A number of Pennsylvania organizations and schools will share $1.9 million as part of a nationwide bid-rigging case settlement.
According to state Attorney General Kathleen Kane, Union Bank of Switzerland (UBS) devised a scheme involving the marketing and sale of municipal derivative investments, often used by government agencies and non-profits to reinvest the proceeds of tax-exempt bonds until those funds are needed.
The scheme caused victims to pay higher fees and receive lower interest on their investments.
Multi-state settlements have been reached over the past year with five major institutions: Bank of America ($67 million), JPMorgan Chase ($92 million), Wachovia ($58.75 million), Union Bank of Switzerland ($90.8 million) and GE Funding Capital Market Services ($34.25 million).
The settlement with UBS includes several large payments including; $220,046.88 for Montgomery County and $202,369.86 for Lafayette College.
Others receiving large sums include: : $749,326.66 for Pennsylvania Housing Finance Agency, $145,490.41 for Children’s Hospital of Philadelphia, $138,457.75 for Gettysburg College, $82,855 for Carnegie Mellon University, $77,833.77 for Swarthmore College, nearly $55,000 for the Pennsylvania Turnpike Commission, $42,878.52 for Philadelphia University, $39,497.20 for the Pittsburgh Water and Sewer Authority, nearly $36,000 for the County of Butler, $18,027.28 for LaSalle University, $2,243.11 for Pennsylvania Higher Education Assistance Agency (PHEAA). Other payments range in size from $1,000 to more than $35,000.