NY Did 'Shortcut' Review Of MBIA's $5B Breakup, Banks Say

Law360, New York (May 17, 2012, 6:18 PM EDT) -- New York state insurance regulators cut corners and rushed through their review of MBIA Inc.'s $5 billion restructuring before they approved it, an attorney for the banks challenging the deal told a New York state judge Thursday.

Robert J. Giuffra Jr. of Sullivan & Cromwell LLP, who represents Bank of America Corp. and Societe Generale SA — the two remaining banks challenging the state's approval of the bond insurer's 2009 restructuring in a so-called Article 78 proceeding — told Judge Barbara R. Kapnick during a bench...
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