On February 11, 2016, the State of New York and Morgan Stanley reached an agreement to settle claims that Morgan Stanley violated New York state law in connection with the packaging, marketing, underwriting, sale, structuring, arrangement, and issuance of residential mortgage-backed securities.
Under the Settlement Agreement, Morgan Stanley was required to (i) pay $150 million to the State of New York; and (ii) provide $400 million in consumer relief to remediate harms.
Under the Settlement Agreement, the Monitor was appointed to publicly: (i) report quarterly on Morgan Stanley’s progress towards completion of the consumer relief portion of the Settlement Agreement; (ii) report on credits earned by Morgan Stanley; and (iii) determine and certify Morgan Stanley’s compliance with the terms of the Settlement Agreement. The Monitor’s Final Report was issued on December 20, 2017.
To read more about the Monitor, please click here.
To read the Settlement Agreement, please click here.