Illinois banks, Citizens National Bank and Strategic Capital Bank had purchased mortgage debt from the group of banks in 2009 that resulted into investor losses due to defective underwriting.
According to Reuters, three lawsuits, a combined $92m, have been filed by the law firm Grais & Ellsworth alleging that the banks have misrepresented the risks of residential mortgages securities.
FDIC filed two lawsuits seeking $77m in Manhattan federal court and the remaining one for $15m was filed in Los Angeles federal court.
Ally Financial, Credit Suisse, HSBC Holdings, Royal Bank of Scotland Group, UBS have been named as defendants in one of the lawsuit, as reported by Reuters.
More than a dozen lawsuits have been filed by FDIC since the 2008 financial crisis targeting 549 officers and 63 directors belonging to various financial institutions in professional liability lawsuits.
As on 22 May 2009, Citizens National and Strategic Capital had nearly $1bn of combined assets.
