Municipal bond insurers are capturing the most market share since 2009 as Detroits bankruptcy and Puerto Ricos struggles underscore the value of the coverage to investors in the $3.7 trillion market.
Municipal bond insurers are capturing the most market share since 2009 as Detroits bankruptcy and Puerto Ricos struggles underscore the value of the coverage to investors in the $3.7 trillion market.
MBIA Inc. asked a judge to order Credit Suisse Group AG to turn over internal records that the bond insurer says bolster its contention the bank lied about how it processed loans packaged into mortgage-backed securities.
A federal judge on Wednesday gave Detroit and a group of bond insurance companies two or three weeks to settle a dispute over whether the city can treat certain bonds as unsecured debt, warning of an "all or nothing" ruling if no deal is reached.
Detroit's path through bankruptcy began to take shape on Tuesday, with a second bond insurance firm ready to drop its objections to a controversial city financing plan, joining another bond insurer, bondholders and a committee of retired city workers in reaching agreements with the city.
Two insurance companies that guaranteed payments on Detroit's voter-approved general obligation bonds sued the city in U.S. Bankruptcy Court on Friday over its Oct. 1 default on $9.37 million in payments due to bondholders.
Two insurance companies that guaranteed payments on Detroit's voter-approved general obligation bonds sued the city in U.S. Bankruptcy Court on Friday over its Oct. 1 default on $9.37 million in payments due to bondholders.
Detroit is poised to default on about $641 million of its general obligation bonds on Tuesday, an event that is likely to spur a legal challenge over Detroit's decision to take tax money earmarked for bond payments and apply it instead to city needs.
The U.S. government on Tuesday filed two civil lawsuits against Bank of America that accuse the bank of investor fraud in its sale of $850 million of residential mortgage-backed securities.