Troubled mortgage lender Taylor, Bean & Whitaker is on the hook to a New York unit of Deutsche Bank AG for $42 million, filings revealed last week in a Jacksonville, Florida-based U.S. bankruptcy court. Deutsche Bank Securities is the largest unsecured creditor to file a claim against the Ocala, Florida-based Taylor Bean, and the filing says Taylor Bean is “disputing” the claim.

A spokesman for the now-defunct mortgage firm told the Wall Street Journal last week that the claim is related to “Ocala Funding, an entity set up by Taylor Bean to borrow money for short periods to fund home loans.” The court filing ranked a number of creditors’ claims against Taylor Bean. The next largest claim after Deutsche Bank was $9.9 million owed to a private financier, James G. Hicks of Lawrenceville, Georgia. DS News reported August 6 that Taylor Bean — one of the nation’s biggest non-bank mortgage lenders and servicers – had ceased operations after it was suspended by the Federal Housing Administration for allegedly misleading regulators about accounting irregularities and fraudulent business practices. Also August 21, the Office of Thrift Supervision placed a cease-and-desist order on one of Taylor Bean’s subsidiaries, Platinum Community Bank, forbidding it to continue “unsafe and unsound practices.” The OTS order says the bank failed to maintain accurate records, did not operate independently of Taylor Bean, and was undercapitalized. The agency also instructed Platinum to preserve all its records and bar the destruction of any of its business data.