Oppenheimer Rochester National Municipals Fund (NASDAQ: ORNAX - News) (NASDAQ: ORNBX - News) (NASDAQ: ORNCX - News) this Fund violated sections of the Securities Act of 1933, which prohibits materially false and misleading statements in registration statements and prospectuses of the kind used to sell shares. The Fund concealed various risks in the way the Fund’s investments, including, risks associated with the Fund’s use of derivatives called “inverse floaters” and the Fund’s over concentration of investments in illiquid securities in violation of its cap of 15% in such securities by investing an inordinate amount of its portfolio in illiquid tobacco bonds and ordinary municipal bonds/notes that could turn illiquid quickly.

According to the Fund’s own registration statement and prospectuses, the Fund would not invest more than 15% of its assets in illiquid securities. Illiquid securities are securities that do not trade in any active market and are riskier because the Fund may not be able to sell the securities at the desired price. The Fund invested 25% of its holdings in illiquid tobacco bonds. In addition, the Fund failed to disclose that as much as 20% of its assets were invested in derivative instruments known as “inverse floaters” which, under certain conditions, and effectively forced the Fund to sell securities from its portfolio regardless of market conditions. In or around October 2008, the Fund filed a prospectus supplement alerting investors of the true risks of its investments - the same risks that existed in 2006, 2007, and throughout 2008. By October 2008, however, those risks had already manifested, dealing substantial losses to investors.

As a result of the Funds disclosures in October 2008, the Fund lost approximately 40% of its net asset value. The Fund was named “The Biggest Loser in its Category last year” by Fund analyst Morningstar, Inc., after losing 49% percent of its value in 2008 due to, among other reasons, its investment in tobacco bonds. If you purchased this investment contact Lars Soreide of the Soreide Law Group today to discuss your claim. 888-760-6552