Republic Mortgage Insurance Co. agreed to pay $650,000 to settle a proposed class action saying its profit sharing plan lost $1.3 million when its guaranteed interest account was liquidated amid a high interest rate environment.
The agreement is slated to benefit about 100 Republic Mortgage plan participants who invested in the account. It represents 50% of their potential recovery in the case, according to a Tuesday motion seeking preliminary approval for the deal.
The year-old lawsuit centers on a guaranteed interest account that held more than 44% of the Republic profit sharing plan’s assets and was intended to be a ...
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