Maybe Goldman Sachs judges its success by how many lawsuits it faces each year. How can any self-respecting bank raise its head in pride whilst dealing with so many suits regarding its fraudulent ways? (See here, here, here, here and here.)
Citigroup, Goldman, UBS Sued Over Mortgage-Backed Bonds
By David McLaughlin - Bloomberg
Citigroup Inc. (C), Goldman Sachs Group Inc. (GS) and UBS AG (UBSN) were sued separately in New York over losses on $368.7 million in mortgage-backed securities.
The three banks made “material misrepresentations” about the loans backing the securities and about the transfer of the loans into trusts, according to filings today in New York State Supreme Court.
IKB Deutsche Industriebank AG (IKB) sued Citigroup over losses on $137.4 million in mortgage securities and also sued Goldman Sachs over $73.2 million in securities. IKB, a German lender, said it sold the securities at a loss.
UBS, based in Zurich, was sued by Sealink Funding Ltd. over $158.1 million in bonds. The securities at issue in the UBS case are either held by Sealink or were previously sold at a loss, according to court papers.
Claims against Citigroup, Goldman Sachs and UBS include fraud and negligent misrepresentation, according to the filings.
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