Menu

Judge’s Ruling Against 2 Banks Finds Misconduct in ’08 Crash

By Joe Light

A U.S. District Court judge on Monday said Nomura Holdings Inc. wasn’t truthful in describing mortgage-backed securities sold to Fannie Mae and Freddie Mac, giving a victory to the companies’ conservator, the Federal Housing Finance Agency.

Judge Denise Cote asked the FHFA to propose updated damages to be paid by Nomura and co-defendant RBS Securities Inc., which underwrote some of the investments. At the outset of the case, the FHFA asked for about $1.1 billion.

Read the full article: Judge’s Ruling Against 2 Banks Finds Misconduct in ’08 Crash