Steven D Jannace

Bank’s Response to Southwest’s 56.1, ¶ 7.) In distinguishing Southwest and NetBank’s relationships with Community, NetBank asserts: “Southwest extended a line of credit to Community in exchange for a secured interest in the notes associated with the mortgage loans Community originated. NetBank purchased loans from Community without extending any line of credit to Community.” (NetBank’s Response to Southwest’s 56.1, ¶ 12.) As discussed infra, this issue need not be resolved for purposes of these motions.

⁴ Both intervenor-plaintiffs agree that Community engaged in fraud by “double-booking” loans. (Southwest’s 56.1, ¶ 13; NetBank’s Am. Intervenor Compl., ¶¶ 47-53 (Stagg Aff., Ex. 16).) Therefore, for purposes of deciding this motion, the Court shall assume that Community, in fact, did engage in a fraudulent double-booking scheme.