Former Morgan Keegan Directors Settle Valuation Case

July 02, 2013

The U.S. Securities and Exchange Commission issued a cease and desist order on June 13, 2013 (the “Order”) against former members of the boards of directors (the “RMK Directors” or the “RMK Boards”) of five Regions Morgan Keegan registered investment companies (the “RMK Funds”) that were invested in securities backed by subprime mortgages. The Order represents a settlement of administrative proceedings that had been initiated against the RMK Directors on December 10, 2012, alleging that the RMK Directors had violated their responsibilities to fair value portfolio securities for which market quotations were not readily available (the “Complaint”). The Order directs the RMK Directors to cease and desist from committing or causing any future violations of Rule 38a-1 under the Investment Company Act of 1940, as amended (the “1940 Act”).

Read "Former Morgan Keegan Directors Settle Valuation Case."