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Securitization People and Markets

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  • James Kroeker is leaving next month as chief accountant at the U.S. Securities and Exchange Commission and is returning to the private sector.
  • The Bank of Ireland has appointed Archie Kane as new governor, effective immediately.
  • Commerzbank has filed a second appeal to overturn a ruling last month by the U.K. High Court that the German lender must pay an estimated EUR50 million ($62.9 million) in promised bonuses to 104 former bankers at Dresdner Kleinwort.
  • Standard & Poor’s said its ratings on global structured finance transactions will not be affected by bank downgrades by rival credit rating agencies.
  • A federal appeals court has ruled that Kentucky-based Republic Bank may not sue Bear Stearns and its current owner, JPMorgan Chase, for $14 million in losses from mortgage-backed securities because the bank failed to read the MBS offer documents and did not provide sufficient specifics to sustain its fraud claims.
  • Principal reductions now account for roughly 40% of total loan modifications by mortgage servicers, compared with 25% last year and 11% in 2010, according to Amherst Securities Group.
  • Baring Asset Management is planning to launch the Baring Emerging Market Corporate Debt Fund, a subfund of its Irish-domiciled open-ended Baring Investment Funds.
  • The Royal Bank of Scotland is planning to cut 618 jobs from its retail financial-planning division as new rules that go into effect next year bars banks and other advisers from charging customers based on commission; instead, customers will pay an upfront fee.
  • U.S. and European regulators must ensure mutual recognition when finalizing securitization and derivatives regulation in order to curb jurisdictional conflict and legal and compliance complexity, according to a new study by the E.U.-U.S. Coalition, an umbrella group of industry associations.