Did you trade debt securities of government sponsored enterprises
(aka GSE bonds) between 2009 and 2019? If so, you may be eligible to participate
in an antitrust settlement.
Plaintiffs allege that the defendants (see full list below) conspired
to fix prices of unsecured GSE bonds issued by Federal National Mortgage
Association, Federal Home Loan Mortgage, Federal Farm Credit Banks, and Federal
Home Loan Banks. The current settlement for $29.5 million includes the
defendants Deutsche Bank and First Tennessee Bank/FTN Financial Securities.
Goldman Sachs has also settled for $20 million, though the current settlement
notice was issued before Goldman's settlement was announced. In other words, it is possible this
case will unfold with rolling settlements over the coming months and years.
How CCC Can Help:
As you might guess, given the nature of GSEs, this litigation
affects a lot of securities. Indeed, there are tens of thousands. Chicago
Clearing can find every last eligible security for this settlement and ensure that
no eligible bond is missed.
Case Name: GSE Bonds Antitrust Litigation
Settlement Fund: $29,500,000
Claim Filing Deadline: February 5, 2020
Class Period: 1/1/2009 – 1/1/2019
Class description: "All persons and entities who or which entered into a GSE Bond Transaction with one or more Defendants or a direct or indirect parent, subsidiary, affiliate, or division of a Defendant during the Settlement Class Period."
Settling Defendants: First Tennessee Bank and FTN Financial
Securities Corp., $14.5 Million; Deutsche Bank, $15 Million.
Non-Settling Defendants: Barclays Capital Inc.; BNP Paribas
Securities Corp.; Citigroup Global Markets Inc.; Credit Suisse Securities (USA)
LLC; Goldman Sachs & Co. LLC; J. P. Morgan Securities LLC; Merrill Lynch,
Pierce, Fenner & Smith Inc.; TD Securities (USA) LLC; Nomura Securities
International, Inc.; HSBC Securities (USA) Inc.; Cantor Fitzgerald & Co.;
SG Americas Securities LLC; Morgan Stanley & Co., LLC; and UBS Securities
Please note: Goldman Sachs has also settled for $20
million, but this amount has not yet been included in the gross settlement
fund; it is likely a later notice will announce this settlement.