The Securities & Exchange Commission posted a notice Friday entitled, "Reserve Primary Fund Distributes Assets to Investors." It says, "The Reserve Primary Fund today completed distribution of $3.4 billion in assets to investors who held shares of the fund when its net asset value fell below $1 per share in September 2008. This distribution, which follows earlier distributions, represents the bulk of the fund's remaining assets. U.S. District Court Judge Paul Gardephe in Manhattan ordered the pro rata distribution last November at the request of the Securities and Exchange Commission." SEC Chairman Mary Schapiro says, "Today's distribution is the product of significant efforts by the SEC to get money back to investors as quickly and fairly as possible. The SEC will continue to seek the return of even more assets for investors in the coming months." The release continues, "With today's distribution, investors will have recovered more than 98 cents on the dollar.... On Sept. 15, 2008, the Reserve Primary Fund, which held $785 million in Lehman-issued securities, became illiquid when the fund was unable to meet investor requests for redemptions. The following day, the Reserve Fund declared it had 'broken the buck' because its net asset value had fallen below $1 per share. On May 5, 2009, the SEC filed fraud charges against entities and individuals who operate the Reserve Fund for failing to provide key material facts to, and affirmatively misleading, investors and trustees about the impact on the fund of the bankruptcy of Lehman Brothers Holdings, Inc. More significantly, in bringing the enforcement action, the SEC sought to expedite the distribution of the fund's remaining assets to investors by proposing a plan of liquidation.... Investors can find additional information relating to the Commission's action and the Court's orders on the Commission's Web site at http://www.sec.gov/spotlight/reserve_primary_fund_investors.htm. Investors also can find additional information on the Reserve's Web site at http://ther.com."

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