The alleged misconduct included "a pattern of improper investments in risky securities," failure to disclose material information about the investments to the plaintiffs, and a cover-up of wrongful actions, the lawyers said. "Wells Fargo was a custodian, an agent, a safe-keeper of these securities they were going to loan out," Mike Ciresi, a lawyer for the plaintiffs, said at a June 5 pretrial hearing. "Wells Fargo shouldn't have lost any money in this program, and they didn't have to." Wells Fargo has denied the claims, blaming any losses on the financial crisis. "The allegations made by the plaintiffs are without merit," Laura Fay, a spokeswoman for the bank, said in an e-mailed statement. "The investments made by Wells Fargo on behalf of clients in the securities lending program were in accordance with investment guidelines and were highly rated and suitable at the time of purchase," Ms. Fay said.