BofA Fraud Claims Canned In $300M Parmalat Deal

Law360, New York (February 18, 2010, 5:06 PM EST) -- A federal judge has dismissed fraud and other claims leveled against Bank of America Corp. by two special purpose entities created specifically for a failed $300 million purchase of stock in Parmalat SpA's Brazilian unit.

Judge Lewis A. Kaplan of the U.S. District Court for the Southern District of New York ruled that while Bank of America did have a fiduciary duty to the directors of the two failed SPEs, the fact is that the directors were hired to rubber-stamp the deal and did not do...
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