Banking

  • July 28, 2014

    Kodak Joins Aluminum Price-Fixing Suits Against Banks

    Eastman Kodak Co. on Monday became the latest plaintiff in a slew of antitrust lawsuits across the nation alleging Goldman Sachs Group Inc., JPMorgan Chase and Co., the London Metal Exchange and others schemed to inflate the value of aluminum by stockpiling huge amounts of the metal.

  • July 28, 2014

    Lehman Can't Subordinate CMBS Fraud Claims In Ch. 11

    A New York bankruptcy judge on Monday ruled that Lehman Brothers Holdings Inc. cannot de-prioritize a number of securities fraud claims relating to certain collateralized mortgage-backed securities in its Chapter 11 bankruptcy, saying the MBS are not securities "of the debtor or of an affiliate of the debtor."

  • July 28, 2014

    US, EU Poised To Hit Russia With Fresh Round Of Sanctions

    The White House said Monday that the United States and the European Union are preparing to implement new sanctions targeting Russia's economic, financial and defense sectors, amid concerns that it is increasingly destabilizing the Ukraine by aiding separatists fighting the government there.

  • July 28, 2014

    Argentina Gets OK For Bond Payments On Technicality

    With less than 56 hours left to solve a debt-repayment impasse, Argentina got permission Monday evening to make interest payments on certain bonds because of a newly discovered technicality — but the clock will keep ticking, and the special master for the country's debt crisis announced a new round of talks for Tuesday.

  • July 28, 2014

    Developer Goes After Attys For Bungled Foreclosure Defense

    A Florida property management company on Monday sued its former counsel claiming the firm botched a foreclosure proceeding that ended in a $5.8 million judgment and drove the company into Chapter 11 protection.

  • July 28, 2014

    House Passes Bills Upping DHS Cybersecurity Efforts

    The U.S. House of Representatives on Monday passed a trio of bills designed to improve cybersecurity for critical infrastructure like power plants and financial markets, variously enabling greater public-private cooperation and directing the U.S. Department of Homeland Security to further advance its cybersecurity efforts.

  • July 28, 2014

    Fontainebleau Lenders Say D&O Deal Will Harm BofA Suit

    A proposed bankruptcy court settlement of Fontainebleau Las Vegas casino and resort executives’ liability surrounding the failure of the $2.9 billion project came under renewed attack on Friday as mortgage lenders owed more than $700 million complained that it would impair a forthcoming lawsuit against Bank of America NA.

  • July 28, 2014

    Ex-Credit Suisse Trader Seeks Leniency For Mortgage Fraud

    A former Credit Suisse AG trader who pled guilty to helping the bank hide mortgage bond losses before the financial crisis has asked a New York federal judge for a sentence of time served, claiming he was acting under orders from superiors, according to a Friday court filing.

  • July 28, 2014

    Goldman Says Proposed Gender Bias Class Action Falls Short

    Goldman Sachs & Co. urged a New York federal court Friday to deny class certification in a gender bias suit brought by female ex-employees, arguing that the plaintiffs had proposed a 2,300-woman class whose members didn't share enough common ground to justify class treatment.

  • July 28, 2014

    Banking Cases To Watch As 2014 Rolls On

    Litigation in the second half of 2014 could fundamentally alter a major credit card firm’s business, change how investor losses on mortgage-backed securities are timed and determine whether dark pools will be exposed to greater sunlight. Here are the top banking cases to watch for the rest of 2014.

  • July 28, 2014

    PE Shops Nab Australian, Romanian Bank Loan Portfolios

    In the latest rush to buy bank loan portfolios, Cerberus Capital Management and a consortium including private equity firms including AnaCap Financial Partners and H.I.G. Capital agreed to buy a £625 million ($1.06 billion) portfolio and a €495 million ($665 million) portfolio, respectively, of nonperforming real estate loans in two separate transactions announced Monday.

  • July 28, 2014

    3 GE Units Settle Claims They Rigged W.Va. Muni Bond Bids

    Three General Electric Co. finance units have agreed to pay the state of West Virginia $950,000 to settle an antitrust lawsuit alleging they helped manipulate the market for municipal derivatives, the state announced Monday, bringing the number of banks the state has settled with in the multidistrict litigation to seven.

  • July 28, 2014

    Kirkland, Davis Polk Advise On $1.3B JPMorgan Debt Deal

    Banking giant JPMorgan Chase & Co. said on Monday it sold a $1.3 billion debt portfolio to private equity firm Bain Capital LLC’s Sankaty Advisors LLC in its latest move to shed noncore assets.

  • July 28, 2014

    Baker & McKenzie, Garrigues Aid BBVA's €1.2B Catalunya Buy

    Banco Bilbao Vizcaya Argentaria SA is set to acquire former state-owned Spanish lender Catalunya Banc for €1.2 billion ($1.6 billion) in a deal that is expected to double BBVA's market share in the Spanish region of Catalonia.

  • July 28, 2014

    SD Bankers Urge High Court To Limit Tribal Jurisdiction

    The South Dakota Bankers' Association has backed Dollar General Corp. in a U.S. Supreme Court case the retailer says will decide whether tribal courts can exercise jurisdiction over companies that are not part of a tribe, arguing that business with tribes could be negatively affected if tribal court jurisdiction is expanded.

  • July 28, 2014

    Police Seize $140M In Nomura Assets Over Derivatives Deals

    Italian financial-crimes police have seized $140 million from Nomura International PLC and four former employees they said Monday helped cheat the government of Sicily out of €175 million ($235 million) through fraud that included charging exorbitant interest rates on complex securities deals.

  • July 28, 2014

    FDIC Withdraws ‘High Risk’ Business List Amid Furor

    The Federal Deposit Insurance Corp. on Monday withdrew its list of merchants that banks are required to closely monitor for illegal payments following criticism from the industry and Republican lawmakers that the list stopped them from doing business with legitimate companies.

  • July 28, 2014

    Goldman Sachs In Talks To Settle FHFA Suit Over MBS Losses

    Goldman Sachs & Co. is in talks to settle a lawsuit brought by the Federal Housing Finance Agency alleging it knowingly sold billions of dollars of toxic residential mortgage-backed securities to Fannie Mae and Freddie Mac, a person familiar with the matter said on Monday.

  • July 28, 2014

    Deals Rumor Mill: CVC, Fox, Danone

    CVC is close to winning an auction for Epicor Software, while 21st Century Fox would offer board seats to sweeten its $80 billion Time Warner bid. France's Danone may sell its medical nutrition business to U.S.-based Hospira, making it the latest in a wave of inversion deals. China's banking regulator is also allowing five cities to launch asset management companies to gobble up bad loans.

  • July 28, 2014

    Ex-Citi Deputy GC Signs On With Paul Weiss

    Paul Weiss Rifkind Wharton & Garrison LLP on Monday announced that one of the top attorneys from one of its top clients has joined the firm's ranks, with former Citigroup Inc. Deputy General Counsel Elizabeth Sacksteder being named partner.

Expert Analysis

  • Watch Out For The 'Man In The Email'

    Susan Linda Ross

    Retailers, when is the last time you spoke with your bank about security? Now may be a good time, according to the FBI and the Internet Crime Complaint Center. A new email scam has been targeting CTOs, CFOs and comptrollers in particular, says Sue Ross of Norton Rose Fulbright.

  • Affiliated Vendors Are Popular Targets For Regulators

    Richard B. Benenson

    Lawsuits against large foreclosure law firms over their involvement with affiliated vendors in Colorado are not isolated, rather they seem to be the next front in the regulatory war against the foreclosure industry — a significant development given the pervasive use of affiliates in the industry, say attorneys at Brownstein Hyatt Farber Schreck LLP.

  • What's Next For US Financial Regulation

    Dan Ryan

    With the “too big to fail” debate about to hit the headlines again when the Government Accountability Office releases its long-awaited TBTF report, the rhetoric calling for the completion of outstanding regulations will once again sharpen. This rhetoric should not be confused with reality, however, says Dan Ryan, chairman of PricewaterhouseCoopers LLP's financial services regulatory practice.

  • The Florida Condominium Termination Trap

    Martha A. Hartley

    Just when lenders and servicers thought they had seen it all, here comes yet another problem. With literally thousands of Florida condominium units at stake, never has the mail room been so important, say Martha Hartley and Russell Buchanan of Baker Donelson Bearman Caldwell & Berkowitz PC.

  • Litigator’s Perspective: 5 Tips On Arbitration Provisions

    Daniel T. McCloskey

    It happens all the time. When a dispute arises, two parties find themselves in arbitration, realizing that they might have had more leverage to dictate the terms of the process when they were negotiating the arbitration provision — but missed the opportunity, says Daniel McCloskey of Duane Morris LLP.

  • 3 Takeaways From BofA's $16.5M Settlement With OFAC

    Michael V. Dobson

    Bank of America’s roughly $16.5 million settlement with the Office of Foreign Assets Control for alleged violation of OFAC sanctions is a treasure trove of sanctions compliance guidance, and carries important lessons for those preparing to submit voluntary self-disclosures, says Michael Dobson Jr. of Kelley Drye & Warren LLP.

  • Rakoff's Foreign Fund Clawback Ruling Has Limitations

    Raniero D’Aversa

    Judge Jed Rakoff’s recent ruling in the case of Madoff Securities gives comfort to foreign investors that the proceeds of their indirect investments in U.S. companies will not likely be clawed back, but it does not come without certain warnings and limitations — especially considering a contradictory Ninth Circuit ruling issued a mere three days prior to Rakoff’s decision, say attorneys with Orrick Herrington & Sutcliffe LLP.

  • High Court Will End Circuit Split With Libor MDL Case

    Stacey Slaughter

    The U.S. Supreme Court's acceptance of Gelboim v. Bank of America Corp. will resolve a circuit split on whether a plaintiff can immediately appeal the district court’s dismissal of a lawsuit that has been consolidated with other suits that are still pending, but it is merely the first of several steps needed to revive the bondholder plaintiffs' antitrust claim, say Stacey Slaughter and Thomas Berndt of Robins Kaplan Miller & Ciresi LLP.

  • Trial-Ready In 180 Days: Prepare For SDNY's Rocket Docket

    Isaac S. Greaney

    A growing trend in the Southern District of New York akin to a sua sponte rocket docket can provide defendants with an opportunity to set the tone of discovery and shift the burden and risks of the schedule to their adversaries, say Isaac Greaney and Jackie Lu of Sidley Austin LLP.

  • OPINION: CFPB Should Not Weaponize Consumer Complaints

    Brett M. Kitt

    The Consumer Financial Protection Bureau's cavalier attitude toward the privacy risks associated with publishing consumer complaint narratives in their raw form is particularly troublesome given that, in a prior policy statement, it committed to refrain from doing so without a proper study, says Brett Kitt, of counsel with Greenberg Traurig LLP and former senior counsel for the CFPB.