Law360, New York (April 5, 2016, 11:34 PM EDT) -- Morgan Stanley on Tuesday asked a New York appeals court to get rid of a lawsuit brought by IKB Deutsche Industriebank AG over $147 million in residential mortgage-backed securities losses, saying the German lender’s fraud suit fails since it didn’t perform the necessary due diligence on its investments.The Dusseldorf-based bank, which was rescued after seeing billions of dollars in subprime investments vanish, accuses Morgan Stanley of offering documents that omitted or mischaracterized various underwriting standards surrounding loans underlying RMBS.New York Supreme Court Judge Marcy Friedman in October 2014 dismissed two claims from the suit, but left much of the... In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition. TRY LAW360 FREE FOR SEVEN DAYS
Morgan Stanley has asked that the lawsuit filed by IKB Deutsche Bank over $ 147 m in residential mortgage - backed securities ( RMBS ) losses be dismissed by the New York district court since it did not perform the necessary due diligence on its investments . The German court accuses Morgan Stanley of offering documents that omitted or mis - characterised various underwriting standards surrounding loans underlying RMBS .