A US Federal Court has found that four of the 12 original charges brought by Enrico Bondi, former Parmalat chief, against the Bank of America will be allowed to proceed.
Bondi has accused the Bank of America of allegedly contributing to the collapse of the food group in 2003, and is perusing compensation of US$10bn under US ‘racketeer influenced and corrupt organisations’ law.
Parmalat originally filed a 12-point lawsuit against the Bank of America. In August eight of the charges were summarily dismissed, two were dismissed with permission to refile and two proceeded. The latest decision in this ongoing legal saga gives Parmalot permission to advance the two charges that it refilled.
Tim Gilles, Bank of America spokesperson, told just-food that media reports of the case have exaggerated the importance of this preliminary decision.
The company said: “In his decision, Judge Kaplan noted that, as a legal matter, at this stage of the proceedings he must accept the allegations in the complaint as true.” Essentially, Gilles said, even assuming that the allegations are true, Judge Kaplan allowed the progress of only three out of the more than fifteen transactions between Bank of America and Parmalat bought to the court’s attention in the amended claim.
The Bank of America said that it remains confident that it will receive a favourable decision: “As we have stated previously, in all of its dealings with Parmalat, Bank of America believed that it was dealing with a strong, honest and profitable company, and had no knowledge of the fraud perpetrated by Parmalat and its senior management.”