SECURITIES

Morgan Stanley Ruling Reversed: West Virginia’s Supreme Court overturned a decision that would have forced Morgan Stanley & Co. to pay up to $60 million to the state for losses in speculative trades. In a 5-0 decision, the court said a lower-court judge ruled wrongly that the Wall Street investment bank violated state laws barring speculation. The court also sent the case back to Kanawha County for a trial, saying Morgan Stanley should have the opportunity to tell a jury why it is not responsible for the state’s investment losses in the late 1980s. Morgan Stanley was West Virginia’s financial adviser when the state lost $32 million trading U.S. Treasury bonds in 1987. With interest, the company owes $56 million, state officials say.