Links in “Fines, Penalties, Suits, and Settlements”

The OCC hit Bank of America, Citibank, and JPMorgan Chase Bank with civil money penalties totaling in $950 million and cease and desist orders. The banks failed to prevent employee misconduct relating to foreign exchange sales and trading. Between 2008 and 2013, a number of the banks' traders went to online chat rooms to coordinate foreign exchange trading strategies in the attempt to benefit traders or the bank. [11/13/14]

NCUA has filed suit in federal court against Deutsche Bank National Trust Company claiming it failed to fulfill its duties as trustee for 121 residential mortgage-backed securities trusts. NCUA alleges that five corporate credit unions failed in part as a result of Deutsche Bank’s actions. [11/11/14]

The City of Providence, R.I., brought a lawsuit against Santander Bank for refusing to make loans in minority neighborhoods. $1.3 million in grants to support low- and moderate-income neighborhoods later, the city has agreed to drop the matter. [11/7/14]

The FDIC has released its September list of enforcement actions for banks and individuals. Twenty orders were issued, two of which were removal and prohibition orders. [10/31/14]

Bank of America's $16.7 billion settlement has stalled as SEC commissioners wage a behind-the-scenes battle over the details. Behind the wrangling appears to be the question of whether regulators have been too soft on Wall Street. [10/28/14]

Only two of the credit unions were repeat late filers and overall the number of late filers dropped by 30% from the first quarter.  Still, the majority of the late filers were small credit unions and NCUA is urging small credit unions to seek assistance from the Office of Small Credit Union Initiatives if they are having difficulty with timely submissions. [10/23/14]

The Department of Justice filed a lawsuit against Twin Oaks Mobile Home Park for refusing to rent or sell homes to families with children. Justice has been served. [10/20/14]

The case Perez v. Mortgage Bankers Association involves the issue of whether loan officers must be paid overtime. Thomas Perez is the Secretary of Labor and his agency’s opinion letter stated that mortgage loan officers are non-exempt employees under their interpretation of the Fair Labor Standards Act. The Mortgage Bankers Association sued, claiming this change in interpretation required a notice and comment period before it could become effective. [10/15/14]

Observant employees at Erie Community Credit Union in Erie, PA, spotted what they believed to be phony auto loans paid to a shell company. Law enforcement is now crediting these employees with helping to bring down a nationwide scam that caused losses to 21 financial institutions, including Navy Federal Credit Union. [10/14/14]

How are your after-employment IT access procedures? After one federal IT contractor was terminated, the Virginia man continued to use his credentials to crash a Fannie Mae website. He's been sentenced to three years of supervised release, 50 hours of community service and to pay $70K in restitution. [10/13/14]