Banking

  • May 25, 2016

    Ocwen FCA Suits Should Go To Trial, Judge Says

    A Texas federal judge has declined to resolve certain questions before trial in a pair of False Claims Act cases against Ocwen Financial Corp. and two subsidiaries, saying factual disputes may remain about whistleblower accusations the loan servicing companies provided false information to a federal loan program.

  • May 25, 2016

    Ryckman Creditors, Lenders Reach Temporary Discovery Deal

    Unsecured creditors of bankrupt natural gas storage firm Ryckman Creek Resources reached a short-term agreement with the company’s secured lenders to conduct discovery on the banks’ email communications. 

  • May 25, 2016

    Cross-Border Profit Transfers Stall EU Tax Avoidance Deal

    The European Union’s push to stamp out corporate tax avoidance hit a roadblock Wednesday amid disagreement over how to stop multinationals from shifting profits across internal EU borders for better tax rates.

  • May 25, 2016

    Wells Fargo to Pay $70M In Mortgage Servicing Penalty

    Wells Fargo Bank will pay $70 million to settle allegations that it violated a previous settlement over shoddy mortgage servicing practices related to the foreclosure crisis, the federal government announced on Tuesday.

  • May 25, 2016

    Accused Russian Spy Gets 30-Month Sentence, $10K Fine

    A man accused of spying for Russia while working at a state-owned bank in New York was sentenced to 30 months in prison Wednesday after prosecutors and the defense agreed to disagree about whether the defendant actually was a spy.

  • May 25, 2016

    Atty Who Pulled Stun Gun In Depo Found Guilty Of Contempt

    A suspended California attorney on Tuesday was found guilty of contempt and slapped with a $1,000 fine by an appeals court for his conduct related to litigation against JP Morgan Chase NA, including pulling out a stun gun and accusing the appeals court of taking bribes, among other allegations.

  • May 25, 2016

    Shadow Banking Firms Need More Policing, Watchdog Says

    Shadow banking remains largely unregulated three years after the Financial Stability Board recommended a global policy framework to keep the sector in check, the FSB said in a report released Wednesday.  

  • May 25, 2016

    Citibank To Pay CFTC $425M Over Benchmark Manipulation

    The U.S. Commodity Futures Trading Commission said on Wednesday that it has struck two deals with Citibank NA and affiliates totaling $425 million to end allegations that the bank manipulated the Japanese and British interbank offered rates, as well as a global benchmark for interest rate products.

  • May 24, 2016

    11th Circ. Finds Collectors At Risk In Pursuing Old Debts

    Debt collectors are not free from liability under the Fair Debt Collection Practices Act if they try to make claims against bankrupt debtors after the statute of limitations has run out, the Eleventh Circuit ruled Tuesday.

  • May 24, 2016

    Objectors Can't Derail $120M Barclays Libor Deal, Judge Told

    Investors that reached a $120 million settlement with Barclays Bank PLC in the multidistrict litigation against top banks accused of manipulating the London Interbank Offered Rate asked a New York federal court on Monday to approve the agreement, calling objections “without merit and premature.”

  • May 24, 2016

    Equifax, Experian, TransUnion Incite Most CFPB Complaints

    The country's three largest credit reporting agencies, Equifax, Experian and TransUnion, garner the most Consumer Financial Protection Bureau complaints from consumers, the federal regulator said Tuesday, with credit reporting remaining the third-most-bemoaned financial product.

  • May 24, 2016

    2 Cos. Ready IPOs Totaling $341M While Bank Nets $80M

    A blank check company formed to pursue acquisitions and a health care data provider set terms on initial public offerings totaling $341 million, while a Midwest bank raised $80 million Tuesday after pricing at the bottom of its already downsized range, kicking off a potentially busy week for deals.

  • May 24, 2016

    SWIFT Boss Says System Is Safe, Outlines New Security Plan

    Society for Worldwide Interbank Financial Telecommunication CEO Gottfried Leibbrandt again stressed in a Tuesday speech that the global financial messaging network has not been compromised in the wake of a series of cyberattacks, while also laying out a five-point plan to shore up security in the sector.

  • May 24, 2016

    Morgan Stanley Says Exhaustion Bars Russian's Fraud Suit

    Morgan Stanley says a federal jury verdict in its favor should spell the end of a New York state fraud suit lodged by Oleg Deripaska's Veleron Holding BV alleging the megabank fleeced the Russian aluminum mogul's interests in 2008 as they struggled to salvage a bank-funded, $1.5 billion investment in an auto parts maker.

  • May 24, 2016

    Indebted IHeartMedia Wins Spat With Lenders

    A Texas state judge ruled Tuesday that iHeartMedia Inc.’s decision late last year to transfer shares between two of its subsidiaries didn’t constitute an event of default under multibillion-dollar credit agreements, handing the heavily indebted media company a win in a dispute with its senior lenders.

  • May 24, 2016

    SFO Hamstrung By Unusual Funding Structure, Watchdog Says

    The U.K.’s Serious Fraud Office should increase its core funding and reduce its reliance on government cash injections for big cases, a model that prevents the agency from developing skills in-house, according to an independent executive agency report released Tuesday.

  • May 24, 2016

    AML-Fearing Banks Warned Against Derisking Overkill

    State bank regulators warned Tuesday that the increasing number of banks denying services to licensed money service businesses could make it harder to enforce anti-money laundering regulations and cut off terror financing.

  • May 24, 2016

    CFTC Finalizes Cross-Border Swap Margin Rule

    The U.S. Commodities Futures Trading Commission announced on Tuesday that it will require compliance with its margin rules in uncleared cross-border swap transactions, especially in cases where there is no equally stringent international rule, over objections of one commissioner who called the rule confusing.

  • May 24, 2016

    Citi Shareholders Can Push $800M Suit Directly: Del. Court

    Delaware's high court ruled Tuesday that investment trusts controlled by insurance executive Arthur L. Williams and his wife Angela properly sued Citigroup Inc. directly, and did not have to proceed derivatively, on claims they lost $800 million when the bank duped them into holding shares that plunged during the financial crisis.

  • May 24, 2016

    Longtime Expats Lose Last-Ditch Appeal Over Brexit Vote

    The U.K.’s Supreme Court on Tuesday rejected a bid to allow U.K. citizens who have been living abroad for more than 15 years the right to vote in an upcoming referendum on whether the country will remain in the European Union, ending a suit from a White & Case LLP competition attorney.

Expert Analysis

  • OPINION: Sotomayor's Solution To Pro Bono Is Incomplete

    David A. Lash

    In calling for mandatory pro bono service, U.S. Supreme Court Justice Sonia Sotomayor is effectively using her bully pulpit to advance the cause of access to justice for the poor. Her courageous leadership is a clarion call to action that must be heeded. But bold as it may be, the pronouncement is incomplete, says David Lash, managing counsel for pro bono at O’Melveny & Myers LLP and a member of the Association of Pro Bono Counsel.

  • Creating Barclay Damon: Lessons From A Law Firm Merger

    John P. Langan

    Joining two firms with long histories meant not only combining cultures, philosophies and deeply rooted ways of doing business, but also combining two IT systems, two accounting systems, and two ways of handling many other administrative functions. It didn't help that the firms had different fiscal year ends, says John Langan, managing partner of Barclay Damon LLP.

  • Reflecting On The 20th Anniversary Of BMW V. Gore

    Andrew Frey

    On May 20, 1996, the U.S. Supreme Court held that a $2 million punitive damages award imposed for a tort that caused $4,000 in economic harm was unconstitutionally excessive. In the ensuing 20 years, BMW v. Gore has proved to be a foundational case in punitive damages jurisprudence. We were fortunate enough to have played a role in this historic decision, say Mayer Brown LLP partners Andrew Frey and Evan Tager and Maserati North Am... (continued)

  • Corporate Counsel: Consumer Becomes Provider (The Sequel)

    Mark A. Cohen

    Last week, we discussed why corporate legal departments are taking on so much more work themselves instead of outsourcing it to law firms. This is, of course, an ominous sign for law firms and the traditional partnership structure. So too is disaggregation and the emergence of legal service providers as well as others — notably the Big Four — poised to enter the gargantuan legal services market, says Mark A. Cohen of Legal Mosaic LLC.

  • Why Cos. Must Pay Attention To Delaware's Blockchain Plan

    Marco A. Santori

    Delaware corporations, including a majority of the Fortune 500, will soon have the ability to issue shares using the same technology that underlies the virtual currency bitcoin. Blockchain technology can eliminate the complexity, cost and delay prevalent in today’s capital markets, but the greatest impediment to its implementation remains a legal one, says Marco Santori, head of the blockchain technology focus team at Pillsbury Win... (continued)

  • Dvorin And Prosecutorial Vindictiveness: A Hard Row To Hoe

    Daniel Wenner

    It’s every convicted defendant’s fear — appeal the conviction or sentence, persuade the appellate court to vacate the conviction or sentence, and end up worse off because on remand the government brings additional charges or seeks a higher sentence. The circumstances of Jason Dvorin’s travels through the criminal justice system are enlightening in this regard, says Daniel Wenner of Day Pitney LLP.

  • The Future Of CFPB Small Business Lending Regulation

    Michael E. Gordon

    The Consumer Financial Protection Bureau’s entry into small business lending regulation will impose additional compliance costs on financial institutions. Its data collection program will equip the bureau with tools to police small business lending for disparate impact discrimination, redlining and credit discrimination in emerging areas, say Michael Gordon and Franca Harris Gutierrez at Wilmer Cutler Pickering Hale and Dorr LLP.

  • From The Book Of Jargon: Red Herring

    Going on a road show? Don’t forget the red. Latham & Watkins LLP partner Leakhena Mom explains the term "red herring" in this short video from the firm's Book of Jargon.

  • Good News On 'Bad Boy' Guarantees

    Abraham A. Reshtick

    By recently reversing the position it took in a chief counsel advice earlier this year, the IRS has taken a position on “bad boy” guarantees that is consistent with the view of most professionals in the real estate industry, say attorneys with Mintz Levin Cohn Ferris Glovsky and Popeo PC.

  • OPINION: Stop 'Vigorously Defending' Your Clients

    Dan McGinn

    Oddly, amazingly, inexplicably, in a business where words are never in short supply, only one word seems to work when it comes to characterizing a lawyer’s commitment to clients, says Dan McGinn, a national reputation management adviser who has counseled nearly half the Fortune 100.