Oppenheimer Funds, Inc. (“Oppenheimer”) is an investment firm that offers portfolio management and advisory services.

According to a press release dated February 25, 2009, the Complaint charges Oppenheimer, the Fund and certain of its Trustees with violations of the Securities Act of 1933. The suit claims Oppenheimer, which runs the Fund, misled investors about the risks of investing in the Fund, resulting in an over 30% decline in the Fund's value. The lawsuit identifies the following funds as affected: A Shares (RMUNX), B Shares (RMUBX) and C Shares (RMUCX).

The Complaint alleges that the Registration Statements through which shares of the Fund were sold failed to disclose that under certain circumstances Trusts which contain Inverse Floaters, such as those employed by the Fund, may be put to the Fund for repayment of principal. This caused the Trusts to be collapsed and required the Fund to repay the principal amount of the tendered securities. In order to do so, the Fund was forced to sell securities from its portfolio regardless of market conditions and accept prices far below the values at which the bonds were carried on its books.

This risk factor was always present wherever inverse floaters were employed. However, no disclosure was made in any of the Prospectuses filed as part of Registration Statements with respect to the sale of the Fund's shares. Because of this lack of disclosure, the Fund's shares traded at artificially inflated prices during the Class Period.

On October 21, 2008, Rochester filed a Prospectus Supplement which disclosed the relevant risks associated with the Fund's investment in Inverse Floaters. As of October 21, 2008, the Fund's shares traded at $12.35 per share, down from $18.00 per share at the beginning of the year.

On June 17, 2009, by Transfer Order from Judicial Panel on Multidistrict Litigation, this action and many others were transferred to the District of Colorado, MDL 2063, In Re: Oppenheimer Rochester Funds Group Securities Litigation.

On November 18, 2009, the Court approved the motion to appoint Stuart and Carole Krosser as lead Plaintiff in the Rochester Fund Municipals class actions, and approved their selection of Cohen Milstein as lead Counsel for the Rochester Fund Municipals class.

On January 15, 2010, an Amended Class Action Complaint was filed in Master Docket No. 09-md-02063-JLK-KMT (MDL Docket No. 2063), In Re: Oppenheimer Rochester Funds Group Securities Litigation, in relation to In re Rochester Fund Municipals. The Complaint adds violation of Section 13(a) of the Investment Company Act of 1940, in addition to violations of Securities Act of 1933.

The Defendants filed a motion to dismiss on April 5, 2010. According to the Order entered on October 24, 2011 by Judge John L. Kane, the Defendants' 285 Joint Motion to Dismiss the Consolidated Complaints in the Rochester Funds Group Securities Litigation is granted with respect to Plaintiffs' claims under Section 13(a) of the Investment Company Act and denied in all other respects. Defendant MassMutual's 284 Motion to Dismiss is also denied.

On January 18, 2012, the MDL Court issued an order on pending motions for reconsideration. The Court granted the motion of certain Defendants and denied the motion of a certain Defendant. Two days later, the Court issued an Amended Opinion and Order on Motions to Dismiss, which reflected the Court's holdings from the January 18 Order.

The parties entered into a Stipulation and Agreement of Settlement on July 10, 2017. The Court entered preliminary approval of the Settlement on July 11. On November 6, the Court granted final approval of the Settlement and entered Final Judgment. On October 3, 2018, the Court issued an Order for Distribution of the net Settlement fund.