SEC Says More INVESCO Charges Coming

July 8, 2004 ( - Federal regulators have revealed their intention to broaden their ongoing civil suit against INVESCO Funds Group alleging the company allowed certain investors to market time its funds.

In a court filing in the case now in US District Court in Denver, the US Securities and Exchange Commission (SEC) said it will file an amended suit that names additional defendants and makes additional allegations, Reuters reported. The filing did not disclose who the other parties were or the nature of their ties to INVESCO.

The SEC said it expects to have the new lawsuit ready by the end of the month in place of the original complaint filed in December (See  Prosecutors: Invesco Engaged in Massive Market Timing Scheme ).  Last month, Denver-based INVESCO asked for more time to help settle the lawsuit, saying it was cooperating with federal authorities.

New York State Attorney General Eliot Spitzer and his counterpart in Colorado, Ken Salazar, have also sued the fund group. Federal and state regulators have been pursuing a wide-ranging investigation of the fund industry focusing largely on market timing and late trading allegations.