International

The Federal Deposit Insurance Corp. says Bank of America Corp. owes the failed Colonial Bank $900 million for losses suffered when Colonial collapsed in the wreckage of Taylor Bean & Whitaker Mortgage Corp.’s multibillion-dollar bank fraud. Read the Daily Bankruptcy Review article here.

Ernst & Young is asking a federal judge to dismiss a lawsuit filed by the New York Attorney General accusing the accounting giant of helping Lehman Brothers Holdings Inc. disguise its financial condition while collecting more than $150 million in fees from the firm. Read the Daily Bankruptcy Review article here.

A judge on Friday said Bank of America Corp. and Barclays PLC could move forward with a $1.33 billion sale of half their stake in the Archstone apartment company to Sam Zell’s Equity Residential, calling Archstone co-owner Lehman Brothers Holdings Inc.’s bid to halt the deal an attempt to get the stake for itself at a lower price. Read the Daily Bankruptcy Review article here.

Quiznos is reaching a deal to restructure about $870 million in debt, The Wall Street Journal reports.

The U.S. Supreme Court has opted to weigh in on one of the hottest topics in bankruptcy: whether lenders have the right to use debt as currency in bankruptcy auctions. Read the Daily Bankruptcy Review article here.