Banking

  • February 5, 2016

    GCs Name Best Of The Best Attorneys

    More than 60 lawyers have been recognized by corporate counsel for cracking the code of client satisfaction and standing out among their peers for at least two years straight.

  • February 5, 2016

    8 Firms Boast The Most Client-Savvy Attorneys

    The names of eight law firms were repeatedly on the lips of general counsel this year as they reported which attorneys stood out to them as the best of the best in client service.

  • February 5, 2016

    Jailed Atty Can't Block Calif.'s Bid For Fraud Suit Costs

    A California judge found Friday that the Golden State was the prevailing party in a mortgage fraud suit against numerous law firms and is therefore entitled to pursue costs, overruling objections from the sole remaining defendant — an attorney jailed in Florida on unrelated stock fraud charges.

  • February 5, 2016

    SEC's Stanford Case A Chance To Clarify Compliance Duties

    Compliance officers who worry they have an enforcement target on their back may soon get some clarity — and perhaps reassurance — from the U.S. Securities and Exchange Commission when it rules on a case involving convicted Ponzi schemer R. Allen Stanford's former top compliance manager.

  • February 5, 2016

    CFTC Charges Fake Commodities Adviser With Fraud

    The CFTC has filed suit against a previously convicted Florida man who allegedly destroyed hundreds of thousands of dollars' worth of investor savings by posing as a commodities trader, it said Friday.

  • February 5, 2016

    Trustee Of $8.5B Countrywide Settlement Asks Judge's Help

    A trustee sought a New York court's help Friday in distributing Bank of America Corp.’s $8.5 billion settlement with investors who had purchased mortgage-backed securities from Countrywide, potentially delaying the disbursement.

  • February 5, 2016

    Wilmington Trust Risks $1B Liability If It Loses Fraud Case

    Wilmington Trust Corp. pled not guilty to federal criminal fraud charges Friday, but could be hit with more than $1 billion in liabilities, the bill for which corporate parent M&T Bank would have to foot, if it loses at trial, a U.S. prosecutor said in court.

  • February 5, 2016

    Bankers Take Challenge Of Info-Sharing Law To High Court

    Florida and Texas banking associations have asked the U.S. Supreme Court to revive their challenge of an Internal Revenue Service rule requiring disclosures of accounts held by foreigners, saying the D.C. Circuit's ruling that their suit was barred by the Anti-Injunction Act ran contrary to well-established precedent.

  • February 5, 2016

    Ex-Tribal Leaders Rip 'Straw Man' Claims In Embezzlement Suit

    Four former leaders of the Paskenta Band of Nomlaki Indians urged a California federal judge Thursday to keep alive their claims that the tribe’s chairman and his purported allies knew of and shared fault for the ex-leaders’ alleged embezzlement, saying they advanced “straw-man” arguments to evade responsibility.

  • February 5, 2016

    LeClairRyan Grabs Bankruptcy Pro From Hodgson Russ

    LeClairRyan has picked up a bankruptcy and creditors’ rights expert who has extensive experience working with hedge-fund creditors for a partnership in its New York office, hiring her away from Hodgson Russ LLP.

  • February 5, 2016

    Wall St. Group Urges DC Circ. To Toss Risk-Retention Rule

    A Wall Street industry group pushed a D.C. Circuit panel Friday to toss federal regulations requiring that investment firms retain an interest in debt securities they issue, arguing the rule would lock up capital and restrict access to credit.

  • February 5, 2016

    Pa. Atty Asks Judge to Stop BB&T From Collecting $1M Loan

    The prominent Pennsylvania personal injury attorney accusing BB&T Corp. of acting coercively to renegotiate the terms of a $1.25 million line of credit asked a federal court judge Friday to stop the bank from demanding payment on $1 million in loans.

  • February 5, 2016

    Fed. Circ. Affirms Fee Rejection For LevelUp In Patent Beef

    A Boston-based startup that made quick work of a patent suit targeting its mobile payments app lost a bid for attorneys’ fees Friday, as the Federal Circuit refused to upend a Massachusetts federal court ruling that said the case was not exceptional.

  • February 5, 2016

    Argentina Floats $6.5B Deal To End Epic Default Battle

    Argentine President Mauricio Macri is floating a $6.5 billion deal to settle a slew of litigation with holdout bondholders over the country’s 2001 debt default, a court-appointed mediator said Friday.

  • February 5, 2016

    Citigroup Halts DraftKings, FanDuel Transactions In NY

    Citigroup Inc. will no longer process transactions for New York residents on daily fantasy sports sites run by DraftKings and FanDuel until there is more legal clarity on the matter, as the companies face enforcement actions by the state attorney general as well as a slew of lawsuits that were recently consolidated.

  • February 5, 2016

    CFTC Commish Says Cybersecurity Risks Disrupting Markets

    The U.S. Commodity Futures Trading Commission’s J. Christopher Giancarlo on Thursday released a podcast outlining the biggest trends currently impacting the global financial markets, saying that cybersecurity risks and other technological developments are the most disruptive.

  • February 5, 2016

    Lehman Sues Lenders Over Faulty Mortgage Sales

    Lehman Brothers Holdings Inc. has sued nearly 60 mortgage originators that it says sold it faulty mortgages that resulted in the failed investment bank paying more than $1.2 billion in settlements with Fannie Mae and Freddie Mac.

  • February 5, 2016

    EU Commish Urges Fewer Bank Regulations, More Stability

    European Union financial stability commissioner Jonathan Hill called on EU banking regulators Friday to review regulations enacted since the financial crisis and slow the pace of new regulation, saying such regulatory stability is key to building trust among lenders and growing the economy.

  • February 5, 2016

    Chicago Lawyer Cops To $22.9M Mortgage Fraud Scam

    A Chicago real estate lawyer pled guilty to bank fraud in Illinois federal court Friday, admitting his role in a $22.9 million mortgage fraud scheme centered on selling condos in a downtown high-rise to straw buyers.

  • February 5, 2016

    BlackRock, Green Investment Buy $613M In UK Wind Farms

    British government-owned Green Investment Bank said Friday it has partnered with private equity giant BlackRock to buy a portfolio of wind farms in the U.K. for £423 million ($612.6 million) from utility company Centrica and its partner EIG.

Expert Analysis

  • Can Foreign Banks Be Forced To Freeze Accounts?

    Kenneth M. Argentieri

    The enforceability of asset freeze injunctions and information subpoenas on foreign banks with operations in New York is not clear cut. The impact of New York banking law on general personal jurisdiction has led to different outcomes before different judges, say Kenneth Argentieri and Yuanyou Yang of Duane Morris LLP.

  • Why Banks Shouldn't Ignore Fraudulent-Transfer Red Flags

    Mark A. Salzberg

    The bankruptcy case of Sentinel Management should be required reading for all lenders since, in a matter before the Seventh Circuit, two banks’ failure to investigate their borrower’s questionable activity caused them to lose their security and have their secured loans reduced to unsecured claims, say Mark Salzberg and Jeff Cole of Squire Patton Boggs LLP.

  • 2nd Circ. Highlights Importance Of NY Borrowing Statute

    Kevin P. Broughel

    A Second Circuit decision in IKB Deutsche Industriebank v. McGraw Hill, affirming the dismissal of a complaint against Standard & Poor’s concerning credit ratings, serves as an important reminder that New York’s borrowing statute can be an effective weapon in defending against claims brought by out-of-state or foreign litigants, say Kevin Broughel and Anthony Antonelli of Paul Hastings LLP.

  • EU Antitrust Vs. US Companies

    Paula Riedel

    From time to time, the European Commission is accused of unfairly targeting U.S. companies in its antitrust scrutiny. Competition Commissioner Margrethe Vestager has been quick to reject this suggestion. Our quick look at cases involving U.S. companies reveals a nuanced picture, say attorneys with Kirkland & Ellis LLP.

  • Credit Default Swaps And Solvency Analysis

    Jeffrey L. Baliban

    A considerable area in solvency analysis relates to fraudulent conveyances in bankruptcy, but a similar analysis can arise in derivative instruments drafted under the International Swaps and Derivatives Association forms. Determining when a corporation actually became insolvent can be crucial to the characterization of payments as either preferential or potentially fraudulent, says Jeffrey Baliban of Citrin Cooperman & Co. Ltd.

  • Common Interest Protection In Commercial Transactions

    Stephen Ram

    The Second Circuit's decision in Schaeffler v. U.S., which involved Schaeffler Group withholding privileged debt restructuring documents from the IRS, falls in line with an emerging consensus of jurisdictions flexibly applying the common interest doctrine to commercial and corporate transactions, says Stephen Ram of Stradling Yocca Carlson & Rauth PC.

  • Looks Like Another Test Case For EU Bank Resolution Law

    Peter Declercq

    The ongoing saga related to the transfer of five Portuguese law-governed senior unsecured bonds between "good bank" Novo Banco and troubled bank Banco Espirito Santo raises a number of questions regarding the Banking Recovery and Resolution Directive, and the extraordinary rights it grants to resolution authorities, say Peter Declercq and Sonya Van de Graaff of Morrison & Foerster LLP.

  • In Congress: Republican Messaging, Fiscal Year 2017, Flint

    Richard A. Hertling

    A new challenge to bipartisan, comprehensive energy legislation came last week when several Democratic senators introduced an amendment aimed at providing emergency resources to Flint, Michigan, to address severe contamination from lead in the city’s drinking water, say Richard Hertling and Kaitlyn McClure of Covington & Burling LLP.

  • Retailers May Have To Start Accounting For Their Leases

    Steven R. Schneider

    Rules governing the way leases are accounted for on balance sheets are expected to change in the first quarter of 2016 with major implications for retailer tenants and longer term implications for landlords, say Steven Schneider and David Lewis at Goulston & Storrs PC.

  • Foreign Bank Orders Signal Increased Focus On AML Failures

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    Recently issued consent orders against two foreign bank branches operating in New York show that during a period of increased focus on anti-money laundering, regulators are taking a closer look at financial institutions' efforts to monitor and thwart illicit transactions, and banks must be prepared to meet regulators' ever-evolving expectations, say attorneys with Arnold & Porter LLP.