SECURITIES

SEC, 3 Brokerages Reportedly Discuss Fraud Settlement: The Securities and Exchange Commission is discussing a settlement with three U.S. firms that would require them to pay about $100 million in restitution in cases involving sales of limited partnerships, attorneys involved in the case said. A settlement with Merrill Lynch & Co., Lehman Bros. Holding Inc. and Dean Witter Reynolds Inc. could be reached in the next several months, attorneys said. News of the negotiations comes a week after PaineWebber agreed to pay $332.5 million to settle charges by the SEC, state regulators and customers arising from sales of limited partnerships. Representatives from all parties either declined or were unavailable for comment.