Firm Files Suits Against RMBS Trustees on Behalf of the FDIC
August 19, 2015
On August 19, 2015, the Firm filed three complaints in the Southern District of New York on behalf of the Federal Deposit Insurance Corporation (“FDIC”), as receiver for Guaranty Bank, against U.S. Bank National Association, Citibank N.A., and The Bank of New York Mellon (Case Nos. 15-cv-6570, 15-cv-6574, 15-cv-6560, respectively) in their roles as Trustees for residential mortgage-backed securities (“RMBS”) trusts that issued certificates purchased by Guaranty Bank from 2005 to 2007. Each complaint asserts that the Trustee failed to take action to protect the interests of investors when the Trustee learned of numerous defaults and Events of Default under the governing transaction documents in violation of the Trust Indenture Act, 15 U.S.C. § 77aaa et seq., and New York Real Property Law § 124 et seq.