The trustee in charge of liquidating the estate of the law firm of disgraced Manhattan attorney Marc Dreier cannot recover funds from Wachovia Bank related to a $9 million loan the bank extended to Mr. Dreier shortly before the firm collapsed, a bankruptcy judge ruled yesterday.
In Gowan v. Wachovia Bank, 10-5458, Southern District Bankruptcy Judge Stuart M. Bernstein granted Wachovia’s motion to dismiss a lawsuit filed by Sheila M. Gowan of Diamond McCarthy as Chapter 11 trustee for the estate of Dreier LLP. Ms. Gowan alleged the bank lent millions of dollars to Mr. Dreier’s firm even after it should have become suspicious that Mr. Dreier was involved in an illegal scheme.
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