DEARBORN, Mich. - (06/27/06) DFCU Financial asked a federalcourt Monday that a lawsuit filed last month against the $1.8billion credit union and two board members be dismissed on thegrounds that it lacks any evidence for federal cause of action. Indocuments filed with the U.S. District Court, Eastern District ofMichigan Southern Division, the credit unions lawyers statedthat any court action in favor of the members request for apreliminary injunction requiring a special meeting for the purposeof recalling nine board members would be illegal,unsafe and unsound. Longtime members Richard Sly andRaymond Ward filed a lawsuit on May 24 against DFCU Financial andboard members, alleging personal damages as a result of the creditunions alleged breach of bylaws to defend their failedconversion to bank, misuse of credit union funds and employees andfailure to provide members access to records related to theproposed conversion attempt. The credit union also stated that themembers suit failed to show that they would suffer anyimmediate, irreparable harm should their motion for a preliminaryinjunction be denied. The credit unions attorneys blame theinfluence of outsiders, namely a recentlyformed non-profit, National Center for Member Trust, for theconflict.DFCU unfortunately has become a pawn in a largerbattle being waged throughout the country and in Congress: How easy(or difficult) should it be for credit unions to convert to otherdepository institution charters?
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Liberty Bank in Salt Lake City had been "structurally unprofitable" since 2008, according to its regulators. Experts criticized the FDIC for allowing the bank's demise to play out in slow motion.
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The New York-based bank says it will push its concentration of commercial real estate loans below 400% of risk-based capital over the next two years and focus more on C&I.
April 25 -
The San Francisco-based firm's Anchorage Digital Trusted Liquidity and Settlement network, better known as Atlas, will allow clients to settle a range of cryptocurrency transactions.
April 25 -
Consumer spending slowed and charge-offs rose during the first quarter, but Bread Financial said a pending late-fee rule may not be as devastating to its revenue as the Columbus, Ohio-based firm initially feared.
April 25 -
Artificial intelligence models are energy hogs. Climate First Bank and UBS are among the very few trying to solve this problem.
April 25 -
The FDIC board debated and ultimately withdrew two separate proposals to address asset managers' control over banks, but acting Comptroller of the Currency Michael Hsu said he couldn't support either and called for more research and debate about how asset managers' control over banks impacts safety and soundness.
April 25