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Banking
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April 28, 2025
SEC Defends Witholding Info On Text Message Sweeps
The U.S. Securities and Exchange Commission pushed back Monday against the American Securities Association's bid for spreadsheets related to the regulator's enforcement sweep of so-called off-channel communications, telling a Florida federal judge that its spreadsheet withholdings under the Freedom of Information Act are fully legal.
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April 28, 2025
Wells Fargo Exits CFPB's Mortgage, Auto Loan Consent Order
Wells Fargo & Co. announced Monday it has exited a consent order it inked with the Consumer Financial Protection Bureau in a 2018 settlement that stemmed from allegations of improper practices in the bank's auto lending and mortgage divisions.
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April 28, 2025
Wells Fargo Investors Win Class Cert. In 'Sham' Hiring Case
A California federal judge has certified a class of thousands of Wells Fargo & Co. investors in litigation over the bank's alleged practice of conducting "sham" job interviews to meet diversity targets, a strategy investors say led to stock prices dropping when the truth came to light, according to an order issued Friday.
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April 28, 2025
NC Dentist Acquitted Of $3M Fraud, Tax Evasion Charges
A North Carolina dentist was acquitted of wire fraud and tax evasion charges on the fourth day of a federal jury trial in which prosecutors had alleged the dentist submitted false loan applications to the Small Business Administration and failed to pay income taxes.
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April 28, 2025
Feds Urged To Drop Crypto Mixer Charges After DOJ Memo
Federal prosecutors are weighing whether to continue pursuing a criminal case against two executives of crypto mixing service Samourai Wallet in light of a recent U.S. Department of Justice memo limiting certain digital asset prosecutions.
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April 28, 2025
TD Bank's $3 Paper Statement Fee Breaks NY Law, Suit Says
TD Bank faces a proposed customer class action alleging it violated New York state law with its practice of charging its customers $3 to mail them paper copies of their monthly billing statements.
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April 28, 2025
Wells Fargo Tells Judge Cash Sweep 'Conflict' Was Disclosed
Wells Fargo said it should be allowed to escape customers' proposed class action alleging the bank's cash sweep investment program disproportionately benefits the bank, arguing it disclosed in its signed agreements with customers the bank's intentions to secure financial gains for itself through the program.
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April 28, 2025
Trump Sued Over 'Unprecedented' NCUA Board Purge
The two Democratic credit union regulators whom President Donald Trump ousted earlier this month from the National Credit Union Administration sued Monday to be reinstated to the agency's board, challenging their terminations as "unprecedented" and unlawful.
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April 28, 2025
Wells Fargo Says Atty Is To Blame For SEC's EB-5 Fraud Suit
An immigration attorney claiming a Wells Fargo adviser led her astray has no one to blame but herself for being sued by the U.S. Securities and Exchange Commission for EB-5 investment fraud, the company told a Nevada federal court.
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April 28, 2025
'Shake & Bake': 4th Circ. Cites Ricky Bobby In NASCAR Ruling
The Fourth Circuit on Monday called back to the satirical cult classic "Talladega Nights: The Ballad of Ricky Bobby" in finding the former owners of a NASCAR team must cover the cost of a settlement involving a bank lien on their charter after they sold it to new owners.
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April 28, 2025
Ex-Deutsche Bank GC Is Coinbase's Next Compliance Chief
A former general counsel at Deutsche Bank AG, who most recently led the anti-financial crime unit, is joining Coinbase Global Inc. as chief compliance officer, he said in a LinkedIn post Monday, a move that comes as policymakers work to set rules of the road for cryptocurrency.
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April 25, 2025
Cadence Bank Customers Seek Final OK For $4.5M Fee Deal
Customers of Cadence Bank have asked an Arkansas federal judge to grant a final sign-off to a $4.5 million deal to end proposed class action claims over the bank's charging of a type of overdraft fee known as "authorize positive, settle negative" fees.
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April 25, 2025
OCC Slashes Fines In Deals With Ex-Wells Fargo Auditors
The Office of the Comptroller of the Currency has settled with two former Wells Fargo executives who were fighting seven-figure penalty orders for their alleged roles in the bank's fake accounts scandal, agreeing to accept greatly reduced fines totaling $150,000.
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April 25, 2025
CFPB Abandons $2.25M Student Loan Trust Deal, Drops Case
The Consumer Financial Protection Bureau on Friday voluntarily dismissed its long-running debt collection practices suit against the National Collegiate Student Loan Trusts, abandoning a $2.25 million proposed settlement that had been held up by objectors.
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April 25, 2025
FDIC Defends In-House Enforcement For Banking At 7th Circ.
The Federal Deposit Insurance Corp. has pushed back against a former Illinois community bank chairman's argument that the U.S. Supreme Court's recent Jarkesy decision prohibits the FDIC from using in-house proceedings to bring enforcement claims that seek civil penalties, saying that banking-related actions, like the one at issue, are "different" from what Jarkesy involved.
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April 25, 2025
SPAC Deals Are Buzzing Again Despite Tariff Turmoil
Amid heavy volatility that has largely frozen traditional initial public offerings, deal teams are launching more special purpose acquisition companies, an alternative market to typical IPOs that so far has shown few ill effects from tariff-related uncertainty.
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April 25, 2025
CFPB Plans Exit From Auto Finance Suit, Leaving It To NY
The Consumer Financial Protection Bureau has moved to withdraw from a predatory lending lawsuit it brought jointly with the state of New York against subprime auto lender Credit Acceptance Corp., marking another pullback in a series of enforcement retreats by the agency.
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April 25, 2025
NY Judge Axes Ford O'Brien Malpractice Suit
A former Ford O'Brien Landy LLP client who claimed the firm's "haphazard" representation lost him millions at arbitration has had his legal malpractice suit thrown out of New York state court, with a judge finding no evidence that the outcome would have changed had his counsel acted differently.
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April 25, 2025
Feds Push To Keep Trial Date For 'Compromised' Texas Rep
Prosecutors told a federal judge Friday that U.S. Rep. Henry Cuellar, D-Texas, and his wife have plenty of time to review discovery and get their attorneys security clearances before a September trial on bribery and corruption charges.
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April 25, 2025
Wells Fargo Looks To Upend $22M Disability Bias Loss
Wells Fargo is turning to the Fourth Circuit to challenge a $22.1 million verdict in an Americans with Disabilities Act case claiming the banking giant fired an investment director for requesting telework, according to a North Carolina federal court filing.
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April 25, 2025
Atkins Vows SEC Will Pursue 'Common-Sense' Crypto Policy
The U.S. Securities and Exchange Commission's new Chair Paul Atkins told crypto industry experts on Friday that the SEC will work to establish a "fit-for-purpose" framework for digital assets, while industry participants urged a principles-based approach to cover its rapid innovation.
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April 25, 2025
Nutter McClennen, Goodwin Steer $490M Mass. Banking Deal
Eastern Bankshares Inc. has agreed to acquire HarborOne Bancorp in a $490 million deal steered respectively by Nutter McClennen & Fish LLP and Goodwin Procter LLP, expanding Eastern's regional banking footprint across Massachusetts and into Rhode Island.
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April 24, 2025
Ex-Biscayne CEO Gets 10 Years For $130M Ponzi Scheme
The co-founder and CEO of defunct investment advisory firm Biscayne Capital on Thursday was sentenced in New York federal court to 10 years in prison, over his admitted role in a $130 million Ponzi scheme that defrauded banks and investors in a purported luxury real estate fund.
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April 24, 2025
Trump's Regulatory Thaw On Crypto Reaches Federal Reserve
The Federal Reserve on Thursday scrapped guidance that had instructed banks to consult with it before taking up cryptocurrencies, marking the latest step in a broader push to ease regulatory friction for digital assets under President Donald Trump's administration.
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April 24, 2025
FDIC's Hill Faces Dems' Questions Over DOGE Access, Job Cuts
U.S. Sen. Elizabeth Warren and other Democrats called Thursday for the Federal Deposit Insurance Corp. to provide details about the presence of Elon Musk's Department of Government Efficiency at the agency, citing concerns the regulator could be weakened as it looks to reduce its headcount by roughly 1,250 staffers.
Expert Analysis
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What Rodney Hood's OCC Stint Could Mean For Banking
Acting Comptroller of the Currency Rodney Hood's time at the helm of the OCC, while temporary, is likely to feature clarity for financial institutions navigating regulations, the development of fintech innovation, and clearer expectations for counsel advising on related matters, say attorneys at Vedder Price.
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Opinion
We Must Allow Judges To Use Their Independent Judgment
As two recent cases show, the ability of judges to access their independent judgment crucially enables courts to exercise the discretion needed to reach the right outcome based on the unique facts within the law, says John Siffert at Lankler Siffert & Wohl.
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4 Actions For Cos. As SEC Rebrands Cyber Enforcement Units
As the U.S. Securities and Exchange Commission signals its changing enforcement priorities by retooling a Biden-era crypto-asset and cybersecurity enforcement unit into a task force against artificial-intelligence-powered hacks and online investing fraud, financial institutions and technology companies should adapt by considering four key points, say attorneys at Troutman.
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4 Key Payments Trends For White Collar Attys
As the payments landscape continues to innovate and the new administration looks to expand the role of digital currency in the American economy, white collar practitioners should be aware of several key issues in this space, say attorneys at Jenner & Block.
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Series
Performing Stand-Up Comedy Makes Me A Better Lawyer
Whether I’m delivering a punchline on stage or a closing argument in court, balancing stand-up comedy performances and my legal career has demonstrated that the keys to success in both endeavors include reading the room, landing the right timing and making an impact, says attorney Rebecca Palmer.
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How 2025 Is Shaping The Future Of Bank Mergers So Far
Whether the long-anticipated great wave of consolidation in the U.S. banking industry will finally arrive in 2025 remains to be seen, but the conditions for bank mergers are more favorable now than they have been in years, say attorneys at Skadden.
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Series
Adapting To Private Practice: From SEC To BigLaw
As I adjusted to the multifaceted workflow of a BigLaw firm after leaving the U.S. Securities and Exchange Commission, working side by side with new colleagues on complex matters proved the fastest way to build a deep rapport and demonstrate my value, says Jennifer Lee at Jenner & Block.
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What's Old And New In The CFTC's Self-Reporting Advisory
Attorneys at Blank Rome analyze the U.S. Commodity Futures Trading Commission's recent advisory that aims to provide clarity on self-reporting violations of the Commodity Exchange Act, and review whether market participants should shift their thinking — or not — when it comes to cooperation with the CFTC.
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The Revival Of Badie Arbitration Suits In Consumer Finance
Plaintiffs have recently revived a California appellate court's almost 30-year-old decision in Badie v. Bank of America to challenge arbitration requirements under the Federal Arbitration Act, raising issues banks and credit unions in particular should address when amending arbitration provisions, say attorneys at Orrick.
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Making The Case For Rest In The Legal Profession
For too long, a culture of overwork has plagued the legal profession, but research shows that attorneys need rest to perform optimally and sustainably, so legal organizations and individuals must implement strategies that allow for restoration, says Marissa Alert at MDA Wellness, Carol Ross-Burnett at CRB Global, and Denise Robinson at The Still Center.
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During Financial Regulatory Uncertainty, Slow Down And Wait
Amid the upheaval at the Consumer Financial Protection Bureau and the slowdown in activity at the prudential agencies, banks must exercise patience before adopting strategic and tactical plans, as well as closely monitor legal and regulatory developments concerning all the federal financial regulators, say attorneys at Dorsey.
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4 Ways Women Attorneys Can Build A Legal Legacy
This Women’s History Month, women attorneys should consider what small, day-to-day actions they can take to help leave a lasting impact for future generations, even if it means mentoring one person or taking 10 minutes to make a plan, says Jackie Prester, a former shareholder at Baker Donelson.
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Why A Rare SEC Dismissal May Not Reflect A New Approach
While the U.S. Securities and Exchange Commission's pending dismissal of its case against Silver Point is remarkable to the extent that it reflects a novel repudiation of a decision made during the prior commission, a deeper look suggests it may not represent a shift in policy approach, say attorneys at Weil.
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Deficiency Trends In National Futures Association Exams
A recent notice from the National Futures Association outlining the most common deficiencies uncovered during exams gives member firms an opportunity to review prior guidance, particularly regarding the hot topic of implementing procedures governing the use of outsourced service providers, say attorneys at Akin.
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A Judge's Pointers For Adding Spice To Dry Legal Writing
U.S. District Judge Fred Biery shares a few key lessons about how to go against the grain of the legal writing tradition by adding color to bland judicial opinions, such as by telling a human story and injecting literary devices where possible.