Updates to our Terms of Use

We are updating our Terms of Use. Please carefully review the updated Terms before proceeding to our website.

Tuesday, July 23, 2024 | Back issues
Courthouse News Service Courthouse News Service

Oppenheimer Faces Mismanagement Claim

PORTLAND, Ore. (CN) - OppenheimerFunds mismanaged and misrepresented its Oppenheimer Core Bond Fund, which is part of the Oregon College Savings Plan, causing the plan's value to plummet more than $36 million, according to a lawsuit filed by Oregon Attorney General John Kroger.

After a three-month investigation, Kroger says he learned that OppenheimerFunds misrepresented high-risk hedge-fund investments as suitable for investors with a one- to three-year horizon before drawing on their savings.

Oregon is the first state to take legal action against Colorado-based OppenheimerFunds Inc., manager of the Oppenheimer Core Bond Fund.

Illinois, Texas and Maine all had more than 30 percent of their 529 assets invested in the Core Bond Fund and are considering legal action against the company.

Kroger filed suit in Marion County Court.

Categories / Uncategorized

Subscribe to Closing Arguments

Sign up for new weekly newsletter Closing Arguments to get the latest about ongoing trials, major litigation and hot cases and rulings in courthouses around the U.S. and the world.

Loading...