Kronish Lieb litigators have obtained a significant victory for client Allied Irish Banks, PLC ("AIB") in its $500 million case against Citibank and Bank of America, arising out of a rogue employee's trading at AIB's subsidiary Allfirst in 2002. In an opinion dated January 31, 2006, United States District Judge Deborah A. Batts denied the defendants' motions to dismiss and permitted AIB to proceed on all but one of its claims.
AIB's complaint alleges that Citibank and Bank of America facilitated the former rogue employee's fraud, helped hide his actions, and reaped enormous profits from these activities. "The Bank intends to prosecute the case vigorously," said Kronish Lieb Managing Partner Alan Levine.
In addition to Mr. Levine, the Kronish Lieb litigation team for AIB includes partner Stephen L. Ascher and associates Jeffrey E. Gross and Ian Ross Shapiro.