First Bank to Settle I.P.O. Suit - New York Times:
"J. P. Morgan Chase said yesterday that it would pay $425 million to settle its part of a class-action lawsuit that contends dozens of banks cheated investors out of hundreds of millions of dollars from initial public offerings during the 1990's market boom."
"The lawsuit against the banks contends that during the technology bubble, the banks awarded shares of hot initial offerings to favored clients in return for lucrative investment banking business. It also contends that the banks made deals with investors so that they would buy shares in the aftermarket to drive up prices artificially and created misleading research to lure investors into buying."