By: Patrick Allen
CNBC Senior News Editor
A group of nuns from Ireland are suing Morgan Stanley, alleging improper actions by the investment bank that led them to lose at least 5 million euros ($6.4 million), about 80 percent of their total investment, a filing by Stuarts Law showed.
The claim, titled "The Sisters of Jesus and Mary versus Morgan Stanley", is related to bond investments linked to Dresdner Bank debt.
The filing claims Morgan Stanley’s [MS 25.90 -0.22 (-0.84%) ] Special Purpose Vehicle (SPV) Saturn's Investment Europe "deliberately or carelessly failed to redeem the notes" following their downgrading in January 2009.
According to the filing, The Sisters of Charity of Jesus and Mary claim the SPV then waited until the price of the bond had risen in June 2009 to redeem the note and securing "Morgan Stanley a profit of at least $11.2 million … by way of a termination of payment."
The nuns are seeking damages of 15 million euros. Morgan Stanley declined to comment on the case.
Next Week's Headline:
Convent Foreclosed. Gunned Down Nuns happily meet their Savior.
The Street reacts as Goldman stock soars.
Unfortunately, we live in a world and a society that practically every aspect of which is full of corruption, and at the risk of giving satisfaction to the radical Islamics, could easily be construed as a 'culture of corruption'
I am certain that even if you were to scrutinize your own life closely enough you may easily find something corrupt within it as well.
As Jesus once said: 'Let he who is without sin cast the first stone.'
So what will you do?
Pull out of the society and leave the planet as well?
That said, you sound bit corrupt yourself (hypocrite) when you say....
>>>I like the stock, but not the culture of corruption<<<
Furthermore, any company that makes a charitable donation of £10m for the construction of a childrens hospital in the UK can't be all bad can they?
In fact, the truth is that they donated a total of $60,000,000.00 in 2007 alone: http://www.morganstanley.com/globalcitizen/community/communityaffairs_US.html
Technically speaking all companies lack ethics, it is simply in the nature of doing business (and trading stocks).
There are the cheaters..... And the cheated.
Those nuns should have been investing that cash in orphanages or printing bibles, or building hospitals in Africa maybe instead of financial instruments sold by MS or any other IB. If you cannot see the evil of nuns investing money they likely collected for charitable deeds then that is YOUR problem. Investing is a lot like gambling and that is NOT what so called religious people should be doing with the cash they collect. They got greedy and figured they could double their cash in 10 or 20 years or whatever. Of course the Catholic church has been guilty of this type of capitalism for a great many centuries and look where it has gotten them.....
Churches are relatively empty, Catholics in general have been alienated, and their priests are in the headlines for sexually abusing young boys practically everyday.
I wouldn't be surprised if MS were doing more charitable work than the church these days:
'Investment bank Morgan Stanley has today made a charitable donation of £10m to the Great Ormond Street Hospital for children (GOSH).
The donation, believed to be the biggest ever single charity donation made by a company in the UK, is earmarked for the construction of a clinical building within a new children's medical centre at Great Ormond Street Hospital'
Morgan Stanley Reaches Out to Underprivileged Kids in Singapore
Those nuns got exactly what God wanted them to get.
And so will you.....
Princess, U are the armpit of our countries "failure"
The Irish Nuns represent goos will and sharing of the "wealth" Morgan Stanley represents, scum and destruction for (ones) own wealth.
when morgan comes clean and gives the sister of ireland their money back !! Is when U might see this stock raise again.
>>>taking advantage of the church is WRONG<<<
Who do you suppose those nuns took advantage of to acquire that kind of wealth and just how 'WRONG' do you suppose that might have been?
Seems to me they got what God wanted.
....And so will you.