Feds Again Get Nod For MBS Suit Against ResCap Affiliates

Law360, New York (August 13, 2013, 12:35 PM ET) -- The Federal Housing Finance Agency may advance its lawsuit over mortgage-backed securities against affiliates of bankrupt Residential Capital, a federal judge in New York ruled on Monday, thwarting a second attempt to stay the fraud proceedings until ResCap emerges from bankruptcy.

The court had already denied the affiliates’ motion to stay, but an appeals court in July sent the case back to the district court to determine whether the fraud suit against ResCap’s nondebtor corporate affiliates — including Ally Financial Inc., Ally Securities and GMAC Mortgage...
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Case Information

Case Title

Residential Capital, LLC

Case Number

1:12-bk-12020

Court

New York Southern

Nature of Suit

Law360 Coverage

Date Filed

May 14, 2012


Case Title

Residential Capital, LLC et al v. Allstate Insurance Company et al

Case Number

1:12-cv-05116

Court

New York Southern

Nature of Suit

Bankruptcy Withdrawal

Judge

Denise L. Cote

Law360 Coverage

Date Filed

June 29, 2012

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Companies Mentioned

Government Agencies Mentioned

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