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.

The agency, which filed the suit in federal court in Los Angeles on Aug. 9, alleges that the misrepresentations caused U.S. Central and WesCorp to believe the risk of loss associated with the investment was minimal.

In the complaint, which doesn't allege fraud, the agency contends that Goldman Sachs is liable for "material untrue statements and omissions of fact." 

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