Lawsuit against NY bank settled

COLUMBIA, S.C. (AP) — The South Carolina treasurer’s office has settled a lawsuit against a bank it accused of losing $200 million in retirees’ money for $34 million, with $9 million going to the state’s attorneys.

A copy of the settlement was obtained Thursday by The Associated Press. It awards a 10-year contract to the Bank of New York and promises to give the bank and its affiliate as much business as possible for a decade. The treasurer’s office expects to get $2.6 million annually, as long as the bank manages at least $3 billion in state assets.

Treasurer Curtis Loftis wouldn’t discuss the details, other than saying it’s a good deal for the state, and he’s proud of it.

The state sued in January 2011, saying the bank’s investments violated the state’s contract.