Bank Of America Hit With RICO Reinsurance Kickback Suit

By Jacob Batchelor (January 15, 2015, 5:12 PM EST) -- Bank of America Corp. and its reinsurance affiliate masterminded a captive reinsurance scheme under which it received kickbacks for referring its mortgage customers to private insurers, according to a proposed class action filed in Pennsylvania federal court Wednesday.

BoA conspired with Bank of America Reinsurance Corporation and a group of private insurers to receive a cut of private mortgage payments paid by customers who had been referred to the private insurers by BoA entities by means of purported reinsurance premiums, according to the complaint.

As a result of this arrangement, BoA Reinsurance collected at least $284.7 million from private mortgage insurers...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.

  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!


Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Ask a question!