Banking

  • August 22, 2017

    Chase, Agency To Pay $4.3M To End Debt Collection Suit

    JPMorgan Chase Bank NA and a debt collection agency have agreed to pay $4.3 million to end a Fair Debt Collection Practices Act suit brought by borrowers alleging unlawful solicitation of mortgage payments, according to settlement documents filed in California federal court on Monday.

  • August 22, 2017

    Feds Move To Ease Capital Treatment For Smaller Banks

    Federal banking regulators on Tuesday said they would not require most banks to comply with international standards for the treatment of mortgage servicing and other assets as part of a planned easing of the capital rules for smaller banks.

  • August 22, 2017

    Citizens Bank Mortgage Loan Officers Keep FLSA Collective

    A Pennsylvania federal judge Tuesday refused to decertify a Fair Labor Standards Act collective of mortgage loan officers accusing Citizens Bank NA of wage violations, granting final certification while trimming certain claims challenging the legality of the bank's compensation plan.

  • August 22, 2017

    2nd Circ. Won't Give Litvak Interim Get-Out-Of-Jail Card

    The Second Circuit said Tuesday that former Jefferies Group trader Jesse Litvak can't delay the start of a two-year sentence while appealing his conviction on one out of 10 mortgage-backed securities fraud charges.

  • August 22, 2017

    FinCEN Expands High-End Real Estate Reporting To Hawaii

    The Financial Crimes Enforcement Network on Tuesday expanded its geographic targeting orders to cover Honolulu as one of the metropolitan areas where large real estate transactions will draw scrutiny, while also adding wire transfers to the list of payment types that insurers should flag.

  • August 22, 2017

    Long Island Mortgage Co. Execs Charged With $8.9M Fraud

    New York federal prosecutors on Tuesday accused three executives of Long Island mortgage lender Vanguard Funding LLC of lying to banks in order to obtain nearly $9 million in short-term loans.

  • August 22, 2017

    CFP Board's Standards Proposal Gets Support, Suggestions

    Investor advocate groups and financial planning professional associations have thrown their support behind a Certified Financial Planner Board of Standards proposal to expand its fiduciary standards but suggested clarifications, while some business groups said the board should wait for rulemaking from federal agencies.

  • August 22, 2017

    Real Estate Rumors: NYC Penthouse, FPA, Justworks

    A planned New York penthouse could list for as much as $75 million, an FPA Multifamily venture has reportedly paid $48 million for 165 condo units in Chicago and payroll automation software platform Justworks has reportedly subleased roughly 59,000 square feet in New York from Tommy Hilfiger.

  • August 22, 2017

    Cetera Financial To Pay $3.3M Over Mutual Fund Fee Errors

    Five subsidiaries of Cetera Financial Group Inc. have agreed to accept a censure from the Financial Industry Regulatory Authority and pay $3.3 million back to clients after finding they had wrongly been sold high-cost mutual fund shares, according to notices posted yesterday on the self-regulatory group’s website.

  • August 22, 2017

    Arab Bank Says Terror Case 'Exemplifies' Alien Tort Abuse

    Arab Bank PLC on Tuesday told the U.S. Supreme Court that a bid by victims of Palestinian attacks to revive allegations that the bank helped militants fund their activities “exemplifies much of what is wrong” with current attempts to expand the use of the Alien Tort Statute.

  • August 22, 2017

    Treasury, DOJ Rebuke North Korea-Affiliated Cos.

    The Department of the Treasury announced Tuesday that it would sanction Chinese and Russian companies supporting North Korean trade in a move condemned by Chinese officials, while the Department of Justice simultaneously accused two companies of laundering U.S. dollars to aid North Korea.

  • August 22, 2017

    FDIC Chair Will Consider Cautious Tweaks To Volcker Rule

    Federal Deposit Insurance Corp. Chairman Martin Gruenberg on Tuesday said he was open to making changes to the Volcker Rule as long as they maintain the “substance” of the regulation's ban on proprietary trading by banks.

  • August 22, 2017

    OCC Wants 'Speculative' NY Fintech Charter Suit Tossed

    The Office of the Comptroller of the Currency has said that New York state regulators cannot prove that a special charter for financial technology firms would be harmful to them because the national bank regulator has not yet even issued one, making the state lawsuit a "speculative" exercise.

  • August 22, 2017

    Wells Fargo Investors Defend Fake-Account Fraud Suit

    Wells Fargo & Co. investors alleging the bank's response to its cross-selling scandal amounted to securities fraud asked a California federal court Monday to keep their suit alive, saying investors took the bank's statements about compliance seriously and suffered when the market reacted to the scandal.

  • August 21, 2017

    Financial Firms’ Worst Mistakes With Cybersecurity

    Although the U.S. Securities and Exchange Commission said earlier this month that broker-dealers, investment advisers and funds have improved their “cybersecurity preparedness” in recent years, it found a majority of firms still had issues. Here, experts identify a few key areas where the financial industry is coming up short.

  • August 21, 2017

    OCC Says It Had Nothing To Do With Operation Choke Point

    The Office of the Comptroller of the Currency on Friday disclaimed any role in a Department of Justice operation that Republicans accused of freezing payday lenders and gun stores out of the banking system, telling a top congressman that it didn’t single out any particular industry for scrutiny.

  • August 21, 2017

    Why Midsize Firms Run The Gamut On Diversity

    Midsize firms on average are the least racially and ethnically diverse, but the level of diversity also varies widely among firms in this group, according to the latest Diversity Snapshot. Here’s a look at how a few of these firms are faring.

  • August 21, 2017

    Law Firms Head Back To School For Diversity Guidance

    A handful of law firms have agreed to put themselves under the lens of academia in an effort to root out structural inequalities and implicit bias. Here’s a look at what they’re finding.

  • August 21, 2017

    GCs Find New Urgency In Longtime Push For Diversity

    In-house attorneys are intensifying long-standing efforts to diversify their outside counsel, and they’re looking to create a critical mass of law department leaders that will bring about meaningful change.

  • August 21, 2017

    Banks Need To Boost Compliance Tech Amid Faster Payments

    As the Federal Reserve and private actors seek to speed up the U.S. payments system, banks are going to have to upgrade their technology to make sure their fraud-prevention and suspicious-transaction tools keep pace and continue to ensure compliance with regulations, experts say.

Expert Analysis

  • 3rd Circ. Introduces New Ascertainability Uncertainty

    Robert Hickok

    Though the recent opinion in City Select Auto Sales v. BMW Bank of North America did not make any sweeping changes to the Third Circuit’s ascertainability jurisprudence, it did alter the relevant analysis slightly — and that may prove an important development in the court that created the two-pronged ascertainability standard, say attorneys with Pepper Hamilton LLP.

  • Diversity In The Legal Profession — A Stubborn Vision

    Robert Grey

    At the Leadership Council on Legal Diversity, we want to see, as founding member and Microsoft chief legal officer Brad Smith once stated, “a legal profession as diverse as the nation we serve.” We are not there yet — far from it — but we are beginning to put some numbers on the board, says Robert Grey, president of the Leadership Council on Legal Diversity.

  • Opinion

    New Salary History Laws Crimp Attorney Hiring Process

    Fredric Newman

    In prohibiting employers from asking potential hires about their previous salaries, lawmakers seek to "level the playing field." But there are real problems with the practicality, legality and enforceability of many of the salary history laws, says Fredric Newman, a founding partner of Hoguet Newman Regal & Kenney LLP.

  • Legal Considerations After SEC's Warning Shot At ICOs

    Robert Crea

    In the midst of market excitement surrounding initial coin offerings, the U.S. Securities and Exchange Commission recently issued an investigative report warning that digital tokens may be securities. When a token is a security, a variety of legal considerations come into play, including the Investment Advisers Act, anti-money laundering and taxation, say attorneys with K&L Gates LLP.

  • Credit Unions Face Tightening Bank Secrecy Act Scrutiny

    Timothy Westrick

    Recent Bank Secrecy Act enforcement underscores credit unions’ obligations not only to adhere to the rules and regulations, but also to possess a sufficient anti-money laundering compliance program of policies, training and reporting, says former federal prosecutor Timothy Westrick of Treliant Risk Advisors.

  • 5 Tips For A Successful Legal Blog

    David Coale

    David Coale, leader of the appellate practice at Lynn Pinker Cox & Hurst LLP, shares his insights into what works — and what does not — when setting up and maintaining a legal blog.

  • OCC Opens The Debate On Volcker Rule Reform

    Andrew Shipe

    The Office of the Comptroller of the Currency recently issued an advance notice of proposed rulemaking that represents the first concrete step toward reforming the regulations that implement the Volcker Rule. The OCC’s willingness to issue the ANPR reflects a forward-thinking approach that will have a significant long-term impact on financial market participants, say attorneys with Arnold & Porter Kaye Scholer LLP.

  • Personnel Is Policy: Succession Possibilities At The CFPB

    Andrew Sandler

    It is not entirely clear whether the Dodd-Frank Act or the Federal Vacancies Reform Act would control succession in the event of Director Richard Cordray’s resignation from the Consumer Financial Protection Bureau. But there will be real and significant differences in the operation of the CFPB depending on which statute prevails, say Andrew Sandler and Benjamin Olson of Buckley Sandler LLP.

  • Is The Hutchins Indictment Over Malware Unconstitutional?

    Alex Berengaut

    ​In a dramatic turn of events, the British security researcher who stopped the WannaCry malware attack has been indicted in the U.S. for creating and selling the Kronos malware. But it is an open question whether the indictment fails to allege a sufficient nexus between Marcus Hutchins and the U.S. for purposes of the Fifth Amendment, says Alex Berengaut of Covington & Burling LLP.

  • Series

    Judging A Book: Kopf Reviews Posner's 'Federal Judiciary'

    Judge Richard Kopf

    There is a wonderful sketch of Seventh Circuit Judge Richard Posner dressed in a black robe with arms outstretched as if they were the billowing wings of a lean vulture. He is kicking a human brain down a hallway and wearing a half-smile that looks for all the world like a sneer. That sketch is the perfect metaphor for both Judge Posner and his new book, "The Federal Judiciary: Strengths and Weaknesses," says U.S. District Judge Ri... (continued)