Federal judge dismisses lawsuit blaming banks for foreclosure mess in Cleveland

[Algorem]

Federal judge dismisses lawsuit blaming banks for foreclosure mess in Cleveland

http://www.cleveland.com/cityhall/index.ssf/2009/05/federal_judge_dismisses_clevel.html

by Henry J. Gomez/Plain Dealer Reporter
Tuesday May 19, 2009, 9:34 AM

agCLEVELAND — U.S. District Judge Sara Lioi has dismissed Cleveland's lawsuit against large investment banks that Mayor Frank Jackson believes enabled the subprime lending and foreclosure crisis here.
In a 36-page decision (download PDF file), Lioi ruled that the city's public nuisance complaint was "pre-empted" by a section of Ohio Revised Code that does not allow municipalities to regulate lending.

She also wrote that the city failed to demonstrate an unreasonable interference with a public right and that the city did not prove that the banks named in the suit caused the damages.

Jackson filed the suit in January 2008, contending that Wall Street giants such as Deutsche Bank and Goldman Sachs irresponsibly bought and sold high-interest home loans. These practices, the mayor argued, depleted the city's tax base and left neighborhoods in ruins...

[ixion]

1. somewhere in switzerland, an numbered account

just received a large cash deposit.

[MercutioATC]

2. That would be a "numbered" account...

...but I get your meaning :hi:

[ixion]

3. duly edited

you are correct. appreciate the correction. :hi:

[zbdent]

4. big surprise ... appointed to the lifetime post by GWB ...