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RBS Will Pay $1.1 Billion in Settlement Over Mortgage Securities | Tony Seruga
Sep
27

RBS Will Pay $1.1 Billion in Settlement Over Mortgage Securities

By
  • U.K.-based bank agrees to deal with credit-union regulator
  • U.S. agency says sales helped topple corporate credit unions

Royal Bank of Scotland Group Plc will pay $1.1 billion to settle National Credit Union Administration claims that it sold faulty mortgage-backed securities to U.S. credit unions.

The agreement with RBS is among the largest in a series of settlements in which banks have paid hundreds of millions over accusations stemming from sales that contributed to the collapse of corporate credit unions after the 2008 financial crisis. Tuesday’s accord closes 2011 lawsuits filed in California and Kansas on behalf of two corporate credit unions, the NCUA said in a statement Tuesday, and it follows an earlier RBS agreement to pay $129.6 million to resolve similar lawsuits over two other credit unions…

RBS Will Pay $1.1 Billion in Settlement Over Mortgage Securities

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