California sues bank, alleging fraud against state's 2 largest pension funds

The L.A. Times reports:

California sued State Street Bank and Trust today for allegedly committing "unconscionable fraud" against the state's two largest public pension funds, and seeks more than $200 million in overcharges and penalties.

Atty. Gen. Jerry Brown contends that the Boston investment banking firm overcharged the California Public Employees Retirement System and the California State Teachers Retirement System by about $50 million for the costs of carrying out foreign currency trades since 2001.

Expect more suits like this from other Attorney Generals around the country.