Bawag Sued Once Again Over Refco Loans

Law360, New York (May 4, 2006, 12:00 AM EDT) -- An unsecured creditor of Refco Inc. has filed a fresh lawsuit against Austria’s Bawag PSK Group, expanding the bank’s legal woes only days after the Austrian government infused the bank with more than $1 billion to help with existing settlement costs.

The plaintiff, Bahamas-based Global Management Worldwide Ltd., sued Bawag amid rumors that Bawag was inching toward a $1.3 billion settlement with other Refco creditors that sued the bank for allegedly helping push Refco into bankruptcy through fraudulent loans.

The securities class action lawsuit was filed...
To view the full article, register now.

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.