Morgan Stanley is being sued by a group of Singaporean investors for and on behalf of all those who had lost money in the rigged synthetic collateralized debt obligation instruments pushed by the bank.

Amongst those filing suit would be the Singapore Government Staff Credit Cooperative Society and other individuals who filed a class action suit for the CDOs in the period covered August 1, 2006 until December 31, 2007. 

These investors purchased Morgan Stanley's Pinnacle Notes and lost about US$154.7 million in the reinvestment made by the bank to CDOs tied to mortgage fiems Fannie Mae, Freddie Mac, Washington Mutual and Lehman Brothers Holdings Inc. The plaintiffs claim that while they lost on the CDOs, the bank was able to profit through a swap set up. 

The suit was first filed by these same investors last October 2010 alleging fraud by the bank, negligent misrepresentation and other damage claims.