HSBC Holdings Plc, a unit once known as Household International Inc., had lost a bid to undo a securities fraud verdict last 2009. The company was held liable for about USD1.5 billion in damages including interest, according to a judge ruling.
US District Judge Ronal Guzman had denied the lender's petition for a new trial or decision yesterday in a Chicago court. The ruling ordered plaintiff's lawyers to submit a proposed final judgment within five days. Guzman said in his ruling, "This court expressly determines that there is no just reason for delay and directs that a final judgment be entered." Guzman had awarded around USD968 million in prejudgment interest in favor of around 11000 claims.
The stockholders of Household sued the company last 2002. The stockholders alleged that three executives had issued misleading statements regarding mortgage lending practices. Earlier, the lender had agreed to pay around USD484 million in fines to settle claims lodged by more than 12 states.
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