FRANKFORT, Ky. (AP) -- The Kentucky Department of Financial Institutions says checks from the recent Morgan Keegan settlement will be mailed Monday to investors who filed an approved claim.
The fund administrator, A.B. Data, will issue 1,930 checks totaling $4.6 million to Kentucky investors. Investors in Mississippi, Alabama, South Carolina and Tennessee are also involved in the settlement.
The settlement resulted from an investigation of seven bond funds sold by Morgan Keegan to more than 30,000 investors. The department says the funds lost approximately $1.5 billion from Jan. 1, 2007, to March 31, 2008.
The Securities and Exchange Commission and the five states required Morgan Keegan and Morgan Asset Management to pay a total of $200 million to establish an SEC Fair Fund and a States' Fund, both to be paid to investors.