28 New Defendants Dragged Into Countrywide Case

Law360, New York (January 28, 2008, 12:00 AM EST) -- Plaintiffs in a securities class action lawsuit against Countrywide Financial Corp. added 26 banks and two accounting firms to the already long list of defendants in the case on Friday, saying that the firms failed to protect Countrywide's investors while underwriting the ailing mortgage lender.

The plaintiffs have alleged that Countrywide deceived investors about the true value of its stock. Friday's complaint said that the investment firms Grant Thornton and KPMG, as well as numerous leading banks including Citigroup, Merrill Lynch, and JPMorgan, should have known...
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