Janus Capital Group, which lost billions of dollars in assets in the wake of the mutual trading scandal, said yesterday it faces more law suits about market timing. In documents filed with the Securities and Exchange Commission on Thursday, the Denver-based company said the Attorney General’s Office in West Virginia recently filed civil charges relating to market timing against it and other mutual fund companies.
The company also said it faces another law suit in the state of Kansas related to market timing. Janus was one of several large mutual fund companies caught up in an industry-wide investigation. In its earnings report, which was released on Wednesday, Janus said its provision for the mutual fund investigation for the first quarter represents an insurance recovery of $6.0 million related to expenses incurred earlier. It also said additional expenses related to these issues may be recoverable from Janus’ insurance carriers, but the company is unable to assess the outcome of these claims at this time.