Bankruptcy Blogs

Morning Scan: OCC Asks About Incentives; Wells CEO Apologizes

10/26/16

Receiving Wide Coverage ...

OCC seeks data: The Office of the Comptroller of the Currency has sent formal letters to large and regional banks it regulates seeking information about their sales practices and incentive-compensation plans following the Wells Fargo scandal. JPMorgan Chase, Bank of America, Citigroup and Santander USA were among the banks getting letters. Comptroller Thomas Curry told the Senate Banking Committee last month the regulator will "review the sales practices of all the large...

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Measure U.S. Banks' Credit Exposure to Deutsche Now

10/25/16

Neither bank regulators nor banks' risk managers can afford to wait until rating agencies downgrade Deutsche before understanding the level of exposure they have to the German bank giant.

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Morning Scan: MetLife's 'SIFI' Case; Wells Takes Case to TV

10/25/16

Receiving Wide Coverage ...

Court hears SIFI appeal: The U.S. Court of Appeals for the District of Columbia heard arguments from the federal government on Monday that MetLife is a "systemically important financial institution" and requires stricter regulation. The Financial Stability Oversight Council voted in December 2014 that the insurance company was a "SIFI" but was overruled by a U.S. district court judge earlier this year. The FSOC is now appealing that decision. "Beyond issues related...

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Judge Carey Holds that Severance Claim is a Priority Claim

10/24/16

In an 8 page decision dated October 19, 2016, Judge Carey of the Delaware Bankruptcy Court overruled an objection to the reclassification of the claim of a terminated employee.  Judge Carey’s opinion is available here (the “Opinion”).  This employee (“Mangan”) was a fifteen year veteran of the Debtor, and was entitled to 15 weeks of severance pay upon termination.  That is not in dispute.

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Sanjel (USA) Inc. – Chapter 15 Creditors May Challenge Reach of Stay in Recognition Order

10/24/16

A recent decision by the United States Bankruptcy Court for the Western District of Texas in In re Sanjel (USA) Inc., et al., Case No. 16-50778-CAG (Bankr. W.D. Tex. July 29, 2016) explains that in a Chapter 15 case, the U.S. bankruptcy court will not always apply the law of the foreign jurisdiction to U.S.

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Seven Features Your Bank's Mobile App Needs to Succeed

10/24/16

To land and retain millennial customers, mobile banking apps must graduate from simply replicating online banking on a phone to leveraging the native functionality of mobile hardware.

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Morning Scan: TD Ameritrade Buying Scottrade; Visa and Blockchain

10/24/16

Breaking News This Morning ...

Discount brokers to merge: TD Ameritrade is buying rival Scottrade for $4 billion. The combined company will have $944 billion in client assets and execute 600,000 client trades a day. TD says the merger will enable the two companies to cut costs by $450 million a year. Wall Street Journal, Financial Times Wall Street Journal ...

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Ban Data Access, Limit Bank Innovation

10/21/16

We are still in the early days of digital finance Â-- but the heated tone of conversations surrounding approaches to data access threatens to keep us there.

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'We're Not Wells Fargo' Won't Cut It with Regulators

10/21/16

Even if the cross-selling scandal is unique to Wells Fargo, banks nationwide will need to prepare for added regulatory scrutiny. Here's how.

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Morning Scan: Bank Penalties Weigh on Global Growth

10/21/16

Receiving Wide Coverage ...

More pressure on Wells: Two Democrat senators, Elizabeth Warren of Massachusetts and Robert Menendez of New Jersey, asked Wells Fargo's chairman if the board had sufficiently questioned Timothy Sloan about his knowledge of the bank's phony accounts scandal before appointing him chief executive officer. "It is difficult to believe that he had no knowledge of or bears no responsibility for the actions of thousands of Wells Fargo employees creating fake accounts," the...

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