Policy & Regulation

Governor Andrew Cuomo and Attorney General Eric Schneiderman agreed to split the first $163 million of New York's $613 million share of a settlement with JPMorgan Chase (JPM) over mortgage bond sales, according to their offices.

Regulators should create a risk management quality rating that may be used in examinations and deposit insurance pricing. Banks should build capabilities that comprehensively assess the quality of their risk management processes tied to strategic business goals.

On Friday the Office of the Comptroller of the Currency closed the $61.7 million-asset DuPage National Bank in West Chicago, Ill. Its failure is expected to cost the Deposit Insurance Fund $1.6 million.

The Office of the Comptroller of the Currency took action against bank technology providers BSERV and Fundtech in December, ordering the companies to ensure that their services effectively monitor risk.

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The Buffalo, N.Y., company still has some goodwill from analysts based on its reputation as a skilled bank buyer, but it has become the poster child for the risks associated with M&A in a tough regulatory environment.

Judges for an appeals court appeared sympathetic Friday to the Federal Reserve Board's defense of its rule capping interchange fees on debit cards, fueling hopes by bankers that the agency will beat back a legal challenge.

A recap of the informed opinions (and the discussions they generated) this week on BankThink.

Webster Financial (WBS) in Waterbury, Conn., reported lower fourth-quarter profit after taking a big charge tied to the Volcker Rule.

In his last speech as Federal Reserve Board chairman, Ben Bernanke said the central bank's steps to support wholesale funding markets were "as important, if not more important" than other actions taken during the crisis.