Bank of America has been banned from suing Parmalat, the food group which went bust in 2003 after an accounting scandal.
The bank – along with investors, auditors and the group’s managers – want damages for being victims of fraud at the hands of the Italian firm.
But a judge has barred Bank of America and two auditors from the case
Two of Italian food giant Parmalat’s former auditors are to stand trial over their alleged role in the financial scandal that struck the firm last year.
Former Grant Thornton employees Maurizio Bianchi and Lorenzo Penca are to be prosecuted for market-rigging, a Milan court ruled on Tuesday. The pair are the first to be indicted over the Parmalat scandal
It is the biggest pay-out yet won by regulators tracking down wrongdoing by US mutual funds, in which at least half of US households have savings.
Bank of America and FleetBoston agreed to pay fines and cut their fees, but admitted no wrongdoing.
The US market regulator and New York’s attorney general unveiled the deal