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FIRST NATIONWIDE BANK v. KONECKY

224 A.D.2d 283 (1996)

638 N.Y.S.2d 428

First Nationwide Bank, Appellant, v. Richard M. Konecky, Respondent

Appellate Division of the Supreme Court of the State of New York, First Department.

February 15, 1996

Plaintiff must allege that defendant's alleged negligence in failing to investigate the mortgage borrowers' fraudulent misrepresentations was a proximate cause of its loss (see, Franklin v Winard, 199 A.D.2d 220, 221). Since the Second Circuit dismissed the plaintiff's Racketeer Influenced and Corrupt Organizations Act ([RICO] 18 USC § 1962 [c], [d]) and State law claims against the mortgage borrowers for failure to plead...

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