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Bank of America Settlement in Question

""New York Attorney General Eric Schneiderman"":http://www.ericschneiderman.com/ is seeking client information from several companies as part of an investigation into ""Bank of America's"":https://www.bankofamerica.com/ recent proposed $8.5 billion settlement.


Schneiderman's office sent letters last week to several investment firms, including Goldman Sachs Group Inc., BlackRock Inc., and TCW Group Inc., seeking information about their participation in the Bank of America settlement, according to ""Bloomberg."":http://www.bloomberg.com/news/2011-07-12/new-york-attorney-general-seeks-data-on-bank-of-america-s-mortgage-accord.html

Schneiderman specifically asked for lists of clients affiliated with New York government agencies, public authorities, and nonprofit and charitable organizations.

Schneiderman has requested the information be delivered to his office Thursday.

At the same time, Walnut Place LLC filed a petition contesting the proposed Bank of America settlement, requesting the Court to prohibit the settlement ""by which 22 self-appointed investors, many of which have extensive other business relationships with Bank of America Corporation and its subsidiaries, and a trustee that likewise has serious conflicts of interest, would extinguish the legal rights of hundreds of other investors,"" including Walnut Place LLC.

The Bank of New York Mellon serves as the trustee for 530 Countrywide trusts, three of which were issued to Walnut Place LLC.

Walnut Place also expressed ""serious concerns about the secret, non-adversarial, and conflicted way in which the proposed settlement was negotiated and about the fairness of the terms of the proposed settlement.""

About Author: Krista Franks Brock

Krista Franks Brock is a professional writer and editor who has covered the mortgage banking and default servicing sectors since 2011. Previously, she served as managing editor of DS News and Southern Distinction, a regional lifestyle publication. Her work has appeared in a variety of print and online publications, including Consumers Digest, Dallas Style and Design, DS News and DSNews.com, MReport and theMReport.com. She holds degrees in journalism and art from the University of Georgia.

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