AG Brown to sue major bank over alleged fraud

Jerry Brown (D)

OAKLAND, Calif. (Legal Newsline)--California Attorney General Jerry Brown today will announce a $200 million lawsuit over fraud the Democrat said a major bank perpetrated against two state pension funds.

In a statement, Brown said he will unveil a lawsuit against a major bank over its dealings with the state's CalPERS and CalSTRS retirement systems. They are two of the nation's largest pension funds.

The lawsuit will seek to recover nearly $200 million in overcharges and penalties, the statement said. Details of the lawsuit will be released at a 10 a.m. PDT press conference in Oakland.

California Public Employees' Retirement System had about $173 billion in assets as of Jan. 31. The California State Teachers Retirement System had $114 billion in assets.

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