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(USGovernment-News.Com, June 03, 2013 ) New York, NY -- On May 10, popular news blog DigitalOlympus.com commented on a recent news article by Casey Sullivan published on FoxBusiness.com regarding former Dewey & LeBoeuf partner Steven Otillar’s decision to settle a disagreement with Citibank after claiming that this financial institution had deceitfully induced him and his partners for a loan program to fund their capital contribution into the distressing company.
The FoxBusiness.com news report revealed that Citibank had already sued Steven Otillar in May of last year for allegedly defaulting on a loan of more than $200,000 that financed his capital in the now-defunct law firm, Dewey & LeBoeuf. In response to this situation, Otillar, who is now working at the law firm Akin Gump Struss Hauer & Feld, filed an opposing motion claiming he did not owe Citibank any payments.
According to Fox Business article Steven Otillar stated that, “the bank had "fraudulently induced" him and other Dewey partners to sign up for the capital loan program when it knew of the firm's precarious financial state. Otillar said Citibank had a duty to disclose whatever knowledge it may have possessed regarding Dewey's true financial condition to Otillar and other partners who received loans from Citibank.”
Reacting to the Fox Business news piece, DigitalOlympus.com leading Business Intelligence researcher, Josh Cole, stated that this situation is an example of the importance for corporate organizations and financial institutions to conduct background investigations before signing any business deals in order to avoid unforeseen misunderstandings that could lead into potentially harmful legal actions.
In a statement following the FoxBusiness.com news report, Cole offered some suggestions to firms facing similar challenges: “The need for due diligence investigations cannot be undermined; it’s a crucial part in every facet of business transactions.” Cole also hailed Citibank and former Dewey partner’s efforts to resolve the loan dispute amicably.
The Fox Business article concluded by revealing that New York Federal Judge Louis Stanton had dismissed the case after Citibank and Otillar reached a settlement agreement. In his ruling, Stanton said that all alleged accusations by Citibank as well as all counterclaims stated by the defendants against the mentioned banking institution would be terminated.
As a news and technology blog, DigitalOlympus.com is committed to providing useful recommendations to its readers on how to avert possible fraud and corruption misconducts, including FCPA violations, while also urging all business leaders to hire outside specialized firms that can help them investigate and provide valuable information before starting any financial transactions.
About DigitalOlympus.com
Digitalolympus.com is a news blog dedicated to educating its readers on the latest technology advances. They are committed to gathering information on up and coming technologies that will enhance the lives of their readership. Digitalolympus.com is always at the forefront of technology news and events guiding its readers to accurately determine the best course of action for themselves and their businesses.
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