The SEC is looking into whether fund firms are doing all they can do to collect settlements from class actions lawsuits. Lori Richards, director of the SEC's Office of Compliance Inspections and Examinations, confirmed the investigation in an interview with Reuters.

The issue of whether funds had done enough to collect on settlements came to the fore after two class action specialists -- Baron & Budd, of Dallas, and Cauley Bowman Carney & Williams, of Little Rock, Arkansas -- filed suits naming a number of prominent funds. One of those suits has since been dismissed.

Richards told the news service that the SEC is mainly focused on processes funds use to evaluate settlements. She expects the probe to be done in the next month or so.  

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