2 Consumer Groups Hit Conn. Bank With Redlining Suit

Law360 (October 5, 2018, 5:12 PM EDT) -- Connecticut-based Liberty Bank violated federal housing law by systematically discriminating against African American and Latino residential mortgage applicants by denying them credit at much higher rates than white applicants, according to a complaint filed by two consumer groups Thursday in federal court.

The Connecticut Fair Housing Center and National Consumer Law Center alleged that the bank used redlining to restrict mortgage lending to communities of color, particularly in greater Hartford and New Haven, from 2010 to 2016. The groups said their allegations that the bank violated the Fair Housing Act were based on public data released in September 2017.

“Among the...

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