The city of Providence, Rhode Island, has sued dozens of exchanges, brokerages and traders— including Bank of America Corp and the New York Stock Exchange—over high-frequency trading, claiming they rigged the securities markets to divert billions of dollars away from buyers and sellers of shares, Bloomberg reports.
The complaint, filed on Friday in federal court in Manhatta on behalf of city investment funds that have traded stocks since April 18, 2009, claims that the defendants defrauded the city, which manages funds on behalf of both current and retired city employees, by manipulating market data to favor high-frequency traders, according to the Associated Press.
