Deutsche Bank Accused of Improper Swap Sales in Unitech Lawsuit
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Unitech Ltd., an Indian property developer, accused Deutsche Bank AG of selling it an interest-rate swap that wasn’t suitable and wasn’t properly explained, according to a London lawsuit over a $150 million loan deal.
Unitech filed a counterclaim in May arguing Deutsche Bank was negligent to sell an unsuitable hedging agreement, and owed damages that canceled out its debt, according to court documents. Germany’s biggest bank had earlier sued Unitech saying a unit of the company owes $11 million under the swap contract and has missed payments.