Eight former members of Hilgers & Watkins have settled a legal malpractice case for $2.9 million.

According to reports, lawyers allege that the former Hilgers & Watkins attorneys — seven of which are now with Austin firm Brown McCarroll — helped a now-defunct high-risk loan operation cheat Michael McCarthy and his Austin companies Gowran LLC and MGM Holdings Inc. out of $4.5 million.

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