Links in “Fines, Penalties, Suits, and Settlements”
- Squeeze Play: Despite Dubious Data, Banks Inclined to Settle Racial Discrimination Claims
Even though the reports rely on comparisons such as a $669,000 foreclosed house in a white neighborhood to one listed for $35,000 in a minority community, banks are eager to settle untested racial discrimination charges surrounding the upkeep of foreclosed homes, such as the $42 million deal HUD worked out between Wells Fargo and the National Fair Housing Alliance. [12/4]
- BofA’s Freddie Mac Price Tag Tops $400 Million
Settlement covers 716,000 loans over nine years. [12/2]
- Key Reason for First Loss in Four Years for FDIC Institutions? Litigation Expenses
A $4 billion increase in litigation expenses at one institution cited as being "mainly attributable" for the first annual loss by FDIC institutions in more than four years. [11/27]
- U.S. Seeks to Add Wells Fargo Exec to Mortgage Fraud Lawsuit
Attorneys for U.S. seek to add Wells Fargo's VP in charge of quality control to its mortgage fraud lawsuit. [11/25]
- NCUA Files Additional Suit in St. Paul Croatian FCU Collapse
NCUA files lawsuit seeking a $6.9 million judgment against two more individuals involved in embezzling funds from St. Paul Croatian FCU. The defendant and his wife allegedly set up six businesses in order to obtain fraudulent loans from the credit union. The defendant also paid $20,000 in kickbacks to the former CEO, who is now serving a 14-year sentence in a federal prison. [11/22]
- Credit Union Looted Before Managerâs Suicide
NCUA has filed a civil complaint against the estate of John Dupree, Jr., the former manager of the $2.4 million Shiloh of Alexandra FCU, and his former fiancé. The complaint alleges that the pair embezzled about $10 million dollars from the small credit union to pay for âsinful thingsâ as stated in Mr. DuPreeâs suicide note. [11/21]
- What That Record $13B Fine Means for Other Financial Institutions
Other banks are "holding their breath" to see what the record $13 billion penalty against JPMorgan means to them. [11/21]
- Regions’ “Ready Advance” Product Raises Ire
Group plans protests against Regions Financial's "Ready Advance" product, which charges $1 cash advance for each $10 advanced to customers. [11/21]
- Pay That! CFPB’s 1st Fine Against Payday Lender
CFPB takes enforcement action against Cash America International, Inc., a payday lender for robo-signing court documents in debt collection lawsuits. Total impact $19 million including $14 million in refunds to consumers $5 million to CFPB for destroying records. [11/21]
- JPMC Settles with Regulators to the Tune of $13 Large
The $13 billion total settlement over faulty mortgage-backed securities nets NCUA $1.4 billion and FDIC $515 million and others tidy sums. Litigation remains pending against many others. [11/20]
