Morgan Stanley will pay $3.2 billion to settle federal and state charges that it misled investors in residential mortgage-backed securities that later soured during the financial crisis, the New York Attorney General's office said on Thursday. The case stems from an investigation by the Residential Mortgage-Backed Securities Group, a joint federal and state task force unveiled in 2012 by President Barack Obama that serves to investigate potential misconduct from the financial crisis. Read the original story from Reuters.