Philippe Jorion's

Orange County Case:


Settlements in OC Bankruptcy





Date

Event

Dec. 6, 1994

County declares bankruptcy

Jun. 19, 1997

Merrill pays $30 million to settle criminal investigation by county, including $3m in expenses

Dec. 96-Feb.97

Merrill and other brokers pays $7.55 million to settle class-action lawsuits

Jan. 29, 1998

First Boston settles with SEC for $870,000, of which two partners pay $35,000 each

Mar. 2, 1998

Bond counsel LeBoeuf pays $10.2 million to settle a separate lawsuit by North OC Community College

Apr. 14, 1998

Bond counsel LeBoeuf pays $45 million to the county

May 8, 1998

First Boston pays $52.5 million to settle civil lawsuit by county (CSFR sold 4% of securities and agreed to share a $1.3 billion loss)

May 19, 1998

KPMG pays $75 million to settle civil lawsuit

Jun. 2, 1998

Merrill pays $437.1 million to settle civil lawsuit

August 1998

Morgan Stanley Dean Witter and Nomura Securities settle for $69.6 and $47.9 million, respectively.

June 15, 1999

Standard & Poor's settles for $140,000.

Feb. 7, 2000

Merrill settles a separate lawsuit with "Killer B's", a group of cities that pursued separate legal claims, for $32.5 million.

Feb. 24, 2000

County disburses $865 million in settlements.

 

Source: Press reports, as collected by Philippe Jorion

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