JPMorgan Sued for $95 Million Over Mortgage Securities
January 14, 2012, 11:15 AM ESTBy David McLaughlin
(Updates with court filing in second paragraph.)
Jan. 3 (Bloomberg) -- JPMorgan Chase & Co., the biggest U.S. bank by assets, was sued in New York for about $95 million over mortgage loans bundled into securities.
JPMorgan “materially breached” representations about loans backing the securities, a mortgage-securitization trust said in a summons filed Dec. 30 in New York State Supreme Court in Manhattan.
The Bear Stearns trust is seeking damages of at least $95 million, according to the court filing. Bearn Stearns Cos., which was acquired by JPMorgan, and EMC Mortgage Corp. are also named as defendants.
Jennifer Zuccarelli, a JPMorgan spokeswoman, didn’t immediately respond to an e-mail seeking comment.
The case is Bear Stearns Asset Backed Securities Trust 2005-4 v. EMC Mortgage Corp., 650003-2011, New York State Supreme Court (Manhattan).
--Editors: Fred Strasser, Glenn Holdcraft
To contact the reporter on this story: David McLaughlin in New York at dmclaughlin9@bloomberg.net
To contact the editor responsible for this story: Michael Hytha at mhytha@bloomberg.net
