Jefferies Sues Bank Over Alleged Water Machine Investment Scam

Imagine a company that said it had lots of water vending machines, and sold bonds to investors to get money.

A company called Jefferies invested in these bonds.

But it turned out the machines might not have existed, and the company was using the money in a "Ponzi scheme," paying old investors with money from new investors.

Jefferies is now suing a bank, saying the bank knew about the fake machines and helped the company pay back its loans first.

The bank says it was also tricked and is fighting back.

Jefferies previously sued their former manager who made the investment, who denies the claims.