Banking

  • January 28, 2015

    FINRA Didn't Fire Deputy Director In Retaliation, Jury Finds

    The Financial Industry Regulatory Authority did not retaliate against a former deputy regional director by firing her after she filed four internal age, sex and disability discrimination complaints, a Florida federal jury ruled on Wednesday.

  • January 28, 2015

    AG Nom Lynch Promises Independent DOJ In Senate Hearing

    U.S. Attorney General nominee Loretta Lynch on Wednesday sought to set herself apart from contentious current Attorney General Eric Holder, as senators pressed her over her stance on immigration, financial, trade secret and cybersecurity issues, as well as a recent Internal Revenue Service scandal.

  • January 28, 2015

    FDIC Can’t Ease ‘Choke Point’ On Its Own, Industry Says

    The Federal Deposit Insurance Corp. on Wednesday took steps to encourage banks to keep doing business with risky corporate clients to ease concerns over the Justice Department’s “Operation Choke Point,” but other regulators will have to enact similar policies to ease fears, industry representatives said.

  • January 28, 2015

    3rd Circ. Shuts Down IDT Suit Over $42.5M Winstar Deal

    The Third Circuit on Wednesday rebuffed IDT Corp. and Winstar Holdings LLC’s bid to revive their lawsuit alleging The Blackstone Group LP and other financial firms misrepresented the value of bankrupt Winstar Communications Inc. before its $42.5 million sale, ruling the suit was time-barred.

  • January 28, 2015

    US Loses Bid To Stay Fannie, Freddie Takeover Suit

    The U.S. federal government won't be able to pause a suit alleging it had unconstitutionally altered its bailout deal for Fannie Mae and Freddie Mac to keep the companies' profits for itself, a U.S. Court of Federal Claims judge said Wednesday.

  • January 28, 2015

    KPMG's European GC To Step Down

    KPMG LLP's first general counsel in the United Kingdom and Europe said Wednesday that she will be leaving the role she established for the global audit and accounting firm.

  • January 28, 2015

    Market Rumors: Citgo, LSE, Davivienda

    Citgo Petroleum is offering $1.5 billion in bonds as part of a credit package to raise money for its parent company, while the London Stock Exchange is pushing forward with plans to part ways with Russell Investments.

  • January 28, 2015

    FDIC Tells Doral To Boost Capital Or Find A Buyer

    Federal banking monitors are demanding that Doral Financial Corp. either sell itself or shore up an inadequate capital position, an ominous sign as the troubled Puerto Rican lender pushes for approval of a capital restoration plan rejected twice before.

  • January 28, 2015

    Judge Says Banks Must Face US-Based Forex Rigging Claims

    A federal judge in New York on Wednesday denied a motion to dismiss a U.S.-based class action alleging that Bank of America Corp., Barclays PLC and other banks rigged foreign exchange markets.

  • January 28, 2015

    JPMorgan Gave False Justifications For Firing, Ex-Worker Says

    A former JPMorgan Chase & Co. employee allegedly fired for raising concerns about potential fraud recently said the company had offered “blatantly false and inconsistent” justifications for her termination, urging a New York federal court not to toss her Sarbanes-Oxley Act whistleblower claim.

  • January 28, 2015

    FXCM To Pursue Top Traders After Swiss Franc Shock

    FXCM Inc. said Wednesday it will seek to recover negative balances from top traders who owe the foreign-exchange broker money in the wake of the Swiss National Bank’s shock decision to no longer cap the franc against the euro.

  • January 28, 2015

    Citi To Ease Account Screening In Deal With NY AG

    A Citigroup Inc. unit on Wednesday agreed to ease its screening process for potential new checking and savings account customers so that minor blips on their credit reports do not block them from getting bank accounts, New York Attorney General Eric Schneiderman said.

  • January 28, 2015

    DOJ, States Near $1.38B Accord With S&P

    Standard & Poor’s Ratings Services has agreed to pay $1.375 billion to settle lawsuits brought by the U.S. Department of Justice and 20 attorneys general around the country over the firm’s ratings work leading up to the financial crisis, a person familiar with the matter on Wednesday told Law360.

  • January 27, 2015

    Bribery Charges Over BNY Mellon's Wealth Fund Interns Loom

    Bank of New York Mellon Corp. has revealed that it may face bribery charges over internships it allegedly gave to relatives of sovereign wealth fund officials, following an investigation by the U.S. Securities and Exchange Commission.

  • January 27, 2015

    Caesars Plugs Windy City As Proper Place For Unit's Ch. 11

    Caesars Entertainment Corp.'s operating arm made a final push Tuesday to convince a Delaware bankruptcy judge that its Chapter 11 should be allowed to play out in Illinois, while a collection of creditors championed the First State as the appropriate forum for the high-stakes case.

  • January 27, 2015

    Deals Rumor Mill: Informatica, HSBC, TE Connectivity

    Informatica Corp., which has a market value of about $4.5 billion, is looking for buyers and has begun talks with at least two potential suitors, while HSBC Holdings PLC has agreed to lend Hutchison Whampoa Ltd. $9 billion to help fund its $15 billion acquisition of Telefonica SA's U.K. unit O2.

  • January 27, 2015

    Feds' $5B Suit Against S&P Gets September Trial Date

    A California federal judge on Tuesday set a late-September trial date for the federal government's $5 billion suit against Standard & Poor's Financial Services LLC over inflated mortgage-backed securities ratings, saying the trial could last as long as four months.

  • January 27, 2015

    Judge Won't Move Petters Ponzi Scheme Suit To Fed Court

    A Minnesota federal judge has ended a suit seeking to move a transfer suit by the Petters trustee out of bankruptcy court and to district court, saying Opportunity Finance LLC’s motion to do so was egregiously tardy.

  • January 27, 2015

    EU Members To Vote On Anti-Tax Fraud Registry

    European Union countries will soon have to maintain registers detailing the actual owners of companies within their borders as part of an anti-money laundering and anti-tax fraud initiative, if a deal endorsed Tuesday by EU lawmakers wins full approval among the bloc’s lawmakers.

  • January 27, 2015

    Bitcoin Miner CoinTerra Files For Liquidation

    Bitcoin mining company CoinTerra Inc. has filed for Chapter 7 bankruptcy, less than two weeks after it was hit with a $5.4 million suit by a data center alleging nonpayment, which led to a default on some of CoinTerra’s secured notes.

Expert Analysis

  • A Data Security Checklist For Companies Hiring Law Firms

    Jenn Topper

    We trust our law firms with huge amounts of data, whether in or out of discovery, investigations or litigation. All too often, we have relied on privilege, confidentiality and attorney ethics as a proxy for data protection and information security. But in fact, law firms ought to be held to a much more stringent standard — and in-house counsel would be wise to begin with a number of specific inquiries, says legal industry consultan... (continued)

  • DOD Credit Rule May Limit Lending To Service Members

    Leonard N. Chanin

    With the U.S. Department of Defense's comment period regarding proposed changes to the way it intends to apply the Military Lending Act to new types of creditors and credit products now closed, harsh results from violating the MLA are likely to give lenders pause when providing credit to covered persons and could result in a negative impact on lending to service members and their families, say Leonard Chanin and Ryan Rogers of Morr... (continued)

  • Gelboim Does Little To Limit MDL Court Appeals Discretion

    Adam T. Schramek

    While the U.S. Supreme Court’s Gelboim v. Bank of America ruling is an important one in multidistrict litigation jurisprudence, it ultimately does little to impinge on the wide discretion MDL courts have in deciding what gets appealed and when. District courts continue to possess the tools needed to avoid final judgments during pretrial MDL proceedings, say Adam Schramek and Eric Hoffman of Norton Rose Fulbright US LLP.

  • FSOC At It Again, Places Asset Managers In Its Crosshairs

    Jay G. Baris

    In seeking comment on potential risks to the U.S. financial system created by asset managers including investment advisers, insurance companies and private funds, the Financial Stability Oversight Council again places these institutions in its crosshairs, but the FSOC’s latest effort to explore the issue through crowdsourcing should not be ignored, say Jay Baris and Oliver Ireland of Morrison & Foerster LLP.

  • Can Consumers Waive Right To Revoke Consent Under TCPA?

    Amy Pierce

    Most authorities and courts agree that, under the Telephone Consumer Protection Act, consumers have the right to revoke previously given consent to be called using an autodialer or prerecorded message. More recently, however, courts have been asked to decide whether a consumer is permitted to revoke this consent where it was previously given as part of an independent contractual arrangement, say attorneys with Pillsbury Winthrop Shaw Pittman LLP.

  • What Legal Departments Can Expect If Buying Into E-Billing

    David Houlihan

    Recent interviews with law departments in eight companies — ranging from $600 million to $70 billion in annual revenue, and spanning the financial services, telecommunications, hospitality, software and discrete manufacturing industries — reveals that e-billing and "spend management solutions" offer some of the clearer business cases for technology investment by an organization’s legal department, says David Houlihan of Blue Hill Research Inc.

  • Banks Must Heed The Warnings Of Weidenbenner

    Mark A. Salzberg

    A recent Southern District of New York decision in the Chapter 7 case of Weidenbenner highlights the risks that a bank takes when it freezes a debtor’s bank account, say James Barresi and Mark Salzberg of Squire Patton Boggs LLP.

  • State Of The Union Sets Stage For Privacy Legislation

    Mauricio Paez

    President Obama used the powerful State of the Union platform to advocate for new privacy legislation previously outlined during the days leading up to the address. The speech may have marked a new phase in the political discourse concerning privacy and cybersecurity, say attorneys with Jones Day.

  • 3 In-House Management Strategies For 2015

    James A. Merklinger

    Bank of America Corp.'s new litigation model boasts 80 percent fixed fees. At United Technologies Corp., 70 percent of legal fees were “alternative” as of 2013. And Caterpillar created a sophisticated “legal lane” strategy to save time and money. Companies looking to work smarter in 2015 should keep in mind that key to these achievements was appointment of a legal department chief operating officer, says James Merklinger of the Ass... (continued)

  • Moving The Needle For Prepetition Waiver Permissibility

    Kyle J. Ortiz

    Prior to the commencement of a bankruptcy case, the waiver by a potential debtor of the protections afforded by the Bankruptcy Code is usually found to be unenforceable. As a recent bankruptcy court decision in the case of Triple A & R Capital Investment Inc. demonstrates, however, this general proposition has become more nuanced over the past few years, says Kyle Ortiz of Weil Gotshal & Manges LLP.