Background: The Pinnacle Notes is one of those structured products (together with Minibonds) that blew up during the 2008 financial crisis.

If you are a Pinnacle Notes investor who purchased either series 1, 2, 3, 6, 7, 9 or 10 between the period of 1st Jan 2006 and 31st Dec 2010, you will be entitled to the compensation that are recovered during the class action suit settlement. This is applicable even if you had already received some partial compensation from other sources.

However, it is important that you file a notice of your claim by 02nd June 2015, otherwise you will receive no part of the settlement.

Please proceed to the Pinnacle Notes Settlement website to download the claim form and submit it duly.

For those who did not invest in Pinnacle Notes but know of someone who did, please help to spread the word!

To leave your comments, please go to : Action Required for Pinnacle Notes Investors

Kirby McInerney LLP has announced a settlement of US$20 million for their Pinnacle Notes litigation with Morgan Stanley.

As the case was a class action suit, retail investors in Singapore who bought the defaulted Pinnacle Notes series 1,2,3,6,7, 9 and 10 may be eligible for some compensation. This applies even to people who may have obtained some kind of earlier settlement with their financial institutional or through Fidrec.

Under the settlement, the average payment is estimated to be around 28% of the original capital invested, before fees and expenses are deducted.

But the actual amount each eligible investor eventually gets will depend on which Notes he bought, the amount of compensation previously paid from other sources and the amount of valid claims submitted.

It is expected for the compensation payments to start from the middle of next year.

If you have other questions or wish to obtain additional information, you may contact Kirby McInerney here:

http://pinnaclecase.com/contactus.asp

Edited : Added 1 more link below to settlement page:

http://www.pinnaclenotesettlement.com/

To leave your comments, please go to : Settlement for Pinnacle Notes Holders

For the foregoing reasons, Plaintiffs’ motion for class certification is GRANTED. Defendants’ motion to exclude the declarations of Plaintiffs’ experts is DENIED as moot with respect to the Kolchinsky Declaration and DENIED on the merits with respect to the Wolson Declaration. The Clerk of the Court is directed to terminate Docket Numbers 141 and 154.

You can read the entire court ruling here: Pinnacle Notes Court Decision

In practical terms, what this means is that if the lead plaintiffs win the case and recover money, then all Pinnacle Notes investors will receive compensation based on the amount of their individual loss, including those who have already got partial compensation through the Financial Industry Disputes Resolution Centre (FIDReC).

While the court case regarding the actual compensation has not been won yet, at least now there is a ray of hope for all the affected Pinnacle Notes investors.

To leave your comments, please go to : Good News for all Pinnacle Notes Holders

According to Hong Leong, the Pinnacle Notes were rigged to fail for Morgan Stanley’s own benefit. As a result of the failure of the Pinnacle notes, Hong Leong had to compensate customers for about US$30 million of losses. They had sold about US$70 million worth of the notes. The lawsuit aims to recover this compensation.

The lawsuit by Hong Leong comes after a group of investors has initiated a lawsuit against Morgan Stanley for similar reasons.

The lawsuit is interesting and has the potential to open up a big can of worms should Hong Leong win their case and are able to establish that their claims are valid. We could end up having more questions than answers. Questions like:

• Who can help the rest of the investors recover their money? In this case, it is just as well that a class action suit against Morgan Stanley on behalf of all investors is already in process. Otherwise, we could have a situation of Hong Leong winning their case but investors getting back nothing extra.
• Can a distributor be held liable by investors for breech of duty of care in not detecting a fraudulent product they are selling and if so, to what extent?
• Is a disclosure based regime really suitable for all products or should there be some form of screening of products being sold to the mass market?

To leave your comments, please go to : Hong Leong Finance Sues Morgan Stanley Over Pinnacle

Previously, a group of investors had sued Morgan Stanley for their role in arranging the Pinnacle notes, a product which failed during the 2008 financial crisis.

Morgan Stanley wanted the case to be heard in Singapore and had tried to appeal an earlier decision that said the case should be heard in the US.

The US Court of Appeal rejected Morgan Stanley’s appeal.

With this decision, the path is now clear for the investors to try to establish their case against Morgan Stanley.

Morgan Stanley Loses Appeal in Pinnacle Case (Business Times)

To leave your comments, please go to : Morgan Stanley Loses Pinnacle Appeal