VOL. 123 | NO. 231 | Tuesday, November 25, 2008
McCarver Files Claim Against Morgan Keegan
By Andy Meek
Memphis native and sports broadcaster Tim McCarver is calling a foul against Memphis-based Morgan Keegan & Co. Inc.
McCarver, once a catcher for the St. Louis Cardinals and the namesake of the former Tim McCarver Stadium in Memphis, has filed an arbitration claim against Morgan Keegan, asking for more than $1.25 million in damages.
McCarver claims he lost money when his investments were placed in several Regions Morgan Keegan mutual funds that lost the majority of their value during 2007. The losses in those funds have spawned a wave of securities litigation and arbitration claims, and an array of regulators is looking into the causes of the funds’ meltdown.
Morgan Keegan did not respond for comment by press time.
New York-based Hyperion Brookfield Asset Management took over management of the funds from Morgan Keegan this summer.
“We obviously think he was terribly ripped off, or we wouldn’t have brought the case,” said McCarver’s attorney, Dale Ledbetter.
McCarver moved to Sarasota, Fla., in 2000, and sometime after that is when he sold his RMK holdings. That transaction, according to the arbitration McCarver filed with the Financial Industry Regulatory Authority, resulted in “substantial losses to McCarver.”
“McCarver as a native Memphian was comfortable with Morgan Keegan in part because the firm was headquartered in Memphis,” the claim reads. “McCarver met several Morgan Keegan employees and agreed to have Morgan Keegan handle the bulk of his investments.
“... After McCarver was divorced and as he got older, there was an even greater need for his investments to be conservatively oriented. This was not done.”
When asked about the McCarver case by the New York Post earlier this week, Morgan Keegan said four of eight arbitration cases related to the RMK funds have been dismissed.