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SETTI.El\1ENT AGREE~1ENT AND MUTUAL RELEASES 

This Settlement Agreement and Mutual Releases C'Agreement") is made this _ _/~~- day 

of August, 20ll by, between and among the following undersigned Parties: the Plaintiff, Federal 

Deposit Insurance Corporation, in its capacity as receiver for .AmTrust Bank ("FDIC-R"); and 

the Defendant Nicola A. Hurry ("Huny"); both ofwhom are parties in a case captioned FDIC, as 

Receiver for Am Trust Bank v. The .lvfortgage Zone Inc., et al., Case No: 208-CV -03369 

(E.D.N.Y.) ("The Litigation"). 

·wHEREAS, In August, 2008, AmTrust Bank initiated The Litigation against numerous 

bonowcrs, its closing attorney Dean Rcskakis, its mortgage broker, The Mortgage Zone Inc., and 

other individuals and entities alleged to be involved in the origination of mortgages using 

improper flip transactions and straw buyers, including c.laims against Hurry for fraud and breach 

ofcontract related to one such mortgage; 

WHEREAS, Hurry has denied the allegations asserted against her for fraud and breach of 

contract; 

\VHEREAS, Htury has provided the FDIC-R '-Vith a sworn aflidavit and other financial 

materials io demonstrate that she is indigent and unable to pay a judgment; 

\VIIEREAS, the FDIC-R has relied upon the accuracy of the infonnation provided by 

Hurry regarding her financial co.ndition; and 

WHEREAS. withoui any admission of liability by any of the undersigned Parties, the 

Parties deem it to be in their respective best interests to end their disputes arising out of and 

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related to The Litigation, and avoid fmthcr costs and risks associated with The Litigation and 

enter inio this Agreement. 

NOW, THEREFORE, in consideration ofthe promises, undertakings and releases stated 

hero.in, the sufficiency ofwhich consideration is hereby acknowledged~ the undersigned Parties 

agree, each ·with each other, as follows: 

Section l. Hurrv's Agreement to Cooperate. 

A. As an essential covenant and. condition to this Agreement, Hmry agrees to 

provide a sworn statement to the FDIC-R regarding the persons, entities) and events involved in 

the Litigation. 

B. Hurry further agrees to cooperate fi.llly with the FDJC-R in the ongoing Litigation 

and any future litigation related to the persons, entities, and events involved in the Litigation, 

including, if necessary, testifying regarding the persons, entities, and events involved in the 

Litigation. 

Section 2. Stipulations and Dismissals. 

Upon execution of this Agrev"'111ent by each of the undersigned Parties. the FDIC-R shall 

dismiss with prejudice all of its claims .in the Litigation against Hurry. The FDIC-R shall 

prepare and execute a stipulation of dismissal with prejudice as to these claims within 30 days 

after receipt ofthe swom statement by Hurry. 

Section 3. Mutual Release.s. 

A. Release ofHun·y by the FDIC-R. 

Effective upon receipt ofthe swom statement specified. in Section 1 above, the FDIC-R 

hereby releases and discharges Huny, her insurers, representatives, successors, assigns and 

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attorneys, from any a.11d all claims) demands; obligations, damages, actions, causes of action~ 

direct or indirect, in law or in equity~ bel.onging to the Ji'DIC-R that arise from or relate to The 

Litigation. 

B. Release of the FDIC-R bv rlurry. 

Effective simultaneously \\ith the release in Section 3.A above~ Hurry, on her own behalf: 

and on behalf of her heirs, executors, administrators, representatives, assigns. insurers, and 

attomeys hereby releases and discharges the FDIC-R from any and all claims, demands, 

obligations. damages, actions, causes of action, djrect or inclirect, in law or in equity, that arise 

from or relate to the Litigation. 

C. Express Reservation ofReleases Bv The FDIC. 

1. Norvvithstanding any other provision. by this Agreement, the .FDIC-R does not 

release and CJ...-pressly preserves fully and to the san1c extent as if the Agreement had not been 

executed, any rights, claims or causes ofaction: 

1. Against any other party in the Litigation not expressly released by tllis 

Agreement; and 

n. Which are not expressly released in Section 3A. above. 

2. Notwithstanding any other provision ofthis Agreement, nothing herein limits, 

waives, releases, dirnif'ishcs or compromises the jurisdiction and authority ofthe Federal Deposit 

Insurance Corporation in the exercise ofits supervisory or regulatory authority to institute 

administrative enforcement o.r other proceedings seeking removal, prohibition~ civil penalties, 

restitution or other relief it is authorized. to seck pursuant to its supervisory or regulatory 

authority against any person~ or which may arise by operation oflaw, tule, or regulation. 

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3. Notwithstanding any other provision ofthis Agreemcntl this Agreement does not 

waive any claims which could be brought by the United States lhrough the Department ofJustice 

or the United States Attorney's Office for any federal judicial district. h1 addition, the FDIC-R 

specifically reserves the rig.l:lt to seck court ordered restitution pursuant to the relevant provisions 

of the Victim and Witness Protection Act, 18 U.S.C. § 3663, et. seq., ifappropriate. 

Scction4. Representations and Acknow1edgrn_~_l:l1~ 

A. No Admission ofLiability. The WJ.dcrsigncd Parties each acknowledge and agree 

that the matters set forth in this Agreement constitute a settlement and compromise of disputed 

claims and that this Agreement is not an admission or evidence of any liability of any of them 

regarding any claim. 

B. Execution in Counterparts. This Agreement may be executed in counterparts by 

one or more of the Parties named herein and all such counterparts when so executed shall 

together constittJte the :fi.nal Agreement, as if one document had beetl signed by all Parties hereto; 

and each such counterpart, upon execution a.nd delivery, shall be deemed a complete original, 

binding the Party or Parties subscribed thereto upon the execution by all Parties to 1his 

Agreement. 

C J3inding Effect. Each of the undersigned persons represents and warrants that 

they arc a Party hereto or are authorized to sign this Agreement on behalf of a Party~ and that 

they have ihe full power and authority to bind such Party to each and every provision of this 

Agreement. This Agreement shall he binding upon and inure to the benefit of the undersigned 

J>arties and their respective heirs~ executors, administrators, representatives, successors, assigns 

and attorneys. 

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D. ,S.p~.cific Representati.gp.s, ·warranties and Disglt.rimer. Hurry acknowledges that 

in determining to settle the claims released. herein, the FDIC-R reasonably and justifiably relied 

upou the accuracy of .financial information provided Hurry. If Hurry failed to disclose, or 

misrepresented the nature or amount of: any interest, legal> equitable) or beneficial= in any asset, 

Hurry agrees to cooperate fully with the FDIC-R to transfer its interest in the asset to the FDIC-R 

and to sign any and aU documents necessary to trru.l.Sfer its interest in the asset to the FDIC~R. 

M.oreover, ifHurry has failed to disdose any interest, legal, equitable, or beneficial~ in any asset, 

the FDIC-R in its sole discretion, may exercise one or more or all ofthe following remedies: (a) 

the FDIC-R may declare the release granted 1o Hurry as null and void; (b) the FDIC-R may sue 

Hurry for damages, an hyunction, and specific performance for the b:r.each of this Agreement; 

and {c) the FDIC~R may seek to vacate any dismissal order and reinstate the FDIC-R's claims 

against Hurry. Hurry agrees tl1at if she has failed to disclose, or misrepresented the nature or 

amollilt of> any interest1 legal, equitabJe, or bene.ficial, in any asset, Hurry consents to the 

reinstatement of FDIC-R's claims and waives any statute of limitations defense that would bar 

aYJ.y ofthe FDIC-R's claims against her. 

E. Choice of Law. This Agreement shall be interpreted, construed and enforced 

according to applicable federal law, or in its absence_, the laws oftl.1.e State ofNew York. 

F. Entire Agreement and Amendments. This Agreement constitutes the entire 

agreement and understanding between and among the undersigned Parties concerning the matters 

set forth herein. This Agreement may not be amended or modified except by another written 

instnunent signed by the parties to be b()und thereby, or by their respective autho.rizcd attorneys 

or other representatives. 

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G. Advice of Co~. Each Party hereby acknowJedges that it has consulted with 

and obtained the advice of cowlSCl prior to executing tbis Agreement, and that this Agreement 

has been explained to ihat Party by his or her counseL 

fN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed 

by each ofthem or their duly authorized representative on the dates hereinafter subscribed. 

Fegeral Deposit Insurance Corporation, as 

Receiver for AmTrust Bank 

····························IL....--_···_·······························__ 

Nicola Hurry 

Drue._____________________ 

H605699 

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G. Ad~ice of C01msel. Each Party hereby acknowledges that it has consulted with 

and obtained the advice of counsel ptior to executing this Agreement, and that this Agreement 

has been explained to that Party by his or her counseL 

IN 'WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed 

by each of them or their duly authorized representative on the dates hereinafter subsc1ibed. 

Federal Deposit Insurance Corporation, as 

Receiver for AmTrust Bank 

Date:___________ 

Ni.cola Hurry 

Date__{!;-+L _/_.:2~/_2 ___ _ _ ~L...-___........_..................... _ ........_..............._.......... _ ...........---- ·········· ~ lQllP)


116056~ 

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