On July 12th, Reuters reported that the New York Attorney General is inquiring into Bank of America's proposed $8.5 billion settlement of investor lawsuits stemming from the sale of mortgage-backed securities ("MBS"). The New York Attorney General wants the names of investors and the par and current value of the securities. Information. On July 13th, Reuters reported that an investor in one of the MBS trusts may seek to intervene to block the settlement. Intervention. Bloomberg reported the Federal Home Loan Banks ("FHLBs") have moved to intervene. The FHLBs want more information on why Bank of New York Mellon, the trustee for the MBS, has accepted the proposed settlement. Home Loan Banks.