Agency goes after firm now known as Wells Fargo Securities for mortgage-backed securities sales to U.S. Central, WesCorp.
Agency says $165.5 million will help lower future costs of corporate rescues.
A CDCU already in the media spotlight for having run afoul of Goldman Sachs was the focus of a NBC story about Bank Transfer Day this past Saturday.
The NCUA has failed to prove that J.P. Morgan Securities the firm made “material misrepresentations” to the corporate credit unions when selling them residential mortgage-backed securities, according the firm’s court filing. And with that J.P. Morgan asked a federal judge to dismiss the agency’s June lawsuit against it.
Investment house says it informed corporates of risk.
Investment bank giant pulls out of sponsorship of Lower East Side People's FCU event.
Legal field against some big banks getting crowded.
Last week, the NCUA added to its list of targets by suing Goldman Sachs for $491 million for losses corporates endured due to mortgage-backed securities. This is the fourth suit filed by the NCUA against securities firms, seeking a total of $2 billion in damages.
U.S. Central peaked out at $2.8 billion, N.C. State Employees' at $489 million, WesCorp averaged $100 million a day.
The NCUA sued investment bank Goldman Sachs last week, seeking damages of more than $491 million and alleging misrepresentations by the firm when selling mortgage-backed securities to U.S Central and Western Corporate credit unions.