SEC accuses Reserve Management, top execs of fraud

New York-based Reserve Management said it "intends to defend itself vigorously" against the SEC's allegations. "We are hopeful that this matter can be resolved quickly," Bruce Bent Sr. said.

The $60-billion Primary Fund "broke the buck" when the value of its assets fell to 97 cents per investor dollar put in -- below the dollar-for-dollar level needed to fully repay investors. The company has said it now expects investors could receive an estimated 91.7 cents for every dollar they put in to the fund.

The SEC is seeking unspecified civil fines and restitution from Reserve Management and the two executives. The SEC said it also was attempting to expedite the distribution of the Primary Fund's remaining assets to investors.