GE Capital's defunct subprime shop files Chapter 11
WMC Mortgage LLC, the subprime mortgage origination shop owned by GE Capital since 2004, has officially filed for a Chapter 11 reorganization as its parent company attempts to restructure the business and move past legacy costs tied to the financial crisis.
On April 12, GE agreed to pay $1.5bn on behalf of WMC to the Department of Justice for alleged misrepresentations in the purchase and sale of subprime loans included in residential mortgage-backed securities, although the parties did not admit any formal liability. GE Capital had also provided around
...
Please take a trial or subscribe to access this content.
Contact our subscriptions team to discuss your access: subs@globalcapital.com
Or sign up for a trial to gain full access to the entire site for a limited period.
Corporate access
To discuss GlobalCapital access for your entire department or company please contact our subscriptions sales team at: subs@globalcapital.com or find out more online here.
