Mass. To Get $2 Million In Bank Settlement

BOSTON (AP) - Massachusetts is to receive about $2 million of a $211-million settlement that JPMorgan Chase & Co. has agreed to pay after admitting one of its divisions rigged dozens of bidding competitions to win business from state and local governments.

The state Attorney General's office says widespread price-fixing and bid-rigging deals allowed the bank to see competitors' offers to municipalities and nonprofits investing money raised from bond offerings.

Banks compete for municipalities' business by submitting the best yield they can offer.

Authorities say the alleged bid-rigging deprived governments of a true competitive process that would produce the best returns on their investments.

JPMorgan Chase agreed to pay $92 million to local governments and nonprofits in 24 states to repay for the artificially low rates of return or high rates of interest the investors paid.

(Copyright 2011 by The Associated Press. All Rights Reserved.)