Federal lawsuits against companies in 2008 are set to beat historical averages as investors look to recoup losses stemming from the global financial crisis. RiskMetrics, the proxy advisory firm, reveals in a blog today that during September, investors in 26 companies filed new lawsuits, compared to 20 in the same month last year.
It says the pace picked up after US authorities nationalized Fannie Mae and Freddie Mac on September 7. 'The next day, investors sued Fannie Mae and its officers, alleging that they made materially false and misleading statements about the firm’s business and prospects and misrepresented the company’s financial statements,' reports the blog. September filings also stem from the collapse of Lehman Brothers two weeks ago, it adds.