Banking

  • October 21, 2014

    FINRA Slams Ex-Deputy Director's Discrimination Claims

    The Financial Industry Regulatory Authority urged a Florida federal judge on Monday to throw out wrongful termination and discrimination allegations from a former deputy regional director, criticizing her job performance and arguing that her position was eliminated as part of a companywide staff reduction.

  • October 21, 2014

    Ex-UBS Adviser Says Weil Was At Meeting On Hiding Accounts

    A former UBS AG client adviser on Tuesday placed the Swiss bank's ex-wealth management head Raoul Weil at meetings in 2002 where clients were allegedly advised on keeping accounts hidden from U.S. authorities, but Weil's attorneys questioned why this information was not mentioned in prior meetings with federal prosecutors.

  • October 21, 2014

    Bank Of China Terror Case Judge Wants Info On Cantor Role

    U.S. District Judge Shira A. Scheindlin on Tuesday suggested former U.S. House Majority Leader Eric Cantor detail his contacts with Israeli officials in order to refute a call for him to testify about his alleged intervention in a lawsuit alleging The Bank of China Ltd. financially supported Hamas.

  • October 21, 2014

    Barclays Can't Escape Investors' Libor Manipulation Claims

    A New York federal judge on Monday refused to dismiss a putative investor class action alleging Barclays PLC manipulated the London interbank offered rate and covered it up through misstatements, ruling that the plaintiffs sufficiently alleged that the financial services company acted with fraudulent intent.

  • October 21, 2014

    Risk Retention Rule Stokes Concerns Over CFPB's Reach

    A top Federal Deposit Insurance Corp. official on Tuesday said the Consumer Financial Protection Bureau had too much say in the writing of risk retention rules when it was not formally involved in the effort, raising new questions about how much deference banking agencies are paying to the bureau.

  • October 21, 2014

    NY Claims Ocwen Backdated Letters On Mortgage Loans

    The New York State Department of Financial Services on Tuesday slammed Ocwen Financial Corp. for allegedly sending backdated letters regarding its mortgage loans, saying hundreds of thousands of borrowers may have been hurt by the practice.

  • October 21, 2014

    HSBC Retaliated Against Fired Exec's Accusers, Suits Claim

    HSBC (USA) Securities Inc. is facing a pair of lawsuits in New York federal court alleging it retaliated against employees who reported that a now-fired executive was sexually harassing a female subordinate, including by pressuring her to have sex with bank clients.

  • October 21, 2014

    Investment Adviser Agasti Settles Lehman Suits

    Investment adviser Agasti Holding ASA said Tuesday it has settled lawsuits related to the historic bankruptcy of Lehman Brothers Holdings Inc. and that the settlements will cost it 4.5 million Norwegian kroner ($685,585) in the next quarter. 

  • October 21, 2014

    REIT Sinks $144M Into JPMorgan Wind Projects

    Hannon Armstrong Sustainable Infrastructure Capital Inc. said Monday that it's invested $144 million in a portfolio of 10 wind farms owned by a JPMorgan & Chase Co. affiliate, the latest clean energy acquisition by the Maryland-based real estate investment trust.

  • October 21, 2014

    Buchanan Ingersoll, BofA Sued For $219M Virgin Islands Bond

    Buchanan Ingersoll & Rooney PC and Bank of America Corp. were slapped with a lawsuit by the U.S. Virgin Islands Public Finance Authority on Monday alleging they wrongly said a $219 million bond offering was tax-exempt, although an Internal Revenue Service investigation proved otherwise.

  • October 21, 2014

    JPMorgan, UBS, Credit Suisse Pay €94M Over Rate-Rigging

    The European Commission announced €94 million ($119.6 million) in settlements against J.P. Morgan, UBS, and Credit Suisse on Tuesday in connection with cartels that fixed the price of the Swiss franc-denominated Libor and certain Swiss franc interest-rate derivatives near the peak of the financial crisis.

  • October 21, 2014

    Feds Finalize Risk Retention Rule That Leans On CFPB

    The Federal Deposit Insurance Corp. and two other regulators approved a final rule Tuesday requiring banks to hold a stake in mortgages and other securitizations, and aligning an exception from the rule with the Consumer Financial Protection Bureau's standards for high-quality mortgages.

  • October 21, 2014

    RE Rumor Mill: Tokyo Bank, Co-Op Record, UBS Realty

    A unit of The Bank of Tokyo-Mitsubishi UFJ Ltd. is said to have signed a mega three-floor lease in midtown Manhattan, while a Ukrainian billionaire is reportedly the buyer behind a record $80 million co-op sale in New York City, and a brand-new Florida apartment complex is said to have traded to UBS Realty for $111.5 million.

  • October 21, 2014

    Market Rumors: Poste Italiane, Massimo Zanetti, JBS

    State-run postal service Poste Italiane delayed plans for its $5.1 billion Milan IPO as it focuses on a reorganization, while Italian coffee maker Massimo Zanetti also pushed back its IPO plans amid deteriorating market conditions.

  • October 21, 2014

    NY Fed Overlooked JPMorgan London Whale Risks: Watchdog

    The New York Federal Reserve Bank identified risks at the JPMorgan Chase unit responsible for the London Whale trading debacle, but did not share these findings with one of the bank’s other regulators, nor did it go through with planned examinations of the unit, the regulator’s internal watchdog said Tuesday.

  • October 20, 2014

    Forex Rigging Fines Could Reach $40B, Citigroup Says

     A number of the world’s largest banks could have to pony up as much as $40 billion in combined fines to settle the alleged rigging of foreign currency exchange markets, with Deutsche Bank AG and Barclays PLC set to owe the most, according to a Monday report released by Citigroup Inc.

  • October 20, 2014

    Ex-UBS Clients Describe Tax Schemes In Raoul Weil Trial

    UBS AG bankers encouraged and helped clients hide their assets from the Internal Revenue Service in foreign accounts, according to two former clients who testified Monday in the case against ex-wealth management head Raoul Weil for conspiring to conceal $20 billion in Americans' assets.

  • October 20, 2014

    Fed. Circ. Won't Rehear $13B IP Case Against Visa, MasterCard

    The Federal Circuit on Friday declined to grant a rehearing of its recent decision to toss a $13 billion suit in which SmartMetric Inc. had accused Visa Inc. and MasterCard International Inc. of infringing a network technology patent.

  • October 20, 2014

    Santander Spares $200M Of Auto Debt To Settle Notice Claims

    A California federal judge on Monday approved Santander Consumer USA's agreement to not collect almost $200 million in outstanding car loan debts in order to settle class action claims that the subsidiary of the Spanish banking behemoth issued faulty notices to borrowers after repossessing their cars.

  • October 20, 2014

    'Brisbane's Bernie Madoff' Can't Dodge US Fraud Charges

    A well-connected businessman who fled the U.S. after the collapse of his auto dealership and set up shop in Australia, where he was later dubbed “Brisbane’s Bernie Madoff,” can’t escape charges he defrauded U.S. banks and investors of up to $200 million, a California federal judge ruled Monday.

Expert Analysis

  • A Ban On Ban-The-Box?

    Natasha B. Dorsey

    In a regulatory landscape of ban-the-box laws and increased EEOC scrutiny of criminal history questions during the hiring process, employers in industries such as health care and finance are often put in the position of acting unlawfully because they are required to conduct background checks for certain positions. The Certainty in Enforcement Act could clarify things, but it also leaves the door open for trouble, says Natasha Dorse... (continued)

  • Talking The Talk: Nuclear Energy Lingo For Bankers

    George Borovas

    Three and a half years after the accident at the Fukushima Daiichi nuclear power plant, the nuclear industry is experiencing somewhat of a revival, however the apparent disconnect between its rhetoric and the mindset of financiers must be overcome to stimulate the successful development of new plants, say George Borovas and Helen Cook of Shearman & Sterling LLP.

  • The Cayman Way Of Identifying, Enforcing Against Assets

    Christopher Russell

    Identifying Cayman Islands-held assets of a defendant or proposed defendant is something of a mixed bag — straightforward in some respects, but difficult, bordering on the impossible, in other respects, say Christopher Russell and Jane Hale-Smith of Appleby Global Group Services Ltd.

  • Takeaways From Broker-Dealers’ Section 5 Inadequacies

    Daniel A. Nathan

    The U.S. Securities and Exchange Commission has issued letters of deficiency for Section 5 compliance to 80 percent of the firms examined. Meanwhile, broker-dealers are continually confronted with the decision whether the revenue from accepting and selling large quantities of lower-priced stocks is worth the risks, say Daniel Nathan and Michael Sorrell of Morrison & Foerster LLP.

  • 5 Takeaways From The New Cybersecurity Executive Order

    Lisa Ledbetter

    President Obama signed an executive order on Friday that requires federal agencies to apply enhanced security features to government payment cards. The administration views chip-and-PIN technology as a significant step forward, but such technology does not provide protection in online, mail and telephone order purchases, and does not eliminate the risk of a security breach, say attorneys with Jones Day.

  • Lessons From Recent DOJ Probes Of Large Banks

    Jacqueline M. Arango

    The U.S. Department of Justice is focusing on large financial institutions for not only failing to comply with federal laws but also for willfully violating laws that were meant to protect the sanctity of the U.S. financial markets. These recent prosecutions, particularly with respect to U.S. embargo violations, provide guidance on what not to do, say Jacqueline Arango and Christine Bautista of Akerman LLP.

  • What Litigators Can Learn From Novelists

    Michael H. Rubin

    Many legal briefs are written in impenetrable jargon and begin with an introduction telling the court what it already knows, using words that stem from the 18th century, such as “hereinafter.” Instead, we should approach briefs the way novelists approach their writing, says Michael Rubin of McGlinchey Stafford PLLC.

  • When Your General Contractor Files Bankruptcy

    Vicki R. Harding

    All is not lost when a general contractor files bankruptcy — subcontractors may be able to perfect their construction liens post-petition, as in the case of Branch Banking & Trust Co. v. Construction Supervision Services Inc., says Vicki Harding of Pepper Hamilton LLP.

  • Will The New ABS Rules Impact Cell Tower Securitizations?

    Malcolm P. Wattman

    Given the lack of specific discussion of cell tower securitizations in U.S. Securities and Exchange Commission commentary relating to two new rules affecting asset-backed securities, it is uncertain if cell tower securitizations are subject to the new rules, and whether the applicability of the rules depends upon the securitization structure used, say attorneys with Cadwalader Wickersham & Taft LLP.

  • Proposed Margin Rules For Uncleared Swaps Will Be Costly

    Richard B. Holbrook

    The proposed regulations implementing certain provisions of the Dodd-Frank Act relating to margin requirements for uncleared swaps, if adopted as proposed, will increase the costs of trading uncleared swaps and decrease the universe of potential counterparties, say attorneys with Crowell & Moring LLP.