Banking

  • March 27, 2015

    Wells Fargo Hits Rival's Trade Secrets Suit With Like Claims

    Wells Fargo Insurance Services USA Inc., sued over trade secrets an executive allegedly stole from former employer Hylant Group Inc., launched counterclaims Thursday that a former Wells Fargo employee now working at the rival insurance brokerage disclosed trade secrets and solicited customers and staff from Wells Fargo.

  • March 27, 2015

    11th Circ. Nixes Venezuelan Bank’s Claim Against BofA

    The 11th Circuit on Thursday affirmed a ruling tossing a suit that accused Bank of America NA of failing to inform a Venezuelan bond company it needed certain licenses for transactions in the United States, ruling that Arbitrajes Financieros SA did not prove it had a fiduciary relationship with Bank of America.

  • March 27, 2015

    Ex-Wells Fargo Analyst To Settle SEC In-House Trading Case

    Just days before his scheduled administrative court hearing, a former Wells Fargo analyst has agreed in principle to settle the U.S. Securities and Exchange Commission’s administrative charges he engaged in insider trading by giving one of the firm’s traders early access to his research, according to documents filed Friday.

  • March 27, 2015

    Ex-Barclays Italy Chief Gets 32 Months For Corruption

    Barclays PLC's former top banker in Italy and an entrepreneur were each sentenced on Friday in a Milan court to two years and eight months in prison on corruption charges and ordered to pay $2.2 million to the English bank, an Italian newspaper reported.

  • March 27, 2015

    Microsoft, CVS, JPMorgan Sued Over Geolocation Patents

    Microsoft Corp., CVS Caremark Corp., JPMorgan Chase & Co., Wells Fargo Bank NA and HEB Grocery Co. LP were sued Thursday in Texas federal court over claims that they ripped off a patented geolocation system. 

  • March 27, 2015

    Texas Justices Say Banks Can Recoup Foreclosure Costs

    The Texas Supreme Court on Friday held courts can factor a future sales price and costs associated with reselling foreclosed-upon homes in determining the fair market value of the property, siding with PlainsCapital Bank in a dispute over the value of a spec house.

  • March 27, 2015

    Winston's 2 New Ex-Pillsbury Partners Bring Poach Total To 15

    Winston & Strawn LLP has hired a mergers and acquisitions finance partner and an insolvency partner from Pillsbury Winthrop Shaw Pittman LLP, the firm said Friday, bringing its Pillsbury hiring spree count to 15 in the last 60 days.

  • March 27, 2015

    Venable Nabs Ex-DOJ Financial Fraud Honcho For DC Office

    The head of the U.S. Department of Justice's Financial Fraud Enforcement Task Force from 2011 to 2013 has joined Venable LLP as a partner in the firm's Washington, D.C., office, working on financial regulation and enforcement, the firm announced on Friday.

  • March 27, 2015

    US Prods China On Murky Banking Sector Rules At WTO

    After much cajoling from a litany of business groups, the U.S. government has begun pressing China to shed more light on the controversial rules placing restrictions the use of foreign technology in its banking sector, according to a World Trade Organization document circulated Thursday.

  • March 27, 2015

    Fed’s Fischer Urges Vigilance Over Shadow Banking Sector

    A key Federal Reserve policymaker on Friday said regulators needed to keep a close watch on the growing shadow banking sector in order to prevent it from threatening the broader economy.

  • March 27, 2015

    South Korea Backs Chinese-Led Development Bank

    South Korea has become the latest country, and one of the first major regional players, to sign onto China’s Asian Infrastructure Investment Bank, with the nation’s Ministry of Strategy and Finance announcing Friday its intention to become a founding member of the development bank.

  • March 27, 2015

    Ex-Credit Suisse Bankers Get Probation In Tax Evasion Plot

    Two former Credit Suisse AG bankers who pled guilty to helping American clients evade taxes will avoid jail time and instead will pay at least $100,000 each in fines and serve five years of probation, a Virginia federal judge ruled Friday.

  • March 27, 2015

    One Year After Rural/Metro, Bankers Flying Under Radar

    Not much has changed in the year since Delaware's Chancery Court laid the foundation for financial advisers to be held accountable for conflicts of interests during the deal-making process, but lawyers say that may be due to a lack of significant test cases and caution within the financial industry as bankers look to avoid a similar fate.

  • March 27, 2015

    Good Title Attorneys Are Hard To Come By, FNTA CEO Says

    Fueled by a strong flow of commercial mortgage-backed securities work, the fledgling but fast-growing First Nationwide Title Agency recently bulked up its legal department. But the company's president and CEO Steven M. Napolitano and senior underwriting counsel Felix Tschanz tell Law360 that experienced title attorneys can be hard to find.

  • March 27, 2015

    Former Broker-Dealer Execs Get 4 Years Each In FCPA Case

    Direct Access Partners LLC's former CEO Benito Chinea and former managing director Joseph Demeneses got four years in prison each on Friday for a $60 million Venezuelan bank bribery scheme — sentences said to be the longest yet for Foreign Corrupt Practices Act violations in the Second Circuit.

  • March 26, 2015

    Ameriprise Agrees To Pay $27.5M To Settle 401(k) Plan Suit

    Ameriprise Financial Inc. agreed to pay $27.5 million to settle a class action brought by current and former employees claiming they lost $20 million in retirement fund investments because Ameriprise favored its own underperforming subsidiary funds over investment plans with better performance records, the plaintiffs told a Minnesota federal court Thursday.

  • March 26, 2015

    Goldman, JPMorgan Can't Toss Aluminum Price-Fixing MDL

    A New York federal judge on Thursday denied bids to toss multidistrict litigation accusing Goldman Sachs & Co., JPMorgan Securities PLC and others of antitrust violations for manipulating aluminum prices, ruling that plaintiffs have stated a plausible claim under the Sherman Act.

  • March 26, 2015

    CFPB Lobs First Volley In Long Fight Over Payday Loans

    The Consumer Financial Protection Bureau on Thursday fired the opening shot in a long battle over new regulations for payday loans that the bureau says will eliminate so-called debt traps and will likely reshape the market for short-term credit offered by a host of financial institutions.

  • March 26, 2015

    Madoff Trustee Evades Sanctions Over Clawback Claim

    The judge presiding over the liquidation of Bernard Madoff’s defunct securities firm elected Thursday not to fine the trustee charged with recovering losses from the fraudster’s Ponzi scheme for making questionable assertions regarding a European investment adviser’s alleged complicity.

  • March 26, 2015

    Ex-Commerce Chiefs Want Fast-Track Without Currency Rules

    A bipartisan group of former U.S. secretaries of commerce on Wednesday pressed Congress to sign off on the fast-track model of approving U.S. trade agreements, echoing top Obama administration members who want to avoid tying anti-currency manipulation measures to trade deals.

Expert Analysis

  • Hedging Contango In The Energy Sector

    Jeffrey Nichols

    With some analysts expecting the crude oil forward price curve to dive into steep contango soon, depending on the rates of production decrease, demand increase and storage availability, this will cause cash-strapped oil and gas companies to explore transactions that are a blend of hedging and financing, says Jeffrey Nichols of Haynes and Boone LLP.

  • A Closer Look At Madoff Victims' PwC, Citco Suit

    Christine Vargas Colmey

    A recent Southern District of New York ruling — bringing Madoff Ponzi scheme victims one step closer to recovery from Citco and PricewaterhouseCoopers — serves as a cautionary reminder to service providers to funds. They ought to be mindful that, even in the absence of contractual privity with investors, their acts and omissions can result in liability to those third parties, say Jonathan Sablone and Christine Vargas Colmey of Nixon Peabody LLP.

  • What Experts Can Say About Inadmissible Facts During Trial

    Jason McDonell

    For reliance material that is not admitted on the stand, consider bolstering the testimony by having the expert describe the evidence generally, but in a way that signals to the jury that the expert has a strong foundation of supporting facts and data. If done well, such testimony can open the door to admitting the evidence, say Jason McDonell and Heather Fugitt of Jones Day.

  • 5 Key Privacy Considerations For All Companies

    Adam Solander

    Privacy and security are closely intertwined, but securing information from outside intrusion may not provide the privacy protections you need, say Adam Solander and Patricia Wagner of Epstein Becker & Green PC.

  • The Difficulties In LIHTC Loan Sales

    Mark V. Bossi

    Because there is currently a very robust market for distressed debt, a lender's first option for dealing with any nonperforming loan is often to look to sell the loan. However, the pool of potential buyers for low-income housing tax credit loans will likely consist only of strategic buyers, says Mark Bossi, co-chairman of Thompson Coburn LLP's financial restructuring group.

  • Operation Choke Point Changing Culture But Not Mission

    Barkley Clark

    Suggestions that regulators are distancing themselves from Operation Choke Point and will be more restrained in holding banks accountable are nice but may not prove to be accurate. While the culture is shifting at the federal banking agencies, expect vigorous continued civil and criminal prosecutions, say Barkley Clark of Stinson Leonard Street LLP and Barbara Clark of Commercial Law Institute.

  • EMIR's Effectiveness Is Doubtful

    Stephen Phillips

    If a “Lehman-like” collapse were to happen again tomorrow or if a central clearing counterparty becomes insolvent, it is questionable whether regulators would glean useful insights from the costly and far-reaching reporting requirements imposed on the derivatives market by the European Market Infrastructure Regulation, say attorneys with Orrick Herrington & Sutcliffe LLP.

  • High Court May Take On Corporate 5th Amendment Privilege

    Ramzi Abadou

    A festering but virtually unnoticed circuit split over a legal doctrine the U.S. Supreme Court first recognized early last century may provide the Roberts court with the opportunity to grant corporate persons privilege against self-incrimination for the first time in U.S. history, says Ramzi Abadou of Kahn Swick & Foti LLP.

  • And Now A Word From The Panel: Just Say No (To MDLs)?

    Alan E. Rothman

    What will spring bring for the Judicial Panel on Multidistrict Litigation? Will it continue to close the door on new MDL proceedings? Will it decide to throw the baby out with the bathwater and decline to create a baby wipe MDL? asks Alan Rothman of Kaye Scholer LLP.

  • 7th Circ. Title Policy Ruling Brings Risks For Lenders

    Sarah R. Borders

    The Seventh Circuit’s recent interpretation of Exclusion 3(a) in the standard-form construction lender’s title policy, in the context of a failed project, places the risk of loss associated with unpaid subcontractors arising from a lender’s decision to stop funding squarely on the construction lender, not the title insurer. There are, however, steps that a lender can take to mitigate this risk of loss, say Sarah Borders and Jeffrey... (continued)