Columbia Savings & Loan Association has filed a $ 6 million civil lawsuit against Michael Milken and other former Drexel Burnham Lambert officials . Milken , formerly head of Drexel 's junk bond operations , was sentenced last month to 10 years in prison for six felonies related to illegal trading practices , none involving junk bonds . The suit alleges that the thrift lost more than $ 2 billion on investments in junk bonds and seeks three times that amount under federal racketeering and antitrust laws . It accuses him and others of manipulating the junk bond market , accepting bribes , misappropriating valuable stock interests , and skimming profits .
Columbia Savings & Loan Association has filed a $6 billion civil lawsuit against Michael Milken and other former Drexel Burnham Lambert officials. Milken, formerly head of Drexel's junk bond operations, was sentenced last month to 10 years in prison for six felonies relating to illegal trading practices, none involving junk bonds. The suit alleges that the thrift lost more than $2 billion on investments in junk bonds and seeks three times that amount under federal racketeering and antitrust laws. It accuses Milken and others of manipulating the junk bond market, giving bribes, misappropriating valuable stock interests, and skimming profits.