US credit union regulator sues Credit Suisse

The US credit union regulator filed a lawsuit on Thursday against Credit Suisse Securities (USA), alleging misrepresentations in the underwriting and sale of mortgage-backed securities.

The National Credit Union Administration said in a statement that three failed credit unions paid more than $715 million for the securities at issue in the lawsuit, which filed in US district court in Kansas.

“Credit Suisse is one of several firms that sold faulty securities to corporate credit unions, which led to their collapse,” the agency said.

via Business feed http://www.scmp.com/business/banking-finance/article/1054410/us-credit-union-regulator-sues-credit-suisse