Two HomeBanc CEOs Named In New Securities Suit

Law360, New York (January 7, 2008, 12:00 AM EST) -- HomeBanc Mortgage Corp. shareholders have filed yet another class action securities lawsuit against the bankrupt lender's present and its former CEOs, citing both executives' numerous misstatements about the company's plummeting stock price.

The complaint, filed Friday in the U.S. District Court for the Northern District of Georgia, was at least the third of its kind brought by shareholders against ex-CEO Patrick S. Flood and current CEO Kevin D. Race.

Among other things, the complaint alleged that HomeBanc failed to disclose its plans to unload high-quality loans...
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