February 22, 2012 / 4:23 PM / in 6 years

JPMorgan, Citi, BofA sued for $949 million by Sealink

NEW YORK (Reuters) - JPMorgan Chase & Co., Citigroup Inc., Bank of America Corp. and more than a half dozen other major banks are being hit with a new lawsuit over $949 million in residential mortgage-backed securities.

A sign for a Bank of America office is pictured in Burbank, California August 19, 2011. REUTERS/Fred Prouser

A summons was filed Tuesday by Sealink Funding Ltd, an Irish entity that oversees risky RMBS, in New York state Supreme Court.

Sealink has filed numerous other lawsuits against major banks over billions in residential mortgage-backed securities it bought.

New York attorney Joel H. Bernstein, who represents Sealink, said the new case is over “securities they have not sued for in the past.”

Sealink claims the purchases were based on faulty offering materials, including misrepresentations of underwriting standards. It seeks damages or to have the purchases rescinded.

The case is Sealink Funding Limited v. The Royal Bank of Scotland Group Plc, 650484/2012, New York state Supreme Court.

Reporting By Karen Freifeld; editing by Mark Porter

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