BofA Units Misled Buyers Over $980M RMBS, Suits Say

Law360, New York (March 30, 2012, 7:57 PM EDT) -- Bank of America Corp. units Countrywide Financial Corp. and Merrill Lynch & Co. were hit with two separate suits Thursday by European lenders accusing them of fraudulently misrepresenting the quality of a total of more than $980 million of residential mortgage-backed securities they had bought.

In complaints filed in New York state court, Brussels-based Dexia SA accused Merrill Lynch of misleading it about the quality of the underwriting standards and appraisals of the mortgage properties behind $527 million of RMBS it had sold Dexia, while German...
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