Ambac Chief Financial Officer Sean Leonard Resigns

Ambac crept even closer to bankruptcy today when it’s CFO headed for the exit.

NEW YORK (AP) — Embattled bond insurer Ambac Financial Group Inc. says its chief financial officer has resigned.

The company says Sean Leonard left “to pursue other interests.” The resignation is effective immediately.

The departure comes just weeks after New York-based Ambac said it may be forced to file for bankruptcy protection.

In a filing with the Securities and Exchange Commission Nov. 9, the company said it believes it has the liquidity to get through the second quarter of 2011, but warned it could run out of money sooner.

Ambac, which for years had backed municipal bonds that rarely defaulted, in recent years had invested in complex new bonds, which were comprised of risky mortgages.

Shares of Ambac fell 9 cents, or 10 per cent, to 81 cents in afternoon trading.

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