MBIA Strikes $350M Deal To End Societe Generale MBS Suit

Law360, Los Angeles (May 8, 2013, 7:14 PM EDT) -- MBIA Insurance Corp. reached a $350 million settlement Wednesday ending Societe Generale SA's claims that it fraudulently restructured $5 billion of Societe Generale's cash and securities in an attempt to escape coverage obligations to big banks after the 2008 financial crisis.

Societe Generale was the last plaintiff remaining in a lawsuit originally filed by 18 major banks, including ABN Amro Bank NV, Citibank NA and JPMorgan Chase Bank NA. They argued that MBIA's 2009 restructuring left it unable to pay out on policies insuring the banks'...
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