The Indian company was quoted by Bloomberg as saying in its lawsuit, the bank "knew, or must have appreciated, that it was likely to make significant amounts of money" from the contract at Unitech’s expense."
Unitech further alleged that Deutsche Bank had failed to explain the risks to managers, who didn’t have any experience with interest-rate swaps.
Between 2007 and 2010, the total payments under the hedging agreement amounted to $23.5m, Unitech said.
Earlier, Deutsche Bank had sued Unitech alleging that a unit of the company owed $11m under the swap contract and had missed payments.
According to court documents, Unitech filed a counterclaim against the bank in May 2012 alleging the later’s negligence to sell an unsuitable hedging agreement, and owed damages that cancelled out its debt.
