Settlement checks coming, but Hosemann ‘disappointed’ in SEC

ACROSS MISSISSIPPI — The state securities regulators from Alabama, Kentucky, Mississippi, South Carolina and Tennessee are notifying investors entitled to reimbursement from the recent Morgan Keegan settlement that their states’ fund distribution checks will be mailed Nov. 5.

A.B. Data, Ltd., as the fund administrator, will be mailing checks to all investors who filed an approved eligible claim within the claim filing period.

“Mississippi was a leader in the initial investigation, and we are pleased to see our efforts come to fruition. The Secretary of State’s Office was able to return more than $5 million to Mississippi investors,” said Secretary of State Delbert Hosemann.

The settlement funds were not allocated by state, but rather, by investors who filed eligible claims. The Secretary of State’s Office made numerous attempts via electronic mail, United States mail and telephone to encourage Mississippi investors to file a claim to the states’ fund. As part of the settlement agreement, the Securities and Exchange Commission (SEC) will distribute additional settlement funds in the future.

“As pleased as we are to have recouped this large amount of settlement funds for Mississippians from the states’ fund, we are equally disappointed the SEC has yet to begin the distribution of the other half of the settlement funds to investors,” Hosemann said.