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Banking
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August 14, 2025
NY Man Owes PNC $27.3M After Kiting Spree, Bank Claims
PNC Bank has sued a New York man and his eight companies, alleging they owe the bank $27.3 million after executing a massive check-kiting scheme against the bank over a recent 12-day period.
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August 14, 2025
Wyden, Warren Ask Lutnick's Son About Firm's Tariff Bets
Senate Democratic ranking members sent a letter published Thursday to Cantor Fitzgerald & Co. CEO Brandon Lutnick raising concerns about potential insider trading and conflicts of interest associated with a financial product hedging the legality of tariffs that his father, Commerce Secretary Howard Lutnick, has been involved in.
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August 14, 2025
Ex-Payday Lender CEO Gets 7 Years For $66M Ponzi Scheme
The former CEO of a Miami payday loan company was sentenced Thursday to more than seven years in prison for operating a Ponzi scheme that prosecutors say fraudulently raised $66 million from more than 600 investors.
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August 14, 2025
Citibank Gets Partial Win In $15M Brooklyn Foreclosure Suit
A New York federal judge partially sided with Citibank on Thursday in the bank's Brooklyn property foreclosure suit against a loan guarantor and a company that defaulted on a $15 million mortgage loan.
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August 14, 2025
Bob's Discount Furniture Could Go Public, And Other Rumors
Bob's Discount Furniture may boast about its "Oh My Bob" low prices in TV ads, but the retailer's quirky marketing and expanding e-commerce have helped boost sales to roughly $2 billion last year — a performance that a Wall Street Journal report said could support a $1 billion IPO.
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August 14, 2025
US Targets Russia-Linked Crypto Exchanges Over Illicit Flows
The Trump administration on Thursday renewed sanctions on Russian cryptocurrency exchange Garantex and moved against its successor, Grinex, accusing the platforms of helping launder illicit transactions and shifting business to dodge earlier penalties.
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August 14, 2025
Conn. Credit Union Hit With Suit Over Data Breach
A North Haven, Connecticut-based credit union is facing a proposed class action over allegations that it failed to properly safeguard customers' personal information in a June data breach and violated state law by delaying notification to victims.
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August 14, 2025
Feds Urge Court Not To Toss Rep. Cuellar's Bribery Case
Allowing U.S. Rep. Henry Cuellar, D-Texas, to escape bribery charges under the Constitution's speech and debate clause would "eviscerate" several precedents set under the provision, prosecutors told a federal judge on Thursday.
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August 14, 2025
Purported Cartier Family Scion Denies Laundering Charges
An Argentinian entrepreneur and professional singer with ties to the family that created jewelry giant Cartier on Thursday denied charges that he helped operate a Colombia cryptocurrency money-laundering network that assisted traffickers in their effort to repatriate $14 million of narcotics proceeds.
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August 14, 2025
Judicial Panel Consolidates SAP Patent Suits In Del.
The U.S. Judicial Panel on Multidistrict Litigation has consolidated four patent infringement cases filed by software firm SAP SE against subsidiaries of Canadian financial services company TMX Group in the District of Delaware, saying this forum will be convenient for the parties and witnesses.
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August 13, 2025
FINRA Fines Wells Fargo Over Muni Securities Biz Compliance
Wells Fargo will pay $275,000 to end Financial Industry Regulatory Authority claims that the bank for years lacked a supervisory system designed to ensure that its investment services for municipal entity customers did not require it to register as a municipal adviser.
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August 13, 2025
Texas Business Court Calls Dibs On $72M Apartment Row
A Texas Business Court judge ruled that he has jurisdiction over fraud claims brought by an investor in a $72 million apartment project in Dallas' Deep Ellum neighborhood, saying in a published opinion the investor can't remove the claims to a state district court.
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August 13, 2025
Trump's 'Debanking' Push May Run Up Against Biden-Era Wall
President Donald Trump wants federal regulators to punish banks that they find have unfairly closed accounts belonging to conservatives, but those plans could collide with a court decision that his administration chose to stop fighting earlier this year.
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August 13, 2025
Bank Of America Can't Escape 401(k) Forfeiture Suit
A North Carolina federal judge refused to toss a proposed class action against Bank of America alleging the bank misspent 401(k) plan forfeitures, finding allegations that the bank's decision to reduce obligations to other employees' accounts instead of defraying plan expenses had stated a claim for violating federal benefits law.
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August 13, 2025
BakerHostetler Hires Cooley Securities Litigation Atty
BakerHostetler has added an experienced litigator to its white collar, investigations and securities enforcement litigation and securities and governance litigation teams in New York, bringing with him more than 25 years of BigLaw experience, including most recently with Cooley LLP.
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August 13, 2025
Pa. Attorney Sues To Thaw $1.5M In Frozen Crypto Assets
A Pittsburgh-area attorney says his cryptocurrency assets worth more than $1.5 million across three platforms were improperly frozen, and he asked a Pennsylvania state court to order his accounts unfrozen.
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August 13, 2025
NY AG Says Zelle Parent Enabled $1B In Customer Losses
New York Attorney General Letitia James on Wednesday sued the big bank-controlled parent company of popular electronic payments platform Zelle, alleging in state court that lax security measures allowed scammers to make off with over $1 billion of user funds.
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August 13, 2025
Mass. Loan Biz Morphed Into $7.6M Ponzi Scheme, State Says
A Massachusetts woman turned her family's small auto financing business into a $7.6 million Ponzi scheme, the state's Securities Division alleged in a complaint.
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August 12, 2025
Goldman Sachs Objector's $517K Fee Bid Slashed To $50K
A Delaware vice chancellor has slashed an objector's counsel fee and expense request from $517,000 to $50,000 as part of a settlement in a derivative suit against Goldman Sachs directors, and awarded the plaintiffs their sought-after $612,500 in fees.
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August 12, 2025
Bank Groups Call For Closing Stablecoin Law's 'Loopholes'
The American Bankers Association and more than 50 state counterparts on Tuesday urged Senate lawmakers to close several "loopholes" in a recently enacted federal law to regulate stablecoins with recommended additions to a separate proposal to regulate crypto markets.
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August 12, 2025
Terraform Founder Cops To $40B Crypto Fraud Scheme
The founder and former CEO of Terraform Labs on Tuesday admitted to perpetrating a multibillion-dollar fraud by deceiving investors about its decentralized finance-based ecosystem of crypto products, a scheme that wiped out $40 billion in market value when it collapsed.
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August 12, 2025
NJ Judge Trims Ex-Bank Regulator's Discrimination Suit
A New Jersey state judge has trimmed a discrimination and retaliation suit brought by a former acting director at the state's Department of Banking and Insurance, tossing her unequal pay and hostile work environment claims, but allowing her retaliation and failure to promote claims to proceed.
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August 12, 2025
Truist Wants Out Of Law Firm's $94K Wire Scam Suit
Truist Financial Corp. has asked a Delaware federal judge to dismiss a law firm's suit over a botched real estate wire transfer, arguing in a dismissal motion that the firm named the wrong entity in its complaint, but that even if the correct Truist had been named, the claims must fail as a matter of law.
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August 12, 2025
Uber's Tip Led FBI To $5M 'Grandparent Scam' Ring, Feds Say
A suspicious pattern of Uber trips to banks by older people led the company to contact the FBI, uncovering a multinational "grandparent scam" operation that stole $5 million from at least 400 people, Massachusetts federal prosecutors said Tuesday.
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August 11, 2025
5th Circ. Backs Mexican Banks' Subpoena For Fraud Case
The Fifth Circuit on Monday refused to revive a Mexican businessman's motion to quash a subpoena stemming from major Mexican financial institutions' efforts to obtain discovery as they pursue claims that the businessman absconded with $32 million in loans, saying it detected "no error" in a lower court's denial.
Expert Analysis
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Ch. 7 Ruling Is Warning For Merchant Cash Advance Providers
A New York bankruptcy court’s recent ruling in favor of a Chapter 7 trustee for the bankruptcy estate of JPR Mechanical shows merchant cash advance providers why superficial agreement labels will not shield against preference liability, and serves as a guidepost for future contract drafting, say attorneys at Eversheds Sutherland.
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GENIUS Act Creates 'Commodity' Uncertainty For Stablecoins
Half a century ago, Congress made trading in onion futures on commodity exchanges unlawful, and payment stablecoins could soon face a similarly unstable fate in the markets as the GENIUS Act heads to the president's desk for signature, says Peter Malyshev at Cadwalader.
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Cos. Face Convergence Of Anti-Terrorism Act, FCPA Risks
Recent moves by the U.S. Department of Justice to classify cartels and transnational criminal organizations as terrorist groups, and to use a range of statutes including the Foreign Corrupt Practices Act to pursue these types of targets, mean that companies operating in certain jurisdictions are now subject to overlapping exposure, say attorneys at Miller & Chevalier.
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Feds' Shift On Reputational Risk Raises Questions For Banks
While banking regulators' recent retreat from reputational risk narrows the scope of federal oversight in some respects, it also raises practical questions about consistency, reputational management and the evolving political landscape surrounding financial services, say attorneys at Smith Anderson.
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Series
Playing Mah-Jongg Makes Me A Better Mediator
Mah-jongg rewards patience, pattern recognition, adaptability and keen observation, all skills that are invaluable to my role as a mediator, and to all mediating parties, says Marina Corodemus.
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Business Court Bill Furthers Texas' Pro-Corporate Strategy
The Texas Legislature's recent bill to enhance corporate protections and expand access to the Texas Business Court by refining its jurisdictional standards is just the latest step in the state's playbook for becoming the new center of corporate America, say attorneys at Katten.
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2 NY Cases May Clarify Foreclosure Law Retroactivity
Two pending cases may soon provide the long-awaited resolution to the question of whether retroactive application of the New York Foreclosure Abuse Prevention Act violates the state Constitution, providing a guide for New York courts inundated with motions in foreclosure and quiet title actions, says Fernando Rivera Maissonet at Hinshaw & Culbertson.
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Series
Law School's Missed Lessons: Navigating Client Trauma
Law schools don't train students to handle repeated exposure to clients' traumatic experiences, but for litigators practicing in areas like civil rights and personal injury, success depends on the ability to view cases clinically and to recognize when you may need to seek help, says Katie Bennett at Robins Kaplan.
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What To Expect As UK, US Gov'ts Develop Stablecoin Policies
While the U.K. and U.S. governments’ policies both suggest that fiat-backed stablecoins can improve efficiency and safety in payments systems, a perception that crypto-assets remain high risk means consumers are unlikely to use them in significant volume anytime soon, say lawyers at Cadwalader.
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Series
Texas Banking Brief: All The Notable Legal Updates In Q2
In the second quarter of 2025, the Texas Business Court's newly expanded jurisdiction set the stage for rising caseloads, while the state Legislature narrowed an exception to state bank control requirements and closed a cryptocurrency dividends payments loophole, say attorneys at Mayer Brown.
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Yacht Broker Case Highlights Industry Groups' Antitrust Risk
The Eleventh Circuit recently revived class claims against the International Yacht Brokers Association, signaling that commission-driven industries beyond real estate are vulnerable to antitrust challenges after the National Association of Realtors settled similar allegations last year, says Miles Santiago at the Southern University Law Center and Alex Hebert at Southern Compass.
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Opinion
4 Former Justices Would Likely Frown On Litigation Funding
As courts increasingly confront cases involving hidden litigation finance contracts, the jurisprudence of four former U.S. Supreme Court justices establishes a constitutional framework that risks erosion by undisclosed financial interests, says Roland Eisenhuth at the American Property Casualty Insurance Association.
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Congress Crypto Movement Could Bring CFTC 'Clarity' At Last
The Clarity Act's arrival at the House floor during "Crypto Week" in Congress demonstrates enduring bipartisan support for legislation addressing digital assets and the Commodity Futures Trading Commission's important role in a future regulatory structure, say attorneys at DLA Piper.
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Stablecoin Bills Present Opportunities, Challenges For Banks
Stablecoin legislation that Congress is expected to adopt in the coming weeks — the GENIUS and STABLE Acts — would create openings for banks to engage in digital asset activities, but it also creates a platform for certain tech-savvy nonbanks to directly compete, say attorneys at Arnold & Porter.
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How Attys Can Use AI To Surface Narratives In E-Discovery
E-discovery has reached a turning point where document review is no longer just about procedural tasks like identifying relevance and redacting privilege — rather, generative artificial intelligence tools now allow attorneys to draw connections, extract meaning and tell a coherent story, says Rose Jones at Hilgers Graben.