Highland Capital Seeks $250 Million In Damages From Credit Suisse

In 2008, Highland Capital and Credit Suisse Group AG (ADR) (NYSE:CS) entered business together over Highland’s investment in Lake Las Vegas, a resort community real estate development.  Highland received an appraisal from Credit Suisse in earlier years, which valued the 3,582 acre property at $891 million from $522 million in 2007.  With the appraisal, Highland Capital used the property as collateral against a $540 million loan.  However, the deal defaulted, the property was sold for pennies on the dollar, for $17 million and Highland saw massive losses.  All the while, Credit Suisse collected $20 million in fees and sold dividend recapitalization loans totaling $3 billion in restructured products, which all eventually went under.  From 2004 to 2006, Highland increased...