Washington - Arabstoday
Bank of America settled securities fraud claims by a group of Countrywide Financial investors including the California Public Employees\' Retirement System (CalPers) that opted out of a $624 million (Dh2.29 billion) class-action settlement last year. A confidential settlement has been reached with all the defendants except KPMG, Countrywide\'s former auditor, lawyers for the plaintiffs said in a filing on Monday in federal court in Los Angeles. Countrywide, acquired by Bank of America in 2008, was accused of misleading shareholders about its finances and lending practices. The plaintiffs, which also include funds managed by BlackRock, T. Rowe Price Group and TIAA-CREF are the largest group of those who rejected the 2010 settlement, saying the terms were inadequate. Shirley Norton, a spokeswoman for Bank of America, and Blair Nicholas, the lead lawyer representing the investors, declined to comment on the settlement.