US - New Jersey has sued several members of Lehman Brothers over losses incurred by the state pension fund following the bank's failure last year.
New Jersey governor Jon Corzine said: "With this suit we intend to hold Lehman executives and directors accountable for the fraud and misrepresentation that caused more than $100 million in losses to New Jersey's pension funds."
New Jersey pension funds invested over $120m in Lehman stock after solicitations to make the deals by Lehman executives.
The state said these purchases of preferred and common stock by the Division of Investment on behalf of the states' pension funds were based on financial statements and materials containing "material misstatements and omissions" in regard to the value of financial stability of Lehman, which the company knew or should have known to be untrue.
William G. Clark, the director of the Division of Investment, said, "The integrity of our financial markets requires that investors be able to rely on a company's financial statements and the representations of its senior management team. Clearly, the information put out by the company misrepresented Lehman's true financial condition."
The action names nine former executives at the firm, nine former board members and Ernst & Young, the bank's accounting firm.
The Division of Investment and pension funds are seeking to recover compensatory and punitive damages.
The Pensions and Lifetime Savings Association (PLSA) has announced it will shrink its board by more than one-third as part of a governance overhaul to make it "agile and more appropriate".
Smaller FTSE 350 defined benefit (DB) schemes were nearly 15 percentage points less well-funded than larger schemes in 2017, according to a Goldman Sachs Asset Management (GSAM) analysis.
The advent of collective pension systems could help the UK avoid demographic challenges which will make it "impossible" for society to help savers in retirement, experts say.