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Bank of Scotland, Bondholders Can Join WaMu Lawsuit

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Bank of Scotland Plc and other bondholders in bankrupt Washington Mutual Inc. can help defend a lawsuit against the Federal Deposit Insurance Corp. brought by the bank’s former holding company, a judge ruled.

The bondholders, who also include Fir Tree Value Master Fund and the Governor and Co. of the Bank of Ireland, have a right to intervene in the case to protect their interests, U.S. District Judge Rosemary Collyer said in an order yesterday.