Bawag Added To Consolidated Refco Class Action

Law360, New York (May 8, 2006, 12:00 AM EDT) -- Shareholders for bankrupt futures broker Refco Inc. have amended their class action complaint against the company, and a slew of third-party defendants, to include Austrian bank Bawag PSK Group, accusing the embattled lender of helping push Refco over the edge with bad loans.

Bawag has already been targeted with lawsuits over its Refco link, including a $430 million loan to former Refco chief Phillip Bennett, just days before Refco’s insolvency was announced.

The lawsuit, filed in October 2005, in the U.S. District Court for the Southern...
To view the full article, register now.

Law360 UK

UK Financial Services

Read Our Latest UK Legal News & Analysis

Financial Services Law360 UK and Insurance Law360 UK provide breaking news and in-depth analysis on U.K. and European Union regulation, enforcement, legislation, and litigation involving banks, investment firms, insurers, and more.