Banking

  • April 19, 2018

    NY Cautions Banks, Insurers About Doing Business With NRA

    New York’s top banking agency on Thursday urged state-chartered banks and insurers operating in the state to think twice about doing business with the National Rifle Association and other gun rights advocacy groups in the wake of recent deadly incidents of gun violence like the Parkland, Florida, school shooting.

  • April 19, 2018

    Wells Fargo Asks 8th Circ. To Salvage Foreign Tax Credits

    Wells Fargo appealed the loss of foreign tax credits in a lawsuit over a securities transaction worth more than $1.25 billion, telling the Eighth Circuit Wednesday that a Minnesota federal court had wrongly allowed a jury to decide its transaction was a sham.

  • April 19, 2018

    Proskauer Tells 5th Circ. It's Immune From $1.5B Stanford Suit

    Proskauer Rose LLP on Thursday told the Fifth Circuit that a Texas federal judge wrongly denied its bid to end a $1.5 billion suit brought by the receiver for the R. Allen Stanford Ponzi scheme, as the firm argues the attorney immunity doctrine should protect it from an upcoming trial.

  • April 19, 2018

    BlackRock, Royal Park Can’t Toll RMBS Suits Against HSBC

    Investors who lost their bid for class certification can’t pause the clock on claims against HSBC Bank USA NA for allegedly botching its trustee responsibilities on hundreds of residential mortgage-backed securities trusts while they appeal, a New York federal judge ruled Thursday.

  • April 19, 2018

    High Court's Whistleblower Ruling Kills Ex-UBS Exec's Claim

    A New Jersey federal judge on Thursday trimmed a claim from a fired UBS Financial Services Inc. executive’s whistleblower suit following a U.S. Supreme Court decision holding that Dodd-Frank Act protections only extend to those who report alleged wrongdoing to the U.S. Securities and Exchange Commission.

  • April 19, 2018

    McDonnell Can't Be Plopped Onto Guinean Law, 2nd Circ. Told

    Prosecutors have urged the Second Circuit to reject a former Guinean mining minister’s bid to undo a money-laundering conviction, arguing that the U.S. Supreme Court’s McDonnell decision interpreting U.S. bribery law doesn’t apply to foreign statutes.

  • April 19, 2018

    BofA Predatory Lending Cleanup Cost $20M, County Says

    Attorneys for Cook County pushed back Thursday against an Illinois federal judge’s comments about the value of its lawsuit over an alleged predatory lending scheme run by Bank of America, claiming that it spent more than $20 million to clean up the mess.

  • April 19, 2018

    State AGs Tell Congress Not To Exclude Attys From FDCPA

    The New York, California and Massachusetts attorneys general joined 17 of their counterparts in urging Congress on Thursday to reject a bill that would shield law firms and attorneys involved in debt-collection litigation from the reaches of the Fair Debt Collection Practices Act, saying the move would strip away critical safeguards.

  • April 19, 2018

    Lender Targeted Pensioners In Predatory Scheme, Ill. AG Says

    Nevada-based Future Income Payments LLC has been conducting an illegal and predatory lending scheme in Illinois by offering short-term loans at enormous interest rates and accepting repayment from consumers' pension plans, according to a lawsuit the state’s attorney general filed Wednesday.

  • April 18, 2018

    SEC Unveils Plans For 'Best Interest' Standard For Brokers

    A divided U.S. Securities and Exchange Commission on Wednesday proposed holding brokers to a higher standard of care if they are giving advice to retail investors, kicking off a likely contentious fight to finalize the long-awaited new rules that have already met with skepticism at the agency.

  • April 18, 2018

    Jurisdiction Gives NY Judge Pause In Trust Atty Fee Suit

    A New York state judge expressed concern at a hearing Wednesday about whether she has jurisdiction to hear a suit from law firm Chaitman LLP and a slew of securitized student loan trusts faulting their trustee Wilmington Trust Co. and administrator GSS Data Services Inc. for the trusts’ unpaid legal bills.

  • April 18, 2018

    Ex-NJ Bank Worker, 2 Others Stole Client Info, Funds: Feds

    The former employee of a New Jersey bank and two others have been charged with attempting to steal $700,000 from the bank’s clients using an identity theft scheme, federal prosecutors in New York said Wednesday.

  • April 18, 2018

    Texas Sets Pace In State Cryptocurrency Crackdowns

    Texas is at the forefront of using its state securities laws to go after allegedly fraudulent cryptocurrency investment schemes, and as digital currency offerings grow more popular, more states are expected to follow suit, experts say.

  • April 18, 2018

    Deals Rumor Mill: Altice, Carl Icahn, Grail

    The European Commission plans to fine Altice, Carl Icahn snapped up a less than 5 percent stake in Dell Technologies unit VMware, and Grail Inc. wants to raise $1 billion.

  • April 18, 2018

    Man Gets 3 Years For $3.7M Series Of Online Frauds

    A Washington state man will spend three years in prison for conducting a series of online frauds that aimed to take approximately $3.7 million from the U.S. Department of Defense, a U.S. financial institution and the government's pension benefit agency, a New York federal judge said on Wednesday.

  • April 18, 2018

    Murphy & McGonigle Nabs CFTC Atty For Securities Team

    A chief trial attorney at the Commodity Futures Trading Commission who helped litigate market manipulation claims against Arcadia Petroleum and nabbed nearly $4 million in disgorgement from a Ponzi schemer in Hawaii has left to join the securities team at Murphy & McGonigle PC, the firm announced this week.

  • April 18, 2018

    PHH Shareholder Sues Over Proposed $360M Sale To Ocwen

    A shareholder in PHH Corp. hit the company and its board of directors with a proposed class action Tuesday in New Jersey federal court alleging the board was misleading investors about a $360 million plan to sell the company to rival mortgage provider Ocwen Financial Corp. and had bungled the sale process.

  • April 18, 2018

    SEC Commish Warns Of Overreliance On New Market Rules

    U.S. Securities and Exchange Commissioner Hester M. Peirce on Wednesday urged a more careful review of market structure reforms proposed by the agency, saying new rules drafted by financial industry regulators often seem designed to "mitigate" problems created by earlier rules. 

  • April 18, 2018

    Indicted Binary Options Co. Founder Faces CFTC Fraud Suit

    A New Yorker under criminal indictment was hit with a court-ordered asset freeze after the Commodity Futures Trading Commission filed a related suit in Brooklyn federal court against him, his co-conspirator and his binary options company claiming they conned investors out of more than $600,000 with illegal off-exchange options.

  • April 18, 2018

    Senate Votes To Roll Back CFPB Auto Lending Rule

    A push to ax the Consumer Financial Protection Bureau’s 2013 guidance on discrimination in auto lending got one step closer to reality Wednesday after the Senate passed a measure to repeal the rule under the Congressional Review Act.

Expert Analysis

  • A 9th Circ. Warning For Game Apps With Micro-Transactions

    Christopher Queenin

    Courts that have addressed virtual game currencies have found that developers do not run afoul of state gambling laws so long as the virtual currencies have no transferable monetary value outside of the game. But the Ninth Circuit disagreed last month in Kater v. Churchill Downs, says Christopher Queenin of Nixon Peabody LLP.

  • Series

    Dissolving Practice: The Unfinished Business Doctrine

    Thomas Rutledge

    There has been, of late, significant dispute as to the application of the unfinished business doctrine, particularly with respect to hourly rate matters of now-dissolved large law firms. And the California Supreme Court’s recent decision in Heller Ehrman, like others as to similar points, is highly questionable, says Thomas Rutledge of Stoll Keenon Ogden PLLC.

  • Senate Regulatory Relief Bill Would Benefit Community Banks

    Joan Guilfoyle

    The Dodd-Frank rollback bill recently passed by the Senate is not as sweeping as the House’s Financial Choice Act, but for community bankers, there are a number of provisions to like, says Joan Guilfoyle of Jones Walker LLP.

  • Should We Trust The Fiduciary Rule Is Gone?

    Robert Stone

    The U.S. Department of Labor's fiduciary rule has been challenged in court by various organizations on grounds that the agency exceeded its authority in promulgating it. Those challenges culminated in a recent decision by the Fifth Circuit to vacate the rule in U.S. Chamber of Commerce v. DOL, say Robert Stone and Shannon Smith of Katten Muchin Rosenman LLP.

  • NJ Arbitration Ruling Puts Burden On Employers

    Joshua Bauchner

    It has become customary for employers to provide notice or copies of an arbitration agreement to employees via email or an online portal without documenting whether the employees actually reviewed the notice. A New Jersey federal judge's ruling in Schmell v. Morgan Stanley will have far-reaching impact on the enforceability of such agreements, say Joshua Bauchner and Michael Ansell of Ansell Grimm & Aaron PC.

  • FBARs: A Changing Landscape

    James Mastracchio

    This video from James Mastracchio and Susan Seabrook of Eversheds Sutherland LLP discusses the changes to the rules impacting FBAR filing obligations and the impact of the changes on potential penalties.

  • 50 Years After MLK's Death, Housing Segregation Persists

    Rigel Oliveri

    On the 50th anniversary of Martin Luther King Jr.'s assassination, which likely influenced passage of the Fair Housing Act, segregation levels have decreased but still remain high. As a result, fair housing lawyers have turned their attention to the structural and economic forces that limit housing opportunities, says Rigel Oliveri of the University of Missouri.

  • How Senate Bill Would Change Compliance For Midsize Banks

    Christopher Allen

    The U.S. Senate last month passed the Economic Growth, Regulatory Relief, and Consumer Protection Act, which makes modest reforms to the Dodd-Frank Act. Here, attorneys with Arnold & Porter look at the bill's notable provisions for community and midsized banks and the prospects for enactment.

  • A Notable Footnote In High Court Merit Management Decision

    Elliot Moskowitz

    The U.S. Supreme Court’s ruling in Merit Management v. FTI Consulting has been characterized as a narrowing of the Section 546(e) safe harbor, given the court’s holding that a transfer is not protected from avoidance merely because the funds passed through a “financial institution.” However, a footnote in the decision could mean that the safe harbor remains applicable to additional participants in securities transactions, say Ellio... (continued)

  • The SEC Cyber Unit's First 6 Months, And What’s Ahead

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    The first six months of the U.S. Securities and Exchange Commission's cyber unit have been marked by actions both in long-standing areas of SEC enforcement and emerging technologies and activities. Looking ahead, there are signs that the SEC may also seek to bring enforcement actions in an area that has been less publicized, say attorneys with Cleary Gottlieb Steen & Hamilton LLP.