Saturday, August 6, 2011

BofA Settles With Rich Bondholders Update, 6 Aug

Delaware to intervene in BoA $8.5 billion pact

I hope this is more than pander, but...

(Reuters) - A day after New York's attorney general called Bank of America Corp's (BAC.N) $8.5 billion mortgage-backed securities settlement "unfair" and "inadequate", another state attorney general hinted he may also oppose the deal.

Delaware Attorney General Beau Biden plans on filing a motion to intervene next week, said an attorney from his office on Friday.


http://www.reuters.com/article/2011/08/05/us-bofa-delaware-idUSTRE77474E20110805



In a related matter:

Bank of America’s ReconTrust Sued by Washington State Over Foreclosures

Bank of America Corp. (BAC)’s ReconTrust unit failed to conduct foreclosures as a neutral third party as required by law, Washington state Attorney General Rob McKenna said in a lawsuit.

ReconTrust, which acted as a trustee handling foreclosures, had a duty to act in good faith to borrowers as well as lenders, McKenna said today at a press conference announcing the suit. ReconTrust also concealed or misrepresented the actual owner of the debt when handling foreclosures, according to the complaint filed in state court in Seattle.


http://www.bloomberg.com/news/2011-08-05/bofa-s-recontrust-unit-sued-by-washington-state-over-foreclosure-practices.html