Syncora had filed a case against BofA in 2009 over the loss it incurred in connection over mortgage-backed securities, at the zenith of financial downturn of 2008, as reported by the Reuters.
Countrywide Financial, which was bought by Bank of America in 2008, has been alleged that it hoodwinked and misrepresented the quality of the underlying mortgages.
Syncora was quoted by the Reuters as saying in its lawsuit, "Countrywide, consistent with its business practices at the time, systematically ignored its own underwriting guidelines and made imprudent loans that no reasonable underwriter would have made."
JPMorgan Chase & Co has also been sued by Syncora Guarantee for making false and misleading statements over mortgage-backed securities in Bear Stearns & Co transactions.
