News Summary: Adviser, firms paying $23.5 million

Associated Press Published: September 7, 2012
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CASE CLOSED: An investment adviser, his firm and affiliates will pay $23.5 million to settle federal civil fraud charges in one of the earliest cases related to the financial crisis.

MISLEADING MANAGERS: The SEC announced the settlement with Thomas Priore and ICP Asset Management, and two affiliated firms. The SEC said they mislead investors in the management of complex, multibillion-dollar mortgage securities.

OFF THE CLIFF: Wall Street banks sold the pooled securities at the height of the housing boom. As homeowners started falling behind on their mortgages and defaulted in droves in 2007, buyers of the securities lost billions.