Radius CEO Can't Shake Suit Over $23M In Uninsured MBS

Law360, New York (March 1, 2012, 3:37 PM EST) -- The CEO of Radius Capital Corp. must face claims that he tricked Ginnie Mae into guaranteeing $23 million in mortgage-backed securities by falsely claiming the underlying loans were insured by the government, a Florida federal judge ruled Thursday.

U.S. District Judge John E. Steele denied Robert DiGiorgio’s motion to dismiss the U.S. Securities and Exchange Commission’s suit. DiGiorgio and Radius made high-interest loans to low-income borrowers in several states, then packaged the loans into MBS that were sold to investors and guaranteed by Ginnie Mae, the...
To view the full article, register now.




Case Information

Case Title

Securities and Exchange Commission v. Radius Capital Corp. et al

Case Number



Florida Middle

Nature of Suit



John E. Steele

Date Filed

March 7, 2011

Government Agencies

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.