Va, Fla sue NY bank over pension funds

AP News
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Posted: Aug 11, 2011 6:39 PM
Va, Fla sue NY bank over pension funds

Virginia and Florida are suing the Bank of New York Mellon over the institution's handling of both states' pension funds.

The Virginia lawsuit filed Thursday seeks $120 million in damages. It also seeks $811.6 million in civil penalties.

Florida also is seeking damages and civil penalties.

The Bank of New York Mellon holds about $54 billion in funds for the Virginia Retirement System. Florida's system is worth some $120 billion.

Both lawsuits accuse the bank of overcharging those pension funds on foreign currency transactions.

The bank said in a statement that the lawsuits are unwarranted, and that the defendants will fight the claims in court.