Investment Suit Names UnionBanCal, Law Firm

UnionBanCal Corp. and a California law firm face a suit claiming they conspired to conceal information from U.S. authorities investigating Reed Slatkin, the bankrupt investment manager who is under criminal investigation for alleged investment fraud.

The lawsuit, filed in Los Angeles County Superior Court on behalf of Los Angeles investor Harry Rockoff, claims that the No. 2 California-based bank and Slatkin’s attorneys at Bryan Cave “conspired with Slatkin to facilitate the [investment] scheme” and obstruct an investigation by the Securities and Exchange Commission.

The suit, which seeks class-action status, said the bank aided Slatkin’s alleged Ponzi scheme by allowing him to commingle investor funds and extending him credit.

Officials at San Francisco-based UnionBanCal and Bryan Cave weren’t available to comment.

UnionBanCal shares rose 11 cents to 38.48 on the NYSE.

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Staff and Wire Reports