McGrane Greenfield LLP Files Class Action on Behalf of Holders of 2007 Copia Bonds;...

McGrane Greenfield LLP Files Class Action on Behalf of Holders of 2007 Copia
Bonds; Announces Upcoming Class Deadline

SAN FRANCISCO, June 30 /PRNewswire/ -- The law firms of McGrane Greenfield,
LLP and Kershaw, Cutter & Ratinoff, LLP have filed a class action lawsuit on
behalf of a class of persons or entities that hold a derivative interest as of
June 10, 2009 in bonds issued by the California Infrastructure and Economic
Development Bank, referred to as Refunding Revenue Bonds, Series 2007A and
Series 2007B (COPIA: The American Center for Wine, Food & The Arts Project),
issued pursuant to a certain Indenture dated May 1, 2007, between the
California Infrastructure and Economic Development Bank and The Bank of New
York Trust Company, N.A. (the "2007 Copia Bonds").

The complaint alleges that the Prospectus for the 2007 Copia Bonds was false
and misleading in that it was affirmatively represented in the Prospectus that
the 2007 Copia Bonds had been issued for the express purpose of defeasance of
a prior 1999 bond issue (the "1999 Bonds") on or before September 7, 2007.
The Complaint alleges that the representation was false in that, in order for
the prior 1999 Bonds to have been defeased, a written opinion of counsel was
required by Section 10.03(4) of the 1999 Bonds Indenture, which was not
provided as required. Therefore, the 1999 Bonds have never been made the
subject of any proper or legal defeasance and could never have been made the
subject of any proper or legal defeasance. The Complaint alleges that the
misrepresentation and failure to disclose the lack of any proper or legal
defeasance respecting the prior 1999 Bonds and the 2007 Copia Bonds allowed
what would have been otherwise unmarketable bonds to be issued and sold. The
Complaint alleges that the holders of a derivative interest in the 2007 Copia
Bonds suffered substantial losses as a result.

The class action, entitled Copia Claims, LLC v. California Infrastructure and
Economic Development Bank, was filed on June 10, 2009, and amended on June 16,
2009. The action is pending in the United States District Court for the
Eastern District of California. The Case Number is 2:09-CV-01610. It names
as defendants Infrastructure and Economic Development Bank; The Bank of New
York Mellon Trust Company, N.A., ACA Financial Guaranty Corporation ("ACA"),
and Orrick, Herrington & Sutcliffe, LLP. Defendants are charged with
violating Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5
promulgated thereunder and ACA also is charged with insurance bad faith.

If you would like more information or a copy of the complaint you can visit
the court's website at www.caeb.uscourts.gov and view the docket through the
PACER system or contact the attorney for McGrane Greenfield listed below.

If you would like to serve as lead plaintiff in this action, you must move the
court no later than August 31, 2009. Any member of the putative class may
move the Court to serve as lead plaintiff through counsel of his or her
choice, or may choose to do nothing and remain an absent class member. If you
hold, or believe you may hold, a derivative interest in the 2007 Copia Bonds
and would like more information please contact McGrane Greenfield by e-mailing
or calling to speak with the following attorney:

Christopher D. Sullivan (csullivan@mcgranegreenfield.com)
One Ferry Building, #220
San Francisco, CA 94111
Phone number: (415) 283-1776
Website: http://www.mcgranegreenfield.com

SOURCE McGrane Greenfield, LLP

Christopher D. Sullivan of McGrane Greenfield, LLP, +1-415-283-1776, or C.
Brooks Cutter of Kershaw Cutter & Ratinoff, LLP, +1-916-448-9800