Banking

  • April 11, 2018

    NJ Real Estate Atty Suspended Over Botched Mortgage Payoff

    New Jersey’s highest court has issued a two-year suspension to a real estate attorney for not fulfilling his obligation to pay off a mortgage for his clients out of a loan that was made to them, rejecting a disciplinary panel’s recommendation that the lawyer be disbarred.

  • April 11, 2018

    UK Fintech Co. Liberis Secures $81.5M In Funding

    U.K.-based financial technology company and small-business lender Liberis has secured £57.5 million ($81.5 million) in funding that will be used to support an estimated 100,000 jobs in the U.K. by 2020, the company said Wednesday.

  • April 11, 2018

    SEC Looks To Spur Trading Of Smaller Companies

    The U.S. Securities and Exchange Commission will consider whether market structure changes are needed to stimulate interest in thinly traded securities of small companies at a coming roundtable, Chairman Jay Clayton said Tuesday, reiterating his concern that “Main Street” investors are losing out from a decline in publicly traded companies.

  • April 11, 2018

    House Passes Financial Services Rules Tweaks

    The House of Representatives passed a series of rules tweaking financial services and banking rules Wednesday, as the chamber gears up to consider its own version of a Senate-passed banking overhaul.

  • April 11, 2018

    Business Email Billing Scammer Admits To Cyber Fraud

    A Nigerian national accused of running a large-scale business email billing scam on Wednesday copped to his role in the scheme that targeted thousands of victims in the U.S. and around the world.

  • April 11, 2018

    Navajo Nation Says Wells Fargo Must Face Fake Account Suit

    The Navajo Nation has urged a New Mexico federal judge to deny Wells Fargo's bid to nix the tribe's suit alleging the bank targeted tribe members in opening fraudulent accounts, saying that the bank’s settlements over similar conduct don’t prevent the tribe from pursuing its own claims.

  • April 11, 2018

    Credit Suisse Has Edge On Cert. In Forex Case, Judge Says

    Manhattan U.S. District Judge Lorna G. Schofield on Wednesday said that Credit Suisse AG, the lone holdout in an action brought by currency exchange customers who say big banks rigged foreign exchange rates, has a good chance to beat a planned class certification motion.

  • April 11, 2018

    Agrokor Creditors Agree To Restructure Embattled Food Co.

    Creditors of Croatian food and beverage giant Agrokor have struck a tentative deal to restructure the debt-loaded company and stave off bankruptcy, the company said, averting a blow that politicians warned would be felt by the regional economy of the Balkans. 

  • April 11, 2018

    Macquarie, KKR $100M Auction-Rigging Claims Advance

    A New York state judge ruled that a real estate investor could move forward with its allegations that investment bank Macquarie conspired with asset manager KKR & Co. LP to rig an auction for apartment buildings worth $100 million, rejecting efforts to dismiss the case at a contentious hearing Wednesday.

  • April 11, 2018

    Prosecutors Say Ex-Traders Gamed System With Euribor Rig

    Five former Barclays PLC and Deutsche Bank AG traders gamed the financial system to rip off counterparties that did business with them in a conspiracy to rig an interest rate benchmark used to price trillions of dollars of securities, prosecutors for Britain’s Serious Fraud Office told a London court on Wednesday.

  • April 10, 2018

    Bondholders Ratchet Up Puerto Rico Sales Tax Revenues Spat

    Holders of Puerto Rico’s general obligation bond debt waged a court fight Tuesday over the territory’s sales tax revenues, telling a New York federal judge that the island’s constitution overrides competing bondholder claims to more than $17 billion in pledged sales tax collections.

  • April 10, 2018

    NY Judge Iffy On Credit Suisse’s Bid To Kill $1B RMBS Suit

    A Credit Suisse unit and U.S. Bank NA squared off in a New York state courtroom on Friday to argue on the Swiss investment bank’s motion to defeat claims related to $1 billion in residential mortgage-backed securities without a trial, with neither side seeming to win the judge over.

  • April 10, 2018

    Fed Eyes Changes To Capital Rules For Large Banks

    The Federal Reserve Board said Tuesday that it’s considering simplifying its capital rules for big banks, rolling out a set of proposed changes that could yield higher required levels of capital for some of the biggest banks while lowering them for others.

  • April 10, 2018

    TD Ameritrade Sued Over Futures Contracts Liquidations

    TD Ameritrade Inc. and two of its subsidiaries were hit with a proposed class action Tuesday alleging they liquidated clients’ futures option investments in a thinly populated after-market rather than the full market, a purported bad-faith exercise that the investors say makes the brokerage liable for “tens of millions of dollars” in damages.

  • April 10, 2018

    Russian Laundromat Case Offers Banks Compliance Lessons

    The Russian Laundromat scheme, which laundered between $20 billion and $80 billion out of Russia, provides a lesson in compliance to banks and other institutions, which need to more aggressively monitor transactions involving shell companies, experts at an anti-money laundering conference said Tuesday.

  • April 10, 2018

    2nd Circ. Says AXA’s Annuity Deception Didn't Trigger SLUSA

    Claims that AXA Equitable Life Insurance Co. reduced returns for annuity buyers were revived and returned to state court Tuesday after the Second Circuit found in a published opinion that AXA's misleading a regulator did not make the case a federal matter under the Securities Litigation Uniform Standards Act.

  • April 10, 2018

    DOJ Assists Ex-State Street Exec Chasing Foreign Evidence

    The U.S. Justice Department has come to the aid of a former State Street executive charged with securities fraud who was struggling to get evidence from the overseas clients he allegedly swindled, a prosecutor said Tuesday in a show of sportsmanship two months before the case is scheduled for trial in Boston.

  • April 10, 2018

    Caribbean Bank Joins IPO Rush With Roughly $226M Offering

    FirstCaribbean International Bank Limited, which operates throughout the English- and Dutch-speaking Caribbean, on Tuesday launched an initial public offering that could raise an estimated $226 million, joining a wave of companies that plan to price IPOs next week.

  • April 10, 2018

    IRA Exempt From Debt Collection, Ill. Appeals Court Rules

    An Illinois appellate court on Monday reversed a trial court’s finding that a man’s IRA was not exempt from being included in a debt collection, writing in its opinion that the collecting bank’s brief was written so carelessly that the appellate panel had no choice but to strike it.

  • April 10, 2018

    DOJ Fails To Appeal 2nd Circ.'s Compelled Testimony Ruling

    The U.S. Department of Justice did not meet a Friday deadline to ask the U.S. Supreme Court to review a Second Circuit decision dismissing the convictions of two former Rabobank traders over constitutional concerns stemming from the use of testimony compelled overseas.

Expert Analysis

  • You’re Perfect, Now Change: Perfectionism Hurts Lawyers

    Peter Norman

    Like medical professionals, lawyers often resist policies to reduce errors due to the culture of perfectionism that permeates the industry. Autonomy is key to the legal professional's prestige and the outward demonstration of competence is key to maintaining autonomy, says Peter Norman of Winnieware LLC.

  • In Lakeridge, Concurring Justices Take The Spotlight

    Steven Wilamowsky

    The U.S. Supreme Court last week held in Village at Lakeridge that the appropriate standard for determining nonstatutory insider status in bankruptcy is the clearly erroneous standard that was applied by the Ninth Circuit. But the concurring opinions, which address an issue that was not before the court, appear to be more significant, say Steven Wilamowsky and Aaron Krieger of Chapman and Cutler LLP.

  • Opinion

    Grassley, Feinstein Debate Judicial Vetting, Obstruction

    Sen. Chuck Grassley

    It is undisputed that in his first year in office President Trump was able to confirm a significant number of judges to the federal bench. How it happened — and whether it's a good thing — are debated here by Sen. Chuck Grassley, R-Iowa, and Sen. Dianne Feinstein, D-Calif.

  • Rebuttal

    Reasoning About The Rule Of Reason

    Randy Gordon

    In his response to my Law360 article, William Kolasky notes “the relative dearth of rule of reason cases that have made it to summary judgment or beyond.” My only point is a consequentialist one: Since the 1970s, more and more cases have migrated from the per se category to the rule of reason category. As a result, plaintiffs (almost) always lose, says Randy Gordon of Crowe & Dunlevy.

  • A Potential Shift On Education Debt Discharge Standards

    Amir Shachmurove

    To its detractors, the so-called Brunner test, which is used to establish the dischargeability of student loan debts, stands out like a sore thumb. However, in an unexpected move, the U.S. Department of Education recently published a memo calling for comments that hinted it might be considering eliminating or modifying this standard, say attorneys with Troutman Sanders LLP.

  • Securitized Student Loans: The Next Crisis?

    Kevin O’Brien

    In light of the stress on the student loan market and the amount of money invested in securities backed by student loans, the likelihood of litigation regarding the marketing and securitizing of these assets is substantial. In addition, billions in defaulted student loans may be uncollectible, adding a further level of peril for investors, says Kevin O’Brien of Butler Rubin Saltarelli & Boyd LLP.

  • Rebuttal

    In Defense Of The Antitrust Rule Of Reason

    William Kolasky

    A Law360 guest article this week overlooked the great strides made by the appellate courts over the last four decades in developing a sound analytical framework for applying the rule of reason, says William Kolasky, co-chairman of Hughes Hubbard & Reed LLP's antitrust practice.

  • No-Action Action: Steps Toward A Better CFPB Policy

    Eric Mogilnicki

    Consumer Financial Protection Bureau Director Mick Mulvaney has signaled that enforcement will be a last resort, and that the bureau will instead seek to improve compliance with the law by making its requirements clear. Clearing pathways to new products and services by recalibrating the bureau’s "no-action letter" policy is one way the bureau can make good on that promise, say Eric Mogilnicki and Michael Nonaka of Covington & Burling LLP.

  • And The Award Goes To ... FINRA’s 2017 Restitution Program

    Brian Rubin

    We dissected the Financial Industry Regulatory Authority's 2017 disciplinary actions to see how it performed in different categories and found that rather than going for box-office gold, FINRA focused on a variety of “nuts and bolts” issues. However, FINRA did return a substantial amount of money to investors, say Brian Rubin and Adam Pollet of Eversheds Sutherland.

  • Is The Antitrust Rule Of Reason Reasonable?

    Randy Gordon

    Most of the commentary surrounding the U.S. Supreme Court American Express case has focused on the standards and analysis to be applied in so-called “two-sided market” cases. But those questions are merely symptoms of a greater malady — the “rule of reason” analysis that has come to govern most antitrust cases, says Randy Gordon of Crowe & Dunlevy.