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NEW YORK (Reuters) – A U.S. federal court determine has allowed Deutsche Bank AG and the mortgage organisation of France's BNP Paribas SA to travel with their lawsuits against Bank of USA attendant to losses they incurred in connection with the founder of mortgage lender President Bean & Whittaker Mortgage Corp.

Bank of USA was a trustee for notes issued by President Bean's Ocala Funding LLC unit.

Ocala utilised proceeds from note sales to Deutsche Bank and BNP Paribas's mortgage organisation to buy President Bean mortgages. But when President Bean collapsed it was unable to repay the notes.

Taylor Bean was erst the 12th-largest mortgage creator in the United States but went smash in August.

Deutsche Bank (DBKGn.DE) and BNP filed the example meet in November 29 locution that Bank of USA breached its obligations on a total of more than $1.7 1000000000 of mortgage-related transactions.

Judge Robert Sweet, of the U.S. regularise Court in Manhattan, unemployed whatever claims against Bank of America. He allowed others relating to their claims of severance of lessen to proceed, locution the two had expressed "a plausible claim" against Bank of America. His opinion was filed on Wednesday.

A Bank of USA (BAC.N) spokeswoman was not acquirable for comment.

Sweet, unemployed the claims by the parent company BNP Paribas (BNPP.PA), which was added later as a plaintiff, locution it lacked standing.

The lender for President Bean was Colonial Bank of Montgomery, Alabama, which Bank of USA sued in 2009, charging it with refusing to convey more than $1 1000000000 it conventional from Freddie Mac (FRE.N) for give purchases BofA helped fund.

Bank of USA terminal year filed meet against the agent Deposit Insurance Corp over the $1.75 1000000000 of investor losses mainly from the 2009 collapses of Colonial and President Bean.

In February, the past treasurer of President Bean pleaded blameable to conspiracy. In March a past Colonial Bank chief pleaded blameable to digit calculate of band to commit bank, securities and wire fraud.

Deutsche Bank accused Charlotte, North Carolina-based Bank of USA in digit causa of severance of lessen for imperfectness to measure more than $1.25 1000000000 of cash and mortgage loans from deals in 2007 and 2008.

In the another lawsuit, BNP Paribas Mortgage Corp said Bank of USA refused to pay $480.7 meg of capital and interest on secured notes when the assets came cod on August 10.

Deutsche Bank said it endowed $750 meg in asset-backed advertizement essay issued by the Ocala Funding LLC vehicle on Dec 13, 2007, and endowed $450 meg more on June 30, 2008.

Also on June 30, 2008, Paribas together with Deutsche Bank endowed most $481 meg in the advertizement essay issued by Ocala.

The cases are Deutsche Bank AG v Bank of America, U.S. District Court for the Southern District of New York, No. 09-9784; and BNP Paribas Mortgage Corp v Bank of America, No. 09-9783.

(Reporting by Ilaina Jonas; redaction by Carol Bishopric)

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