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Shareholders in ABN Amro have taken legal action against Bank of America over the sale of the Dutch bank’s US unit LaSalle, it emerged today.
The case has been brought by Carl and Toni Sadowsky against BofA in the US District Court for the Southern District of New York, according to New York filings obtained by Thomson Financial News.
According to the filings, the two shareholders have demanded that the sale be rescinded unless they, the ABN shareholders, grant their approval, Thomson Financial reported.
The Sadowskys also ask the court to prevent BoA from enforcing the LaSalle deal, including the $200 million termination fee payable to the US bank if the sale falls through.
They demand damages, legal fees and other costs.
ABN Amro agreed in April to sell LaSalle to BofA for $21 billion. Successful completion of the deal was contingent on a €65 billion takeover by Barclays of the rest of ABN going ahead.
However, the deal has been frozen by the Enterprise Chamber in Amsterdam in order to give shareholders a vote on the sale. It is awaiting a mid-July ruling by the Supreme Court on appeal.
An initial hearing on a damages claim bought as a result by BofA has been postponed until after the ruling.
Carl and Toni Sadowsky claim in the US court filing that BoA knew that ABN Amro had structured the LaSalle deal in a way that would operate as a “poison pill” to a competing higher bid for the whole of ABN Amro, including LaSalle, Thomson reported.
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