Banc One Investment Advisors Corporation
On August 13, 2007, the SEC announced the distribution of approximately $55.6 million in Fair Funds to more than 200,000 investors who were harmed by fraudulent market timing in certain Banc One Investment Advisors Corporation mutual funds (One Group Mutual Funds). The Fair Fund Administrator responsible for distribution is Boston Financial Data Services, Inc. (BFDS). Questions from investors regarding the distribution may be directed to BFDS at (800) 261-0282. Information about the distribution can also be obtained at the BOIA website.
SEC Action and Distribution Plan
On June 29, 2004, the SEC instituted and settled administrative and cease-and-desist proceedings against Banc One Investment Advisors Corporation (BOIA). The SEC alleged, among other things, that BOIA improperly allowed market timing in its One Group Mutual Funds, a Bank One sponsored mutual fund complex, failed to charge required redemption fees in One Groupís international funds, and improperly released confidential portfolio holdings. As part of the settlement, BOIA has paid $10 million in disgorgement of ill-gotten gains and $40 million in civil penalties into an interest-bearing escrow account for distribution to defrauded shareholders.
For more information on the SEC's action, you can read In the Matter of Banc One Investment Advisors Corporation and Mark A. Beeson at IA-2254 (June 29, 2004).
Under the terms of the SEC's Order, an Independent Distribution Consultant must submit to the SEC a Distribution Plan for the distribution of the Fair Fund containing $50 million to investors. The IDC submitted a proposed plan of distribution that was published for public comment on August 7, 2006. The SEC received and considered public comments on the plan. The IDC then proposed a Modified Distribution Plan for SEC review, which was approved by the SEC on May 9, 2007.