Banking

  • April 18, 2007

    Subprime Lender Shuffles Cure Schedule Before Sale

    Following a slew of objections from warehouse lenders, People’s Choice Home Loan Inc. on Tuesday removed several contracts from a cure schedule that was distributed prior to the sale of the bankrupt subprime lender’s remaining assets.

  • April 18, 2007

    Former AMEX Chief Denies SEC Allegations

    The former head of the American Stock Exchange has formally denied any wrongdoing in connection with allegations that the exchange violated federal securities laws and record-keeping requirements.

  • April 18, 2007

    Congressman Calls For Student Lender Reforms

    The ever-widening student lender scandal demonstrates the need for “emergency reforms” in the industry, according to California Rep. George Miller.

  • April 17, 2007

    Pillsbury Winthrop Starts Subprime Industry Group

    Pillsbury Winthrop Shaw Pittman LLP has formed a group to focus on the collapse of the subprime mortgage market, recognizing that the industry’s woes will lead to a wave of litigation and regulatory and transactional dilemmas.

  • April 17, 2007

    High Court Blocks State's Regulation Of Wachovia Unit

    In a move that bodes well for national mortgage lenders, the U.S. Supreme Court has ruled that Wachovia Corp.’s mortgage unit is not subject to regulation by state banking offices.

  • April 17, 2007

    Reinsurer Takeover Bid Spills Into U.S. Court

    Swiss reinsurer Converium has fought a hostile takeover attempt by rival Scor S.A. with a U.S. lawsuit claiming the French company’s $2.56 billion bid unlawfully excludes American shareholders.

  • April 17, 2007

    Mortgage Lender Settles 25 Overtime Lawsuits

    Home mortgage lender Oak Street Mortgage has agreed to pay $2.45 million to settle a slew of lawsuits by loan officers who claimed they were cheated out of overtime pay.

  • April 18, 2007

    DOJ Asks For Trustee In New Century Case

    The U.S. Department of Justice asked a bankruptcy court Tuesday to appoint a trustee to oversee subprime lender New Century Financial Corp.’s Chapter 11 case instead of the company’s current management.

  • April 17, 2007

    Ex-Oppenheimer Broker To Pay $8M For Fraud

    A former Oppenheimer & Co. broker will pay $8 million after a National Association of Securities Dealers arbitration panel ruled that he defrauded an elderly couple.

  • April 17, 2007

    Law Firms Conspired On Illegal Tax Shelter: Suit

    Just weeks after Jenkens & Gilchrist collapsed over its involvement in an illegal tax shelter scheme, Holland & Hart, Snell & Wilmer and two other law firms have been sued over their role in a tax shelter in Arizona.

  • April 16, 2007

    Ex-First National President Gets Four Years

    A federal judge on Friday sentenced the former president of First National Bank of Bowie, Texas, to nearly four years in prison for bank fraud.

  • April 16, 2007

    Ameriquest Charged With Race Discrimination

    Ameriquest Mortgage Co., the largest privately held mortgage firm in the United States, was hit with a proposed class action lawsuit on Friday that accuses it of targeting African Americans for predatory subprime loans.

  • April 16, 2007

    Seatholder Suit Over NYSE Merger To Proceed

    A lawsuit filed against the president of the New York Stock Exchange by a former seatholder who claims she was misled about the status of the merger between the NYSE and Archipelago Holdings will head to court, after a state Supreme Court judge refused to throw the suit out.

  • April 16, 2007

    Bank Attacks Delta Over Aircraft Leases

    Delta Air Lines’ reorganization plan has come under attack by the Bank of New York, which wants the carrier to make up its mind about aircraft leases before the plan is confirmed.

  • April 16, 2007

    Delphi Objects To Wachovia's Suit Against Employee

    Delphi Corp. filed an objection in bankruptcy court Friday in an effort to stop Wachovia Bank NA from pursuing a breach of contract and tortious interference suit against a Delphi employee.

  • April 16, 2007

    UBS Ordered To Pay $3.5M In Sex Bias Case

    A federal jury on Friday ordered UBS Financial Services Inc. to pay more than $3.5 million in punitive damages in a case brought by a former stockbroker who claimed the financial giant fired her for failing to meet asset management standards it did not similarly require of male financial advisors.

  • April 16, 2007

    Lender To Pay $2.5M To Quell Cuomo Probe

    Education Finance Partners announced an agreement Monday to shell out $2.5 million and end its revenue-sharing arrangements with universities, becoming the latest student loan provider to settle with New York Attorney General Andrew Cuomo in his widening probe into the $85-billion-a-year student loan industry.

  • April 16, 2007

    Lehman Bros. Accused Of Options Backdating

    A shareholder derivative lawsuit has been filed against Lehman Brothers Holdings Inc., alleging that 22 of the investment bank’s executives unjustly enriched themselves by manipulating stock options grants.

  • April 16, 2007

    Former SEC Senior Counsel Joins Schulte Roth

    Former senior counsel for the U.S. Securities and Exchange Commission, Barry McCarty, has joined Schulte Roth & Zabel LLP in the firm's business transaction group.

  • April 13, 2007

    E&Y Settles With PNC For $9M

    Big Four accounting firm Ernst & Young will pay PNC Financial Services and its investors $9 million to settle a long-running lawsuit over alleged accounting fraud.