two employees over the pricing of securities in five closed-end funds.

Commission officials allege that Morgan Keegan did not use reasonable procedures to price the funds' securities and as a result, did not calculate accurate NAVs.

"Despite these failures, Morgan Keegan recklessly published daily NAVs of the Funds which it could not know were accurate and, as distributor of the Funds’ shares, sold shares to investors based on those NAVs," SEC officials stated.

Sought for comment, Morgan Keegan spokesman Eric Bran wrote in an e-mailed statement: "We have always held our obligations to our clients and to regulatory law with the utmost seriousness."

"In that context, we have cooperated fully with the investigations of the SEC, Finra and the states for nearly three years. We are disappointed at the decision by these agencies and the states to bring charges which we believe are meritless and based upon erroneous hindsight analysis. We will vigorously refute these charges."

The five funds at the center of the allegations are:
  • Helios Select Fund, Inc. - formerly known as Morgan Keegan Select Fund Inc.
  • Helios High Income Fund Inc. - formerly known as RMK High Income Inc.
  • Helios Multi-Sector High Income Fund Inc. - formerly known as RMK Multi-Sector High Income Fund Inc.
  • Helios Strategic Income Fund Inc. - formerly known as RMK Strategic Income Fund Inc.
  • Helios Advantage Income Fund Inc. - formerly known as RMK Advantage Income Fund Inc.

    Click here to view the SEC's order.  

    Edited by: InvestmentWires Staff, 


    Stay ahead of the news ... Sign up for our email alerts now
    CLICK HERE

  • 0.0
     Do You Recommend This Story?



    GO TO: MFWire
    Return to Top
     News Archives
    2024: Q2Q1
    2023: Q4Q3Q2Q1
    2022: Q4Q3Q2Q1
    2021: Q4Q3Q2Q1
    2020: Q4Q3Q2Q1
    2019: Q4Q3Q2Q1
    2018: Q4Q3Q2Q1
    2017: Q4Q3Q2Q1
    2016: Q4Q3Q2Q1
    2015: Q4Q3Q2Q1
    2014: Q4Q3Q2Q1
    2013: Q4Q3Q2Q1
    2012: Q4Q3Q2Q1
    2011: Q4Q3Q2Q1
    2010: Q4Q3Q2Q1
    2009: Q4Q3Q2Q1
    2008: Q4Q3Q2Q1
    2007: Q4Q3Q2Q1
    2006: Q4Q3Q2Q1
    2005: Q4Q3Q2Q1
    2004: Q4Q3Q2Q1
    2003: Q4Q3Q2Q1
    2002: Q4Q3Q2Q1
     Subscribe via RSS:
    Raw XML
    Add to My Yahoo!
    follow us in feedly




    ©All rights reserved to InvestmentWires, Inc. 1997-2024
    14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
    Privacy Policy :: Terms of Use