SEATTLE, April 16, 2009 (GLOBE NEWSWIRE) -- Hagens Berman Sobol Shapiro is investigating OppenheimerFunds, Inc. and OppenheimerFunds Distributor, Inc. for alleged violations of federal securities laws and breaches of their fiduciary duty to investors on behalf of investors in the Core Bond Fund (Nasdaq:OPBCX) (Nasdaq:OIGBX) (Nasdaq:OPBYX) (Nasdaq:OPBNX) and (Nasdaq:OPIGX). Hagens Berman is investigating whether officers and directors of the Core Bond Fund misled investors about the safety of the fund and whether they failed to adequately warn investors when the fund took extreme risks in violation of the Fund's stated investment policy.
The Oppenheimer Core Bond Fund was recommended as a low-risk, conservative bond fund that invested mainly in high-quality corporate bonds. It is alleged that by late 2008, the fund became more like a hedge fund taking extreme risks including selling risky credit default swaps and other high-risk derivative investments to Wall Street firms.
In the fiscal year ending 2008, the Core Bond Fund suffered losses of more than 35 percent of its value and continued to fall another 10 percent in the first three months of 2009.
Hagens Berman is experienced in similar cases and recently petitioned the court to serve as lead counsel in a case against OppenheimerFunds regarding its Champion Income Fund. The Oppenheimer Champion income fund lost more than 80 percent of its value, dropping almost $2 billion over the course of 15 months as a result of similar risky investments and deviations from the stated fund investment policy.
If you are aware of facts relating to this investigation, or purchased shares of Oppenheimer's Core Bond Fund you can contact attorneys at oppenheimer@hbsslaw.com.
You can contact Hagens Berman and learn more about this investigation at www.hbsslawsecurities.com/corebondfund.
Hagens Berman Sobol Shapiro has extensive experience in class-action cases involving financial wrongdoing. Hagens Berman has offices in Seattle, San Francisco, Los Angeles, Boston, Chicago, Phoenix and New York and is active in major litigation pending in federal and state courts throughout the United States. Hagens Berman leads many important actions on behalf of investors, consumers, and companies, as well as victims of human rights violations. The Hagens Berman Web site (http://www.hbsslawsecurities.com) has more information about the firm.