| |
8 Trillion!!
That's the estimated damage from
securities fraud that the Miami Herald reported on August 4, 2002 in the article
titled, "Wanted: Angry Investors". To put it another way, that's
$28,427.07 for every man, woman and child in the United States.
How could this have happened? Who's
to blame? And how can you be a part of this exciting legal action?
Who's to blame?
Thousands of investors were defrauded of
their life savings by greedy companies who were showed flagrant disregard for
the interests of their clients.
What are they worth? |
 |
|
Company |
|
Market Cap ($B) |
|
Salomon Smith Barney (CitiGroup) |
|
146.0 |
|
J.P. Morgan Chase |
|
36.5 |
|
Goldman Sachs |
|
32.7 |
|
Merrill Lynch |
|
29.6 |
|
Credit Suisse First Boston |
|
23.7 |
|
Prudential-Bache |
|
16.1 |
|
Bear Stearns |
|
5.7 |
 |
So
what did they do? |
|
|
|
|
|
– Analysts vs. Investment Banking
|
|
|
Misrepresentation/Omission
(aka lying) |
|
|
IPO
|
|
|
Excessive
trading (aka “churning”) |
|
|
Misappropriation
(aka stealing) |
|
|
Unauthorized
investments |
|
|
Failure to
follow instructions |
|
|