Fund Sues Banks for $1.2 Billion Loss Tied to Subprime

``A hedge fund is taking aim at the world's biggest banks in an effort to recoup $1.2 billion it lost on subprime mortgages, entering a legal fight where so far Wall Street has largely been unscathed... The case cites a sizable number of so-called "confidential witnesses" quoted in the lawsuit, who said underwriting standards were abandoned in order to meet demands for mortgages from Wall Street.''