This Settlement Agreement (“Agreement”) is inserted to your between your Us, pretending through the You Department of Fairness (“Department off Justice”), and you will Morgan Stanley. “
An effective. The Department out of Justice presented analysis of your packing, sale, income, structuring, arrangement, and you may issuance out-of certain domestic home loan-backed ties (“RMBS”) by the Morgan Stanley ranging from 2005 and you may 2007. Centered on people research, the united states believes that there surely is a keen evidentiary basis to sacrifice potential judge claims by the Us against Morgan Stanley to have abuses out-of federal guidelines regarding the this new packaging, marketing, profit, structuring, plan, and you can issuance of these RMBS.
B. Morgan Stanley recognizes the facts lay out on Statement out of affairs established in Annex 1, attached and you can hereby included.
C. The condition of Ny is entering into a contract with Morgan Stanley to answer equivalent states the state has up against Morgan Stanley getting citation out of condition statutes to the this type of RMBS.
A beneficial. In this ten (15) working days regarding searching composed payment control advice regarding the Department regarding Justice, Morgan Stanley should afford the Settlement Matter by electronic financing import towards Department away from Justice.
Safeguarded Conduct
B. This new totality of the Payment Count is actually a civil monetary punishment recovered pursuant to your loan providers Reform, Healing, and you may Enforcement Act (“FIRREA”), 12 U.S.C. 1833a.
Morgan Stanley should pay an entire quantity of one or two billion, six-hundred billion cash ($2,600,000,000) to resolve pending and you may possible courtroom states since the established herein in connection with the fresh new production, pooling, structuring, planning, creation, packaging, revenue, underwriting, business, or issuance away from RMBS by Morgan Stanley (“‘Settlement Number”)
2. . “” as used herein is defined as, prior to , the creation, pooling, structuring, arranging, formation, packaging, marketing, underwriting, sale, or issuance of the RMBS identified in Annex 2 by Morgan Stanley and its current or former subsidiaries and affiliates, including but not limited to Morgan Stanley & Co., Inc., Morgan Stanley Credit Corporation, Morgan Stanley Mortgage Capital Holding LLC, Morgan Stanley ABS Capital I, Inc., Morgan Stanley Capital I, Inc., Saxon Asset Securities Company and Saxon Mortgage Services, inc. The includes representations, disclosures, or non-disclosures to RMBS investors made about or in connection with the activities set forth above, where the representation or non-disclosure involves information about or obtained during the process of originating, acquiring, securitizing, underwriting, or servicing residential mortgage loans included in the RMBS identified in Annex 2. The does not include: (i) conduct relating to the origination of residential mortgages, except representations or non-disclosures to investors in the RMBS listed in Annex 2 about origination of, or about information obtained in the course of originating, such loans; (ii) representations or non-disclosures made in connection with collateralized debt obligations, other derivative securities, or the secondary trading by Morgan Stanley of RMBS, except to the extent that the representations or non-disclosures are related to the offering materials for the underlying RMBS listed in Annex 2; and (iii) the servicing of residential mortgage loans, except representations or non-disclosures to investors in the RMBS listed in Annex 2 about servicing, or information obtained in the course of servicing, such loans.
3. Cooperation. Until the date upon which all investigations and any prosecution arising out of the arc concluded by the Department of Justice, whether or not they are concluded within the term of this Agreement, Morgan Stanley shall, subject to applicable laws or regulations: (a) cooperate fully with the Department of Justice (including the Federal Bureau of Investigation) and any other law enforcement agency designated by the Department of Justice regarding matters arising out of the ; (b) assist the Department of Justice in any investigation or prosecution arising out of the by providing logistical and technical support for any meeting, interview, deposition or other sworn testimony, grand jury proceeding, or any trial or other court proceeding; (e) use its best efforts to secure the attendance and truthful statements or testimony of any officer, director, agent, or employee of any of the entities released in Paragraph 4 at any meeting or interview, deposition or other sworn testimony, or before the grand jury or at any trial or other court proceeding regarding matters arising out of the : and (d) provide the Department of Justice, upon request, all non-privileged information, documents, records, or other tangible evidence regarding matters arising out of the about which the Department of Justice or any designated law enforcement agency inquires check this site out.
