by Edmund D. Harllee Section 627 of the Dodd-Frank Wall Street Reform and Consumer Protection Act repeals the prohibition against the payment of interest on demand deposits, effective July 21, 2011. On Thursday, July 14, 2011, the Federal Deposit... Read More
Whether the process is just winding down for the year or the process is actually winding down for good, the bank closure rate has recently fallen off dramatically. The FDIC has not taken over any banks for three weeks straight, with no bank closure... Read More
As recently as this past Monday, commentators were grumbling that the FDIC is moving too slowly in pursue claims against former directors and officers of failed banks. The FDIC has responded in dramatic fashion with a March 16, 2011 lawsuit filing... Read More
The commercial banking industry is continuing its rebound from the subprime meltdown and the global financial crisis. According to the FDIC’s latest Quarterly Banking Profile for the period ending December 31, 2014 ( here ), the industry’s... Read More
Living Wills: FDIC Approves Final Rules By Dwight C. Smith, Alexandra Steinberg Barrage, and Jeremy Mandell On Tuesday morning, the Federal Deposit Insurance Corporation ("FDIC") Board unanimously approved two rules regarding resolution... Read More
Every year there are new or enhanced compliance requirements for processing payments. The biggest challenge is knowing when you have satisfied all of the appropriate requirements for all of the regulations. In addition to complying with the NACHA Operating... Read More
One of the most contentious issues in the litigation the FDIC has been pursuing in its capacity as receiver of various failed banks is whether the defendant former directors and officers can assert affirmative defenses against the FDIC for the agency’s... Read More
A federal court has denied the motion of the accountants of the failed Colonial Bank’s holding company to dismiss the claims the FDIC, in its capacity as the failed bank’s receiver, had filed against them. As discussed here , the FDIC’s... Read More
Even as the number of bank failures now appears to be winding down, the FDIC's failed bank litigation filings seem to just be ramping up. With now 21 lawsuits filed as part of the current wave of bank failures, it may be possible to try to make... Read More
As detailed in the accompanying blog post , all signs are that the FDIC will be filing increasing numbers of civil actions against former officials of banks that have been closed as part of the current round of bank failures. With this possibility in... Read More
On July 14, 2011, the FDIC filed a lawsuit in the Northern District of Georgia against 15 former directors and officers of Haven Trust Bank of Duluth, Georgia. This suit is the ninth the FDIC has filed as part of the current bank failure wave and the... Read More
WASHINGTON, D.C. — (Mealey’s) The U.S. Supreme Court on Oct. 7 refused to hear an appeal of a case in which the District of Columbia Circuit U.S. Court of Appeals affirmed a federal court’s dismissal as time-barred of a borrower’s... Read More
According to FDIC's Quarterly Banking Profile, released on May 24, 2011 (refer here ), the pace of bank failures slowed during the first quarter. However, both the absolute and relative number of problem institutions continued to increase, albeit... Read More
Turns out that while some of us were wondering when the lawsuits arising out of the current bank wave would really start to accumulate, the FDIC itself was busy filing lawsuits -- they just didn't tell anybody about it, at least not until now.... Read More
The lead article in the November 17, 2010 Wall Street Journal reported that the FDIC is conducting 50 criminal investigations of directors, officers and employees of failed banks. Given that (as of November 19, 2010) 314 banks have failed since January... Read More