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Edward Jones settles nine lawsuits for $127 million

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By AP/KWMU

St. Louis, MO. – Edward Jones would spend $127 million under a proposed settlement of nine class action lawsuits for questionable revenue-sharing practices.

The St. Louis financial services firm announced the settlement Thursday, but it's still awaiting a judge's approval.

The Securities and Exchange Commission accused the company of failing to disclose a revenue-sharing deal with preferred mutual fund companies to customers in 2004.

The class action settlement would return $55 million in cash to customers and attorneys. Another $73 million would be delivered to current customers in non-cash vouchers over the next three years.

In 2004, Edward Jones struck a separate deal in the matter with U-S attorneys to return another $75 million to customers and avoid criminal charges.

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