REUTERS Business | Thu May 7, 2015 2:04pm EDT
By Daniel Wiessner
New York's top state court on Thursday revived a bond insurer's $120 million lawsuit claiming Goldman Sachs Group Inc (GS.N) lied about a pool of securities backed by subprime mortgages during the period leading up the financial crisis.
The New York Court of Appeals in a 5-2 decision said the suit by ACA Financial Guaranty Corp ACAFG.UL should move forward because the insurer had raised issues about the role of billionaire John Paulson's hedge fund in a collateralized debt obligation called Abacus.
ACA Financial said Goldman had deceived it...