A report issued last month by California's state auditor
has raised questions about whether conflict of interest laws were broken by two
of the state's largest issuers of municipal debt. The audit's findings, though
inconclusive, cast suspicion...
SAN FRANCISCO - (Mealey's) Citibank NA on Friday settled a class
action suit alleging that it wrongfully suspended or decreased the value of
home equity lines of credit (HELOC), according to a document filed by the
plaintiffs in a California federal...
NEW YORK - (Mealey's) A federal judge in New York on Aug.
29 granted preliminary approval of a $590 million settlement between
shareholders, Citigroup Inc. and certain of its current and former executive
officers and directors on claims that the...
A major strand in the narrative of the financial meltdown
was that the subprime mortgage-backed securities and the subprime
collateralized debt obligations sectors became unmoored from the market and
rating agency discipline that had characterized other...
by the Consumer Financial Services Group
In response to threats from local governments in
California and elsewhere to use eminent domain to acquire and restructure
underwater mortgages, the Federal Housing Finance Agency (FHFA) has announced
Keith R. Fisher
The Federal Reserve has extended the comment period on
its Basel III regulatory capital rulemaking from its original September 7
deadline until October 22, 2012. The rulemaking, which was the subject of a previous
Ballard Spahr legal...
ALEXANDRIA, Va. - (Mealey's) Capital One Financial Corp.
has agreed to pay $12 million to settle a suit brought by the U.S. Department
of Justice alleging that it violated credit protections granted to U.S.
military members by the Servicemembers...
by Daniel F.C. Crowley, Bruce J Heiman, Rebecca
H. Laird, Karishma Shah Page, Andres Gil and Collins R. Clark
On April 3, 2012, the Financial
Stability Oversight Council unanimously approved the release establishing final
rules and guidelines for how...
SAN FRANCISCO - (Mealey's) Chase Bank USA NA yesterday
agreed to pay $100 million to settle claims that it increased interest rates on
loan balances that were transferred to consumers' credit cards after it
allegedly promised them a fixed rate...
WASHINGTON, D.C. - (Mealey's) Capital One Financial Corp.
on July 18 reached a $210 million settlement with the Consumer Financial
Protection Bureau (CFPB) and the Office of the Comptroller of the Currency
(OCC) over its allegedly deceptive credit...
NEW YORK - (Mealey's) Bank of America Corp. and its
Countrywide Home Loans Inc. affiliate will pay $375 million to a financial
guarantee insurer to settle claims that Countrywide misrepresented the
standards used in underwriting mortgage loans...
by David Mishel, Nicholas
S. Hodge, Kay Gordon, Yusef Alexandrine, and Remsen M. Kinne IV
The JOBS Act contains number of
provisions that will directly impact private funds, their advisers, and
broker-dealers that participate in private fund offerings...
Hedge fund style "drift" is
said to occur when a hedge fund manager strays from their stated investment
strategy. The term used to be an esoteric one, used only by professional
hedge fund analysts. However, "drifting" is a problem...
WASHINGTON, D.C. - (Mealey's) In what the U.S. Department
of Justice is calling the second largest fair lending settlement in the
department's history, Wells Fargo Bank NA on July 12 agreed to pay more than
$175 million to settle claims in...
In a June 29, 2012 opinion ( here ), the Seventh Circuit, applying Illinois law, held that when the plaintiffs in a lawsuit include both persons who are insureds under the defendant company's D&O policy and persons are not insureds, the policy's...
The number of securities class action lawsuit filings came in slightly above historical averages during the first half of 2012, with filings against natural resources companies, life sciences companies, and foreign issuers leading the way. Filings related...
When plaintiffs first filed their securities class action lawsuit against IndyMac Bancorp back in March 2007, the suit was one of the first of what later became a wave of subprime and credit crisis-related securities class action lawsuits. The suit itself...
One of the perennial D&O insurance coverage questions is whether or not subsequent claims are "interrelated" with a prior claim and therefore deemed first made at the time of the prior claim. This question can be particularly critical when...
On this edition, Gerald Lins, General Counsel of a major investment management firm, and co-author of Regulation of Investment Companies, published by LexisNexis Matthew Bender, provides an overview of target date funds, how they operate and how target...
Recent changes to the
regulatory treatment of mortgage servicing rights ("MSR"s) for
financial institutions subject to Basel III, together with political and
prosecutorial pressures, have resulted in a substantial increase in incentives...
On February 8, 2012, the
Commodity Futures Trading Commission ("CFTC" or
"Commission") issued final regulations that repeal the commodity pool
operator ("CPO") registration exemption widely used by the operators...
PHOENIX - (Mealey's) The law firm Greenberg Traurig LLP
yesterday agreed to pay $61 million to settle a suit in the U.S. District Court
for the District of Arizona alleging that it aided an alleged Ponzi scheme that
bankrupted two companies and...