Wells Fargo Breached Trustee Duties, MedCap Investors Say

Law360, Washington (February 19, 2013, 2:24 PM EST) -- Several classes of Medical Capital Holdings Inc. investors on Monday slammed Wells Fargo NA's attempt to toss their suits over its role in a massive Ponzi scheme, saying the bank's claims that it didn't cause substantial harm to investors by allegedly diverting funds and breaching its trustee duties “defy the facts, law and logic.”

Wells Fargo had asked a California federal court to throw out the investors' breach of trustee duties claims in a motion for summary judgment, but the investors maintained that the bank's decision...
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