US- Merrill Lynch agreed to pay US$75m to employees that invested in Merrill stock through their retirement plans.
The plaintiffs sued Merrill in 2007 claiming the firm knew, or should have known, that investing in Merrill stock was imprudent and that Merrill violated the Employee Retirement Securities Act by not advising the employees to not invest.
The suit was filed in November 2007. The US District Court of the Southern District of New York will hold a court hearing on 27 July 2009 to decide whether to approve the settlement.
Scott Silvestri, spokesman at Bank of America, which acquired Merrill in January, was not immediately reached for comment.
The Pensions and Lifetime Savings Association (PLSA) is in the process of convening an industry-wide group to take forward the work of the Institutional Disclosure Working Group (IDWG).
The Transfers and Re-registration Industry Group (TRIG) has given its support to an initiative which aims to complete occupational pension transfers within three weeks.
Scottish Widows has completed a bulk annuity deal for the Hitachi UK Limited Pension Scheme.