HSBC Unit Ordered to Pay $2.46B

CAPITALISM, 21 Oct 2013

The Associated Press – Business Week

THE ORDER: A division of Europe’s HSBC bank has been ordered to pay about $2.46 billion in a class action lawsuit claiming that it violated federal securities laws. HSBC plans to appeal.

THE DETAILS: Household International Inc., now HSBC Finance Corp., and three former executives were named in the lawsuit that claimed the company fraudulently misled investors about its predatory lending practices, the quality of its home loans and its financial accounting from March 23, 2001 through Oct. 11, 2002.

THE JUDGMENT: The payment includes $1.48 billion in damages and nearly $1 billion in prejudgment interest.

Go to Original – businessweek.com

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