The Bear Stearns fire sale has already lead to the first of – what many consider – to be a raft of lawsuits against the former securities and banking giant.
U.S. law firm Coughlin Stoia Geller Rudman & Robbins LLP said on Monday it had sued Bear Stearns Co Inc, accusing the investment bank, sold at rock bottom price to JP Morgan, of misleading investors about its financial condition ahead of its stock collapse.
The lawsuit was filed in U.S. District Court in the Southern District of New York, law firm said in a statement.
A copy of the complaint was not immediately available. The law firm said the suit accuses the investment bank, which is selling itself to JPMorgan Chase & Co for $2 a share, of violations of federal securities laws.