Pension fund sues 22 banks over Treasuries

New York

TWENTY-two financial companies that have served as primary dealers of US Treasury securities were sued in federal court on Thursday, in what was described as the first nationwide class action alleging a conspiracy to manipulate Treasury auctions that harmed both investors and borrowers.

The State-Boston Retirement System, the pension fund for Boston public employees, accused Bank of America Corp's Merrill Lynch unit, Citigroup Inc, Credit Suisse Group AG, Deutsche Bank, Goldman Sachs Group Inc, HSBC Holdings plc, JPMorgan Chase & Co, UBS Group AG and 14 other defendants of illegally trying to profit on the sale of Treasury bills, notes and bonds at investors' expense.