E*TRADE Announces $79M Settlement Of Subprime Claims In Securities Suit

NEW YORK - E*TRADE Financial Corp. has agreed to a $79 million settlement with investors to settle claims that it misrepresented the risk associated with its investment in subprime mortgage-backed securities in violation of federal securities laws, according to a Securities and Exchange Commission Form 8-K filed by E*TRADE on Dec. 21 (Larry Freudenberg v. E*TRADE Financial Corporation, et al., No. 07 Civ. 8538, S.D.N.Y.; See November 2007, Page 42). Full story on lexis.com