SAN JUAN, Puerto Rico,
Aug. 22, 2014 /PRNewswire/ -- In
response to recent developments in the negotiations between Doral
Financial Corporation and the Puerto Rico Treasury Department,
Matthew D. McGill of Gibson, Dunn
and Crutcher issued the following statement:
"Doral has not left the negotiations. The Treasury
Department attempted on Thursday to introduce into the negotiations
so-called "business points" conceived by its new outside counsel,
Foley & Lardner, that were contrary to the provisions of the
agreement reached and sworn to by the parties in front of Judge
Perez-Perez of the Court of the First Instance. Foley
& Lardner recently represented Doral in a related matter and
that raises a conflict of interest. It has a duty of
loyalty to its client, Doral, from acting adversely to
Doral. For that reason, Doral sought guidance from Judge
Perez-Perez as to how to proceed. Judge Perez-Perez
ruled that the parties will continue negotiations today under her
supervision, without the participation of Foley & Lardner, and
according to the terms previously agreed by the parties."
Doral Financial Corporation is a bank holding company engaged in
banking, mortgage banking and insurance agency activities through
its wholly-owned subsidiaries Doral Bank, with operations on
the mainland U.S. (New York metropolitan area and northwest
region of Florida) and Puerto Rico. Doral Financial
Corporation's common shares trade on the New York Stock Exchange
under the symbol DRL. Additional information about the case of
Doral Financial Corporation against the Government of Puerto
Rico can be found at www.DoralPuertoRicoFacts.com.
SOURCE Doral Financial Corporation