Deloitte Liable For Mortgage Execs' Fraud, 9th Circ. Told

Law360, San Francisco (March 15, 2013, 6:54 PM ET) -- A Nevada federal court erred when it excused financial advisers Deloitte & Touche LLP from liability for breaching a contract and allowing insiders at USA Commercial Mortgage Co. to steal from the now-bankrupt mortgage company and defraud investors, the company argued Friday, urging the Ninth Circuit to revive the case.

The liquidating trust for USA Commercial — which went bankrupt in 2006 — argued that the misdeeds of mortgage-company CEO Thomas Hantges and President Joseph Milanowski could not be imputed to the company as a whole,...
To view the full article, take a free trial now.
Try Law360 for free for seven days
Already a subscriber? Click here to login

Already have access?

  1. Forgot your password?
  2. Sign In

Get instant access to the one-stop news source for business lawyers

Required