Stull, Stull & Brody Announces Investigation on Behalf of Participants and Beneficiaries of the MBIA Inc. 401(k) Plan

2009-11-16 19:18:02 -

Attorney Advertising. Stull, Stull & Brody announced today that it has commenced an investigation relating to the 401(k) defined contribution retirement plans of MBIA Inc. ("MBIA" or the "Company") (NYSE: MBI).

Among other things, Stull, Stull & Brody is investigating whether fiduciaries of the MBIA 401(k) plan may have violated the Employee Retirement Income Security Act of 1974 ("ERISA") by

failing to disclose the Company`s true operating condition to participants and beneficiaries of the plans (including disclosures relating to the facts that (i) the Company was risking literally billions of dollars on speculative, virtually-impossible to value Collateralized Debt Obligations (“CDOs”) and CDOs-squared special investment vehicles which were essentially packages of high risk, subprime mortgages; (ii) the Company lacked qualified management in its RMBS insurance evaluations; (iii) the Company had poor underwriting standards which required multiple revisions and caused the Company to lose billions of dollars and jeopardized the Company’s liquidity, ongoing viability, and ability to do business), by offering MBIA stock as an investment option under the plans when it was not prudent to do so, and/or by allowing an imprudent overconcentration of Company stock in the Company`s 401(k) plans.

If you held MBIA stock in an individual account under any of the Company`s 401(k) plans at any time since January 1, 2007 you may, if you wish, consult with a representative of Stull, Stull & Brody at no cost or obligation.

Stull, Stull & Brody has extensive experience in protecting the rights of 401(k) plan participants and beneficiaries and shareholders of public companies. Stull, Stull & Brody is presently representing classes of 401(k) plan participants in many class action cases throughout the country. Stull, Stull & Brody maintains offices in New York and Los Angeles.

Attorney Advertising. Prior Results Do Not Guarantee A Similar Outcome.

Stull, Stull & BrodyMichael J. Klein, Esq.Toll Free

Number: 1-800-337-4983Fax: 212-490-2022 mbia@ssbny.com : mailto:mbia@ssbny.com orMail:
Stull, Stull & Brody6 East 45th StreetNew York, NY 10017