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A former employee at an Ohio branch of U.S. Bancorp (USB) pleaded guilty Friday to charges that he accepted $24,000 in kickbacks from debt collectors in exchange for giving them business.
November 25 -
Federal prosecutors have charged Wilbur Tate, now of Dacula, Ga., with conspiracy to commit bank bribery, the Special Inspector General for the Troubled Asset Relief Program said Wednesday.
February 28 -
Three former executives of a defunct debt-collection firm have pleaded guilty to charges they lied to a bank that received funds from the Troubled Asset Relief Program.
December 20 -
JPMorgan Chase (JPM) has sued the Federal Deposit Insurance Corp. over Washington Mutual's legal liabilities, the Wall Street Journal reported Tuesday.
December 17 -
JPMorgan Chase's acquisitions of Bear Stearns and Washington Mutual during the meltdown were once seen as bargains and more recently second-guessed in light of the bank's $13 billion mortgage settlement. The pain will pay off in the long run, experts say.
October 23
Editor's note: An earlier version of this story mistakenly said that WaMu received Troubled Asset Relief Program funds.
A former Washington Mutual executive pleaded guilty in federal court in Bridgeport, Conn., Monday to accepting an illegal kickback.
Michael Gesimondo of Washington Mutual Bank received kickbacks from Oxford Collection Agency as a reward for providing Oxford with WaMu's debt-collection business between May 2008 and May 2009,
The kickbacks occurred while Gesimondo was employed as collection manager of business banking at WaMu, the release said. Gesimondo, 57, of Farmingdale, N.Y., was in charge of outsourcing collection accounts to collection agencies. The release also stated that Gesimondo often received a percentage of the collected-debt amount.
Gesimondo pleaded guilty to one count of conspiracy to accept money as a reward in connection with a business transaction of a bank, the release said. U.S. District Judge Stefan R. Underhill scheduled sentencing for April 4. Gesimondo faces a maximum sentence of imprisonment for five years.
Oxford Collection Agency was a private financial services company with offices in New York, Pennsylvania and Florida. From 2007 to 2011 its executives took part in a scheme to defraud its lender, investors and clients, the press release said, citing court documents and statements made in court. The investigation also revealed that Oxford was "actively involved in bribing" banking officials, the release said.
Seven other individuals have been convicted as a result prosecution of
