Aug 6 SunTrust Banks Inc, a U.S.
southeast regional bank, on Wednesday said it is cooperating
with the office of U.S. Attorney Preet Bharara in New York in a
broader-based industry investigation regarding claims for
foreclosure-related expenses charged by law firms.
In a regulatory filing, the Atlanta-based lender said the
charges concern the foreclosure of loans guaranteed or insured
by government-controlled mortgage companies Fannie Mae
or Freddie Mac, or by the Federal Housing
SunTrust said the probe relates to a private whistleblower
lawsuit that was filed under seal, and which remains in its
early stages. It said it "engaged in dialogue" with Bharara's
office about a possible resolution to this matter, but was
unable to reach an agreement.
(Reporting by Jonathan Stempel in New York; Editing by Lisa