NCUA Board sues HSBC

first_img ShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblr by: Nicholas BallasyThe NCUA board has filed a suit in federal court against HSBC Bank USA, claiming the bank violated state and federal law.The agency, suing in its capacity as liquidating agent for five failed corporate credit unions, alleged that the bank did not fulfill its duties as trustee for 37 residential mortgage-backed securities trusts.“As with the other trustees we have sued, HSBC failed to live up to its obligations under federal and state law, and we want the bank held accountable,” NCUA Board Chairman Debbie Matz said. “As our complaint states, instead of protecting the trusts and the certificate holders, HSBC sat by as the trusts wasted away. This failure caused significant harm to trust beneficiaries, including the corporate credit unions and ultimately consumer credit unions.” continue reading »last_img

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