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The California State Teachers' Retirement System sued Wal-Mart Stores Inc. (WMT) in connection with allegations of bribery in Mexico, the Sacramento Bee reported.

Calstrs said it seeks corporate government reform following the "alleged gross misconduct" by the company's executives and directors, the report said.

The lawsuit alleges that two Wal-Mart executives "engaged in opportunistic stock trades" after the New York Times inquired about the allegations in Mexico but before the story was published, the Sacramento Bee reported.

A Wal-Mart spokesman told the newspaper "we take our responsibility to our shareholders very seriously. We are reviewing the lawsuit closely and are thoroughly investigating the issues that have been raised."

A Calstrs spokesman said the pension fund owned about 5.3 million Wal-Mart shares, worth $313.5 million, the report said.

Full story at http://www.sacbee.com/2012/05/04/4464934/calstrs-suing-walmart-over-bribe.html#storylink=misearch

-Dow Jones Newswires; 212-416-2900