New York subpoenas Wall Street on mortgages

[flashl]

New York state prosecutors have sent subpoenas

New York state prosecutors have sent subpoenas to Wall Street firms seeking information related to the packaging and selling of debt tied to high-risk mortgages, a person familiar with the matter said on Wednesday.

The subpoenas, sent by the office of New York Attorney General Andrew Cuomo, requested information from a number of Wall Street firms.

The Wall Street Journal on Wednesday reported that Merrill Lynch & Co, Bear Stearns Cos and Deutsche Bank AG received subpoenas, citing unnamed sources.

Deutsche Bank and Merrill Lynch declined to comment, while a Bear Stearns spokesman did not return calls.

Cuomo last month said he would subpoena investment banks as part of an expanding probe into the $10 trillion U.S. mortgage industry.

REad More

[sasquatch]

1. Take the bastards behind the woodshed