the offering documents did not correctly describe the mortgage loans backing the disputed bonds .
” the banks ’ lawyers could argue on appeal that even though fannie mae and freddie mac took steep paper losses new york a u.s. judge on monday ruled that nomura holdings inc ( 8604.t ) made false statements in selling mortgage - backed securities to fannie mae ( fnma.ob ) and freddie mac ( fmcc.ob ) ahead of the 2008 financial crisis .
nomura and rbs were excoriated in a 361 - page opinion by u.s. district judge denise cote in manhattan , whose ruling followed the first trial of claims that banks sold flawed securities to government - owned mortgage companies .
 
” before the trial , fhfa had reached $ 17.9 billion in settlements with other banks , including bank of america corp. , jpmorgan chase & co. and goldman sachs “ as its witnesses repeatedly described and as its documents illustrated , nomura ’s goal was to work with the sellers of loans and to do what it could to foster a good relationship with them , ” the judge wrote .
in his closing argument last month , david b. tulchin , a lawyer for sullivan & cromwell , representing nomura , called the experts ’ methodologies “ entirely artificial in the extreme .
u.s. district judge denise cote in manhattan ruled for the federal housing finance agency , the conservator for fannie mae and freddie mac , in a ruling that could allow the u.s. regulator to recover around $ 450 million .
“ the magnitude of falsity , conservatively measured , is enormous .