Belgian Bank Sues JPMorgan Over $2B In RMBS

Law360, New York (January 20, 2012, 4:13 PM EST) -- Belgian bank Dexia SA on Thursday sued JPMorgan Chase & Co. and others in New York state court for alleged fraud in the formation and sale of more than $1.7 billion in residential mortgage-backed securities.

The latest in a slew of lawsuits to recoup money from MBS issuers, Dexia contends JPMorgan, Bears Stearns & Co. Inc. and Washington Mutual Bank affiliates intentionally securitized defective mortgages and then misrepresented the quality of those mortgages in offering materials, which also included misleading credit ratings for the securities....
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