collateral

“It is designed for cases where you want to physically intervene but need to rule out collateral damage.”

But questions continue to swirl around problems with collateral that caused Fifth Third to lose money on loans to Tricolor, while other lenders took losses on loans to First Brands.

A lawsuit filed by Western Alliance alleging fraud by one of its clients, plus concerns over collateral from two others, make the picture more unsettling.

Western Alliance, another regional bank, said it was suing a borrower for fraud who failed to provide collateral for a loan.

Western Alliance said Thursday that it has enough collateral and guarantees to avoid losses from a borrower that is being sued for alleged fraud, which includes possible failure to provide first‑position collateral.