An October 13th, 2011 New York Law Journal article reported that the Federal Housing Finance Agency filed 13 of their lawsuits against some of the world’s largest financial institutions in the New York federal court . The agency additionally filed four in the New York state court and one in the Connecticut court system.
Court papers also revealed that four state court suits against Ally Financial Inc., Countrywide Financial Corp., Morgan Stanley and General Electric Co., were being moved to federal court in the Southern District of New York jurisdiction.
All 13 suits were filed for the large bank’s misrepresentation of the quality of the mortgage-backed securities provided by Fannie Mae and Freddie Mac. It has been reported that the agency is suing 17 banks and some of these banks have now teamed up in an effort to have their cases dismissed or removed. The suits are all still in the early stages of trial.
We at the Law Offices of Lutzky & Labayen, LLP are interested in giving consumers advice that can help them make informed decisions. If you are struggling with debt, and you are in need of legal advice, please feel free to call us at 1-800-660-5299 or visit us at www.bankruptcynyc.com for a free initial consultation.
