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Mary Schapiro
SEC loses case against money-market founder
SEC loses case against money-market founder

UPDATE: In full ruling, SEC wins partial victory:  The federal government has lost another high-profile case resulting from the global financial crisis. A federal jury Monday cleared the managers of the Reserve Fund money-market fund of civil fraud charges, according to news reports. The Securities and Exchange Commission had accused Bruce Bent Sr., who created the first money-market fund and is a legend on Wall Street, and his son, Bruce Bent II, of deceiving investors about the riskiness of the fund. The jury found Bruce Bent II liable on one negligence claim. The SEC claimed a partial victory. “Today's verdict of liability sends the message that fund executives cannot...

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