Yes, Oppenheimer. YES.
Oppenheimer & Co.'s Canadian parent said it may seek money from the U.S. government's financial- bailout programs to repay brokerage customers facing losses on frozen auction-rate securities.
Oppenheimer Holdings Inc., based in Toronto, asked shareholders to approve an incorporation switch to Delaware, which would make the firm more likely to qualify for the rescue funds, according to a March 13 proxy statement. Money from the Treasury's Troubled Asset Relief Program "could assist us" in repurchasing securities from clients trapped when the $330 billion auction-rate market seized up, the company said in the filing.
"It takes your breath away," Anthony Sanders, a finance professor at Arizona State University, said in an interview. "We're going to ask taxpayers, the people who got hurt by these securities, to pay for buying them back."