James Brown's Estate Sues Morgan Stanley
NY Times via Yahoo:
A dispute over the estate of the legendary soul singer James Brown has reached a bitter new pitch -- on Wall Street.
The estate's guardians are accusing Morgan Stanley, the investment bank, of failing to prevent the estate's previous manager, David G. Cannon, from draining millions of dollars held for Mr. Brown at the bank.
The money, which was to be used to finance Mr. Brown's lavish personal lifestyle, came from the 1999 sale of $26 million of "Pullman bonds" that were tied to Mr. Brown's future royalty income.
The Brown estate's guardians have already sued Mr. Cannon and two other former business managers, contending that the three men defrauded Mr. Brown, the "Godfather of Soul," over many years. On Monday the guardians, who are court-appointed trustees, filed a separate civil lawsuit against Morgan Stanley in Federal District Court in South Carolina. Both lawsuits seek to recover the lost money as well as damages.