Insurers Keep JPMorgan Bond Fraud Suits Alive

Law360, New York (December 23, 2010, 4:00 PM EST) -- Two companies that insured municipal bonds issued by Jefferson County, Ala., have defeated JPMorgan Chase Bank NA's attempt to dismiss their suits, which seek more than $750 million in damages for bribes the bank allegedly paid local officials.

Judge James A. Yates of New York State Supreme Court issued the rulings Tuesday. Syncora Guarantee Inc. and Assured Guaranty Municipal Corp., which insured the county's bond payments, want about $400 million and $370 million in damages, respectively, according to the judge's rulings.

The insurers allege JPMorgan failed...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.