MINNEAPOLIS, June 23, 2016 /PRNewswire/ -- The ResCap Liquidating Trust (the "Trust") today announced that, since the close of the last quarter on March 31, 2016, it has entered into settlement agreements related to eleven pending indemnity and breach of contract actions against correspondent lenders of Residential Funding Company LLC ("RFC"). Settling defendants are DB Structured Products, Inc., on behalf of itself and as successor to MortgageIT, Inc., Gateway Bank F.S.B., Circle Mortgage Corp., Broadview Mortgage Corp., Fremont Bank, The Mortgage Outlet, Inc., Mortgage Network, Inc., CMG Mortgage, Inc., First Equity Mortgage Bankers,Inc., Americash and Wallick & Volk.
Mitchell Sonkin, Chairman of the Board stated, "We are pleased that the Trust has been able to achieve the settlements that we are reporting today. The Trust intends to continue to vigorously pursue other pending correspondent lender actions in order to maximize recoveries for unitholders."
For a full list of the correspondent banks and mortgage companies against whom the Trust has brought legal action, please refer to the Trust web site at rescapliquidatingtrust.com and click on the litigation tab.
About the ResCap Liquidating Trust
The ResCap Liquidating Trust was established under the Second Amended Joint Chapter 11 Plan of Residential Capital, LLC et al. for the purpose of liquidating and distributing the assets of the debtors in the bankruptcy case.
The statements regarding the Trust's intentions for the future conduct of the correspondent litigation are forward-looking, and are subject to risks and uncertainties. There can be no assurance of the outcome of the litigation, whether as a result of any future settlements or otherwise. The release of the information today does not obligate the Trust to provide information in the future regarding settlement or any other litigation activity of the Trust. Unitholders are urged to refer to the Trust's website for additional information concerning the Trust's litigation activity and other important information regarding the Trust.
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SOURCE ResCap Liquidating Trust