This isn't as good as sending some of these creeps to jail but at least it's some legal recognition that poor people & ACORN weren't to blame. Note that an accounting firm is also involved, one member of a group that Charles Munger, Berkshire Hathaway's VP, thinks are "contemptible" for its role in the Great Recession.
Investors strike $208.5 million WaMu settlement
WILMINGTON, Delaware | Fri Jul 1, 2011 10:04am EDT
WILMINGTON, Delaware (Reuters) - Washington Mutual Inc's officers, directors, underwriters and auditor have agreed to a $208.5 million settlement to end class-action securities fraud lawsuits, according to court documents.
The settlement is among the largest stemming from the financial crisis, trailing a $624 million settlement by Countrywide Financial Corp and $475 million by Merrill Lynch & Co Inc.
The lawsuits in the U.S. District Court for the Western District of Washington accused the defendants of concealing from investors poor loan underwriting and inflated appraisals that juiced earnings. That inflated the company's stock price, which was once a stock-market darling.
Under the terms of the class-action settlement, announced in court papers dated Thursday, claims against the directors and officers will be settled for around $105 million.
About a dozen underwriters of the company's securities contributed $85 million to the settlement; the company's auditor, Deloitte & Touche LLP, contributed $18.5 million.
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