Alberto Thomas provided expert witness testimony supported by Fideres in The Sisters of Jesus and Mary v. Morgan Stanley (Case No. 2010/960) in the English courts, with the claimants represented by Stewarts, analyzing alleged misrepresentations by Morgan Stanley during the marketing of hybrid structured euro constant maturity swap notes to Irish investors.

Fideres conducted detailed analysis of Morgan Stanley’s failure to redeem €5.88 million worth of structured notes when the underlying Dresdner bond collateral was downgraded in January 2009, triggering mandatory redemption provisions. The expert examination focused on the defendants’ decision to delay redemption until June 2009, during which time the claimants lost a significant proportion of their investment while Morgan Stanley secured substantial profits.

The expert testimony, supported by Fideres’ comprehensive review of the structured product terms and redemption mechanisms, demonstrated how the defendants’ conduct regarding the mandatory redemption requirements contributed to investor losses. The case ultimately resulted in a substantial settlement for the diverse collection of institutional investors, including religious orders and charities, who had been attracted to the notes’ promised 6.25% returns.