BARCLAYS FACES LEGAL ACTION FROM US JUSTICE DEPARTMENT OVER USD31 BILLION SUBPRIME MORTGAGE SCHEME
January 1st, 2017 UK-based Barclays plc is being sued by the United States Department of Justice (DoJ), which alleges the bank was involved in mortgage securities fraud affecting more than USD31 billion’s worth sub-prime loans in the years immediately prior to the global financial crash of 2008. The DoJ will seek civil penalties from Barclays by arguing that the bank ran a fraudulent scheme to sell residential mortgage-backed securities (RMBS) by means of defective and misrepresented mortgage loans from 2005 to 2007. The suit also names Paul K Menefee, of Austin, Texas - ...
Full access to this article can be arranged with permission from the client that first ordered it. Please contact us to request access. Entries are uploaded to our archive at least one year after being published by a client – free access is restricted to International News Services journalists for background research only. The article date indicates when copy was filed to a client, not when posted to this archive. Upon client requests, International News Services will remove such articles from the archive or not upload them in the first place. They are included to demonstrate the breadth of topics undertaken by the agency and also to help promote clients’ coverage.