AmEx Board's Lax Oversight Led To $112M CFPB Deal: Suit

Law360, New York (November 8, 2012, 2:26 PM EST) -- An American Express Co. investor on Wednesday filed a derivative action against the company's board of directors, claiming they didn't sufficiently oversee credit card practices that resulted in a $112.5 million settlement with federal regulators.

In a complaint filed in New York State Supreme Court in Manhattan, investor Bob Lankford said the 13-member American Express board did not do enough to prevent the company from engaging in allegedly deceptive credit card practices and other violations, and did not inform investors that there was a risk of...
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