Countrywide, BofA Best Hedge Fund's Fraud Suit

Law360, New York (June 23, 2010, 10:49 AM EDT) -- A federal judged has tossed SRM Global Fund LP’s lawsuit accusing Countrywide Financial Corp. and the mortgage lender’s eventual owner Bank of America Corp. of concealing Countrywide’s dire condition from investors.

The hedge fund failed to back up claims that Countrywide and Bank of America deceived the market about the mortgage lender’s mortal losses in promoting the $4 billion merger, Judge Richard M. Berman of the U.S. District Court for the Southern District of New York ruled Thursday.

Further, SRM’s claims are too deficient to warrant...
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