Alabama
1:55 pm
Fri October 1, 2004

RSA Gets 111 Million Dollars in WorldCom Settlement

Montgomery, AL – Alabama's pension fund is getting 111 million dollars from three securities firms and from an accounting firm to settle claims over the WorldCom bankruptcy. Retirement Systems of Alabama Chief David Bronner says the settlement is a huge win for public pension funds and for investors as a whole. Bronner says an August ruling by the Second U.S. Circuit Court of Appeals was key to the settlement. That ruling allowed Alabama to pursue the suit in state court rather than being forced to participate in consolidated lawsuits over WorldCom's accounting scandal. The settlement was announced Thursday. It resolves the RSA's claims against J.P. Morgan Securities, Citigroup Global Markets, Banc of America Securities and Arthur Andersen.