Merrill Lynch settlement with SEC worth up to US$7 billion

WASHINGTON - U.S. regulators said Friday that investors who bought risky auction-rate securities from Merrill Lynch & Co. (NYSE:MER) before the market for those bonds collapsed will be able to recover up to US$7 billion under a new agreement. The largest U.S. brokerage will buy back the securities from thousands of investors under a settlement with the U.S. Securities and Exchange... [read full story]