Deutsche bank to pay €1.4bn for mortgage securities trouble

Germany's largest bank said on Friday that it had agreed to pay 1.4 billion euros (1.9 billion U.S. dollars) to end its mortgage securities litigation in the United States. Deutsche Bank said in a statement that it had reached an agreement with the Federal Housing Finance Agency to resolve the residential mortgage-backed securities. Deutsche Bank, along with 16 other financial institutions, was sued on allegations that it did not provide adequate disclosure about certain residential mortgage-backed securities sold to Fannie Mae and Freddie Mac between 2005 and 2007. Juergen Fitschen and Anshu Jain, Co-Chief Executive Officers of Deutsche Bank, said: "Today's agreement marks another step in our efforts to resolve the Bank's legacy issues, and we intend to make further progress in this regard throughout 2014." Earlier this month, the bank reached an agreement with the European Commission on paying a total of 725 million euros to resolve an investigation into the submission of interbank offered rates. (1 US dollar = 0.73 euro)