Article: BANKRUPTCY: Copia Bondholder Amends Suit To Include Bad-Faith Claim vs. ACA.(Underwriters & Dealers)

Byline: Jack Herman

The bankruptcy claims trader that last week filed a securities lawsuit seeking class-action status over a refunding by the now-bankrupt Copia: The American Center for Wine, Food, and the Arts has now amended its complaint to include an insurance bad-faith claim against ACA Financial Guaranty Corp.

Copia Claims LLC, the bondholder, alleges that ACA is protecting itself at the expense of the 2007 bondholders. Copia Claims had earlier interjected itself into the bankruptcy case by buying a $12,000 unsecured claim for $4,000, attempting to get the Copia estate to pursue a fraudulent transfer claim over what it believes is a botched ...

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