Law360, New York (February 8, 2008, 12:00 AM EST) -- A federal appeals court has rejected a ruling by federal regulators that Grant Thornton LLP bore responsibility in the former First National Bank of Keystone’s financial meltdown. The U.S. Court of Appeals for the D.C. Circuit found that, as an external auditor, the auditor was not conducting the bank's business.
The court spared the Chicago-based accounting firm $300,000 in civil penalties and also threw out the U.S. Comptroller of the Currency’s motion to inspect Grant Thornton’s audits of the bank.
Financial Services Law360 UK and Insurance Law360 UK provide breaking news and in-depth analysis on U.K. and European Union regulation, enforcement, legislation, and litigation involving banks, investment firms, insurers, and more.