Forex Fraud Alleged By Arkansas Pension Fund
The Wall Street journal has reported that the Arkansas teacher Retirement System has filed suit against the State Street Corporation alleging that it overcharged the pension fund in foreign exchange (Forex) currency transactions. The Arkansas Teacher Retirement System is a defined benefit pension plan that oversees roughly $11 billion in assets for over 115,000 employees and 343 employers. State Street is reportedly the custodian for over 40% of the public pension funds in the U.S. and has some $4.4 trillion in pension assets under custody worldwide.
The article by Jeannette Neumann says that this action is the latest among many filed against State Street and BNY Mellon alleging Forex gouging. State Street allegedly charged customers inflated rates when buying foreign currency and credited the customer lower rates when selling foreign currency, pocketing the difference. The result according to the pleadings is a $500 million profit for State Street annually and nearly half of its Forex profits over the last ten years.
If your pension fund has been subjected to Forex gouging, please contact our securities law firm for a confidential, no obligation consultation at 1-800-259-9010.