Banking

  • May 18, 2017

    Bermuda Insurer Fights MF Global's $1.8M Attys' Fee Bid

    Former MF Global excess insurer Allied World Assurance Co. Ltd. said in New York bankruptcy court Wednesday that it never violated court rules, despite the defunct company’s bid for $1.8 million in attorneys' fees over insurers' alleged failure to obtain court permission before filing an action to arbitrate a contract dispute in Bermuda.

  • May 18, 2017

    CFTC Swaps Capital Proposal Needs Work, Groups Say

    Several groups representing swap dealers and other financial firms have told the U.S. Commodity Futures Trading Commission to rethink parts of its proposal to establish minimum capital requirements for swap dealers, saying as written the proposal could push dealers out of the market.

  • May 18, 2017

    Deals Rumor Mill: UAE Exchange, Naspers, Julius Baer

    UAE Exchange Group plans to spend up to $300 million on acquisitions through 2020, Naspers is considering a sale of pay-TV business Multichoice and Julius Baer is nearing the acquisition of a minority stake in Argentine financial services company TPCG Group.

  • May 18, 2017

    CFPB Must Improve Enforcement Data Security, Report Says

    The Consumer Financial Protection Bureau failed to restrict access to sensitive enforcement data by former employees who left the bureau or were reassigned, putting that information at risk, a watchdog report said Thursday.

  • May 18, 2017

    Convicted Embezzler Loses Bid For Resentencing At 7th Circ.

    The Seventh Circuit on Wednesday upheld a 10-year sentence for a scheme to embezzle nearly $14 million from a credit union, saying a district judge was right to reject a mitigating factor that the defendant considered important.

  • May 18, 2017

    SEC Denies FINRA Order Freeze For Appealing Brokerage

    The U.S. Securities and Exchange Commission has denied a bid by a broker-dealer to freeze a Financial Industry Regulatory Authority order requiring it to get annual financial statements reviewed by certain firms, saying it hadn’t shown how an appeal of the order would succeed.

  • May 18, 2017

    Treasury Secretary Dashes Hopes For Glass-Steagall Revival

    Treasury Secretary Steven Mnuchin on Thursday said that the Trump administration has no intention of breaking up the biggest banks despite administration statements that it supported an updated version of the Glass-Steagall Act.

  • May 18, 2017

    Quicken Loans Charged Illegal Interest, Borrowers Say

    A proposed class of mortgage borrowers has accused Quicken Loans of exploiting a Federal Housing Administration loophole to charge illegal interest payments without providing mandatory disclosures, according to a complaint filed in Georgia federal court.

  • May 17, 2017

    LA Looks To Revive BofA, Wells Fargo Lending Bias Suits

    Los Angeles urged the Ninth Circuit on Wednesday to revive separate suits accusing Bank of America Corp. and Wells Fargo & Co. of steering minority borrowers to more expensive and riskier home loans, saying both were wrongly tossed as time-barred and with a premature focus on the merits.

  • May 17, 2017

    NJ Lawyer Cops To False Entries In Bank Fraud Conspiracy

    A lawyer pled guilty in New Jersey federal court on Wednesday to two charges related to her role in a conspiracy to cook the books of now-defunct First State Bank in order to fool the Federal Deposit Insurance Corp. and other auditors into giving the troubled bank a clean bill of health.

  • May 17, 2017

    Coinbase Users Move To Stay Unnamed, Quash IRS Summons

    A pair of anonymous Coinbase customers have asked a California federal court to allow them to remain unidentified and to intervene in an IRS effort to enforce a summons for customer names, data and correspondence from the virtual currency exchange company.

  • May 17, 2017

    Regulatory Reform Package Clears Senate Committee

    The Senate Homeland Security Committee on Wednesday sent five regulatory reform bills to the full body for a vote, all of which are designed to make it harder for executive agencies to promulgate rules.

  • May 17, 2017

    Class Seeks Supplement OK In FXCM Chancery Breach Suit

    Attorneys for directors of foreign exchange broker FXCM Inc. disputed proposed additions Wednesday to an investor class complaint accusing the board of fiduciary breaches, waste and other failings, telling a Delaware Chancery Court that rules governing the fully briefed and pending dismissal motion bar the changes.

  • May 17, 2017

    FINRA Fines Merrill Lynch Over Customer Trade Prices

    The Financial Industry Regulatory Authority said it has fined Merrill Lynch for allegedly failing to obtain the best price for customers on thousands of manually executed trades and failing to keep accurate records of the trades, among other violations.

  • May 17, 2017

    SEC Warns Firms To Beef Up Security After Cyberattacks

    The U.S. Securities and Exchange Commission on Wednesday urged broker-dealers, investment advisers and investment companies to make sure they’re conducting vulnerability scans and implementing timely system upgrades in light of the massive cyberattack that swept across more than 100 countries.

  • May 17, 2017

    Future CFTC Chair Announces New Tech Initiative

    Acting U.S. Commodity Futures Trading Commission Chairman J. Christopher Giancarlo, currently awaiting confirmation as the agency’s permanent chair, announced Wednesday a new initiative to help the agency catch up and respond to rapidly transforming digital markets.

  • May 17, 2017

    Bipartisan Bill Again Calls For Transparency In Settlements

    Democratic U.S. Sen. Elizabeth Warren and Republican U.S. Sen. James Lankford on Tuesday reintroduced legislation requiring greater transparency of settlements companies and individuals enter into with federal agencies, including a disclosure of tax deductible amounts or other credits that affect the actual dollar figure.

  • May 17, 2017

    Ill. Judge Says Gov't Can't Pin Her In $1.4M Mortgage Scheme

    An Illinois county judge indicted as part of a $1.4 million mortgage fraud plot asked the federal judge overseeing her case to dismiss the charges Tuesday, arguing the individual transactions the government outlines don’t constitute a cohesive scheme that she can defend herself against.

  • May 17, 2017

    Senate Bill Would Ease Stress Testing For Small Banks

    A bipartisan Senate bill introduced Wednesday would eliminate stress testing requirements on smaller banks by lifting the threshold for mandating those tests of banks' ability to survive a crisis to $50 billion.

  • May 17, 2017

    Bernstein Litowitz Bumps Motley Rice In Wells Fargo Case

    An asset management company heading a proposed securities class action alleging that Wells Fargo misrepresented its cross-selling activities has asked a California federal judge for permission to replace Motley Rice LLC with Bernstein Litowitz Berger & Grossmann LLP as lead counsel.

Expert Analysis

  • Takeaways From Cumulus Media Refinancing Ruling

    Mark Chass

    Investors should anticipate that creditors may rely on two aspects of the recent decision in Cumulus Media v. JPMorgan Chase to challenge exchange offers, particularly those in which issuers seek to refinance unsecured debt with secured debt, says Mark Chass of Kramer Levin Naftalis & Frankel LLP.

  • State Bank Regulators To OCC: 'Innovation' Starts In States

    Thomas Brooks

    The Office of the Comptroller of the Currency's recent proposal to create special-purpose national bank charters for financial technology companies is not without political concerns. As a result, some opposition has developed on both sides of the congressional aisle, says Thomas Brooks of Clark Hill PLC.

  • CFPB Insights On Alternative Data Use In Credit Scoring

    Michael Gordon

    The growing utilization of alternative data in credit decisions and scoring models continues to attract the attention of regulators. Although clear and practical guidance remains elusive, regulator pronouncements provide some clues and takeaways for market participants, say Michael Gordon and Vaughn Stewart of WilmerHale.

  • Whither Arbitration Of Public Injunctive Relief?

    Cary Sullivan

    In McGill v. Citibank, the California Supreme Court stopped short of determining whether public injunctive relief is arbitrable. The decision should help refocus attention on the unresolved issues from Ferguson v. Corinthian Colleges, say Cary Sullivan and Chris Waidelich of Jones Day.

  • High Court Establishes New Theory Of Municipal Standing

    Philip Stein

    The U.S. Supreme Court's opinion Monday in Bank of America v. City of Miami conceivably established a right for cities to prospectively sue lenders, builders, developers and others in the industry. That power is — at least potentially — enormous, say Philip Stein and James Ward of Bilzin Sumberg Baena Price & Axelrod LLP.

  • Recent Trends In Enforcement Of Intercreditor Agreements

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    Three recent cases show that bankruptcy courts are increasingly willing to interpret intercreditor agreements and agreements among lenders and apply their plain language to the facts of the case, say attorneys with Skadden Arps Slate Meagher & Flom LLP.

  • What Lawyers Should Know To Avoid Online Scams

    J. S. Christie Jr.

    Scams resulting in access to confidential information are probably a lawyer’s greatest technology and cybersecurity risk. But hackers are more likely to gain access to a lawyer’s computer systems through human error, usually responding to a scam, than a brute force attack, says J. S. Christie Jr. of Bradley Arant Boult Cummings LLP.

  • How Recent Executive Orders May Affect SEC And CFTC

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    The first 100 days of the Trump administration have brought numerous directives designed to reshape the regulatory landscape for financial institutions that ultimately may result in dramatic changes to government departments and agencies, says David Tittsworth of Ropes & Gray LLP.

  • Web Servers: An Overlooked Cybersecurity Risk At Law Firms

    Jeff Schilling

    Many law firms use public-facing websites for business development and to streamline operational processes. While these sites are great for maximizing information-sharing, they could unknowingly be an unlocked gateway into a firm’s most confidential data, says Jeff Schilling of Armor Defense Inc.

  • 2nd Circ. May Clarify 5th Amendment Issue In Libor Case

    Mark Racanelli

    A pending Second Circuit case raises an interesting constitutional question for practitioners whose clients are subject to parallel, cross-border white collar investigations: When someone gives compelled testimony to foreign law enforcement officials, does the Fifth Amendment bar U.S. prosecutors from using her statements, directly or indirectly, to criminally prosecute her? say Mark Racanelli and Michael Simeone of O’Melveny & Myers LLP .