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Hagens Berman Files Class Action Lawsuit Against Bank Of America

LOS ANGELES — California homeowners sued Bank of America on April 6, claiming the lending giant is intentionally withholding government funds intended to save homeowners from foreclosure, Hagens Berman Sobol Shapiro announced. The case, filed in the U.S. District Court for the Northern District...

Goldman Sachs Discloses Shareholder Lawsuits

(AP) Goldman Sachs has disclosed information about a half-dozen lawsuits filed against it by shareholders accusing the big Wall Street firm and senior executives of misconduct and abuse in the wake of civil fraud charges brought by the government over mortgage securities deals. The detailed disclosures...

Massachusetts Attorney General Reaches $102 Million Settlement With Morgan Stanley

BOSTON - (Mealey's) Financial giant Morgan Stanley & Co. Inc. has agreed to pay $102 million to settle claims that it illegally provided funding to lenders that provided Massachusetts homeowners with subprime loans and has agreed to a number of reform measures, according to an assurance of discontinuance...

Goldman Sachs To Pay $550M To Settle Charges It Misled Subprime Investors

NEW YORK - Goldman, Sachs & Co. has agreed to pay $550 million in penalties and to change its business practices to settle allegations brought by the U.S. Securities and Exchange Commission that it misled investors in a subprime mortgage product, the SEC announced June 15 ( Securities and Exchange...

Citigroup Paying $75 Million To Settle Civil Charges

WASHINGTON, D.C. - (AP) Banking titan Citigroup Inc. is paying $75 million to settle civil charges that it misled investors about its potential losses from subprime mortgages as the housing bust hit in 2007. The Securities and Exchange Commission announced the settlement with Citigroup on Thursday. It...

Countrywide Agrees To Pay $600M To Settle Lawsuits

LOS ANGELES - (AP) Countrywide Financial Corp. agreed to pay $600 million to settle shareholder lawsuits in the largest payout so far from the mortgage meltdown. U.S. District Judge Mariana Pfaelzer in Los Angeles on Monday gave preliminary approval to the agreement, in which the defendants admitted...

Preliminary Approval Of $12 Million Settlement In New Century Class Action Granted

LOS ANGELES - (Mealey's) A federal judge in California on Aug. 9 preliminarily approved a $125 million settlement agreement between shareholders, former officers and directors of subprime mortgagor New Century Financial Corp., the company's outside auditor and the underwriters of New Century's...

Kevin LaCroix: Catching Up On Rulings In Key Subprime-Related Securities Lawsuits

Over the last few days, there have been a series of rulings in high-profile lawsuits arising out of the subprime meltdown and credit crisis. As discussed below, just in the past week there were dismissal motion rulings in cases involving Freddie Mac, Wachovia/Wells Fargo, and AIG. Though some or all...

JPMorgan Settles With The SEC

The SEC announced that JPMorgan Securities LLC agreed to pay $153.6 million to settle SEC charges that the company "misled investors in a complex mortgage securities transaction just as the housing market was starting to plummet." Pursuant to the settlement, "harmed investors will receive...

Wachovia, KPMG Reach $627 Million Settlement With Investors

NEW YORK - (Mealey's) In what Wachovia Corp. shareholders' attorneys are calling the single-largest recovery for claims brought "solely pursuant to" the Securities Act of 1933, the shareholders, Wachovia, certain of its affiliates and former officers and directors and outside auditor...

Wachovia, KPMG Reach $627 Million Settlement With Investors

NEW YORK - (Mealey's) In what Wachovia Corp. shareholders' attorneys are calling the single-largest recovery for claims brought "solely pursuant to" the Securities Act of 1933, the shareholders, Wachovia, certain of its affiliates and former officers and directors and outside auditor...

Countrywide Agrees To Pay $335 Million To Settle Government's Discriminatory Lending Claims

LOS ANGELES - Countrywide Financial Corp. has agreed to pay $335 million to settle claims by the U.S. government that the lender and its subsidiaries engaged in discriminatory lending practices by steering African-American and Hispanic borrowers toward subprime mortgage loans with higher interest rates...

State Net Capitol Journal – February 2, 2015; Suit Blames Morgan Stanley For Detroit's Fiscal Crisis

Budget & Taxes SUIT BLAMES MORGAN STANLEY FOR DETROIT'S FISCAL CRISIS: The Wall Street investment firm that has already agreed under settlements with U.S. government regulators to pay over $1.5 billion for its part in the subprime mortgage scandal that helped precipitate the Great Recession...

Morgan Stanley To Pay $225M To Settle State, Federal Securities Law Claims

ALEXANDRIA, Va. — (Mealey’s) Morgan Stanley & Co. will pay $225 million to settle claims in two federal lawsuits alleging that it misrepresented the investment quality of certain residential mortgage-backed securities (RMBS) it and certain of its subsidiaries underwrote to several credit...