Chitwood Harley Harnes LLP to File Class Action Suit Concerning Certain Mutual Funds Offered by Morgan Keegan Select Fund Inc. a

  
    
  
  
    
      Chitwood Harley Harnes LLP (http://www.chitwoodlaw.com) 
      today announced the filing of a class action in the United States 
      District Court for the Western District of Tennessee on behalf of all 
      persons who, during the period of December 6, 2004 through November 7, 
      2007, purchased or otherwise acquired the shares of certain mutual funds 
      offered by Morgan Keegan Select Fund Inc. (“MK 
      Select”), including the Regions Morgan Keegan 
      Select High Income Fund (the “High Income Fund”) 
      (Class A:MKHIX; Class C:RHICX; Class I:RHIIX), the Regions Morgan Keegan 
      Select Intermediate Bond Fund (the “Intermediate 
      Fund”) (Class A:MKIBX; Class C:RIBCX; Class 
      I:RIBIX) and the Regions Morgan Keegan Select Short Term Bond Fund (the “Short 
      Term Fund”) (Class A:MSBIX; Class C:RSTCX; 
      Class I:MSTBX) (collectively the “Select Funds”), 
      or shares of the RMK Multi-Sector High Income Fund, Inc. (the “RHY 
      Fund”) (RHY) (the Select Funds and the RHY 
      Fund are collectively referred to as the “Funds”), 
      pursuant and/or traceable to MK Select’s and 
      the RHY Fund’s false and misleading 
      Registration Statements and Prospectuses.
    
    
      A copy of the Complaint will be available on our website, www.chitwoodlaw.com. 
      The filing of the first class action complaint related to this matter 
      was announced on December 6, 2007. If you wish to serve as lead 
      plaintiff, you must move the Court no later than this Monday, 
      February 4, 2008 (or 60 days from December 6, 2007). If you wish to 
      discuss this action or have any questions concerning this notice or your 
      rights or interests, please immediately contact plaintiffs’ 
      counsel: Nikole Davenport of Chitwood Harley Harnes at [phone] or 
      via e-mail at [e-mail], 
      or Michael Peacock of Chitwood Harley Harnes at [phone] or via 
      e-mail at [e-mail]. 
      Any member of the purported class may move the Court to serve as lead 
      plaintiff through counsel of their choice, or may choose to do nothing 
      and remain an absent class member.
    
    
      The complaint charges the Funds’ registrants, 
      the Funds’ administrator, Morgan Keegan & 
      Company, Inc. (“Morgan Keegan”), 
      the Funds’ adviser, Morgan Asset Management, 
      Inc., Regions Financial Corp. and certain of Morgan Keegan’s 
      officers and/or directors with violations of the Securities Act of 1933.
    
    
      The complaint alleges that parts of the Funds’ 
      portfolios have been invested in collateralized debt obligations (“CDOs”), 
      including CDOs backed by sub-prime mortgages to higher-risk borrowers. 
      For years, shares of the Funds traded within narrow ranges. Then in 
      early March 2007, as the sub-prime crisis began to emerge, the Funds 
      began to trend lower as the market learned of their exposure to the 
      sub-prime market. Nonetheless, the shares of the Funds continued to 
      trade at artificially inflated prices as the full extent of the Funds’ 
      exposure had not yet been revealed. As late as the summer of 2007, as 
      the housing and credit crisis deepened, MK Select and the RHY Fund 
      continued to play down and conceal the Funds’ 
      growing exposure to the problems in the sub-prime market. Beginning in 
      early July 2007, the Funds began to acknowledge serious problems in 
      their portfolios related to the Funds’ 
      exposure to the sub-prime market. Eventually, on November 7, 2007, 
      Portfolio Manager James C. Kelsoe wrote a letter to investors in which 
      he acknowledged the full extent of the problems the portfolios faced due 
      to the deterioration in the housing sector and the sub-prime mortgage 
      crisis.
    
    
      As a result of this series of partial disclosures, the price of the 
      Select Funds’ shares collapsed. The High 
      Income Fund Class A shares closed at $4.53 per share on November 8, 
      2007, a decline of 51% from early July 2007. Likewise, the Intermediate 
      Fund Class A shares closed at $5.88 per share on November 8, 2007, a 
      decline of 38% from early July 2007. Additionally, the Short Term Fund 
      Class A shares closed at $8.84 per share on November 8, 2007, a decline 
      of 12% from early August 2007. The price of the RHY Fund shares also 
      collapsed. The RHY Fund shares closed at $5.41 per share on November 8, 
      2007, a decline of 63% from early July 2007.
    
    
      According to the complaint, the true facts which were omitted from the 
      Registration Statements/Prospectuses were as follows: (a) the Funds 
      lacked adequate controls and hedges to minimize the risk of loss from 
      mortgage delinquencies which affected a large part of their portfolios; 
      (b) the Funds’ portfolios were materially 
      misstated due to their failure to properly value CDOs; and (c) the 
      extent of the Funds’ risk exposure to 
      mortgage-backed assets was misstated.
    
    
      Plaintiffs seek to recover damages on behalf of all persons who 
      purchased or otherwise acquired shares of the Select Funds and/or the 
      RHY Fund pursuant and/or traceable to MK Select's and the RHY Fund’s 
      false and misleading Registration Statements and Prospectuses.
    
    
      Chitwood Harley Harnes LLP, a law firm that concentrates its nationwide 
      practice in representing victims of securities fraud and corporate 
      mismanagement, as well as other complex litigation, and has been 
      appointed lead counsel in major class actions throughout the United 
      States in both federal and state courts, represents holders of Class I 
      shares of the Regions Morgan Keegan Select Intermediate Bond Fund 
      (RIBIX).