Personal Injury Law

Morgan Keegan "Slammed" with $1.46 million verdict

By Adam Gana

NBA player Horace Grant "slammed" Morgan Keegan & Co. with a $1.46 million arbitration award on Tuesday, September 15, 2009. The amount is the largest arbitration loss for Morgan Keegan to date.

Grant suffered damages as a result of his investment in Morgan Keegan's high risk bond funds that over-collateralized its underlying assets in risky asset-backed securities.

There are still hundreds, if not thousands of arbitration claims currently pending against Morgan Keegan alleging fraud and unsuitability. Up to 95% of the funds' value has dissolved since the middle of 2007.

Grant is a former Chicago Bull and was on the famed 1990-91 Chicago Bulls team. In his arbitration case, the former NBA basketball player contended that Morgan Keegan misrepresented the level of risk that came with the bond funds that he purchased and that the funds were unsuitable for him.

Already, Morgan Keegan has lost a number of cases in 2009. In addition, other professional athletes who have filed lawsuits against Morgan Keegan for losses that they say they sustained from the bond funds are Jerome Woods, formerly of the Kansas City Chiefs, and former St. Louis Cardinals baseball player Tim McCarver. Woods successfully arbitrated his claim for $950,000 while McCarver resolved his claim for $100,000.

Napoli Bern Ripka represents clients that suffered similar losses as a result of Morgan Keegan's actions. If you, or anybody you know has lost money as a result of investments in Morgan Keegan bond funds, please contact us.

Full post as published by New York City Personal Injury Lawyer on September 17, 2009 (boomark / email).