Policy & Regulation

California Attorney General Kamala D. Harris pulled out Friday of state and U.S. efforts to negotiate an end to the government's investigation of alleged foreclosure abuses, calling the proposed settlement "inadequate for California homeowners."

A Virginia mortgage lender has agreed to pay $140,000 in compensation and revise its pricing policies to settle a lawsuit alleging that it discriminated against minority borrowers, the Justice Department said Friday.

The HUD inspector general wants the Federal Housing Administration to ban corporate officers from the FHA program if they have left a company that has not met its obligations to indemnify the government for delinquent loans.

Last week, the Basel Committee on Banking Supervision announced plans to oversee how each country implements the new capital standards. But such a step may signal problems before the final rules are even adopted.

The Federal Reserve Board's controversial decision to rejigger its securities portfolio was right given the economy's weak outlook and the likely slowdown in consumer price inflation in 2012, a senior economist at the Federal Reserve Bank of Cleveland says.

The Senate Banking Committee is expected to vote next week on the nomination of Richard Corday to be the first director of the Consumer Financial Protection Bureau.

Securities and Exchange Commission inspectors said a large credit rating firm "appeared to allow" for a pending rating decision to be disclosed to certain people before the action was publicly announced.

Once slated for liquidation, Corus Bankshares Inc. received court approval for its bankruptcy exit plan that calls for the former Illinois bank holding company to emerge as a real estate investment firm.

Codorus Valley Bancorp in York, Pa., repurchased a warrant to buy more than 260,000 it issued to the Treasury Department in 2009 as part of its participation in the Trouble Asset Relief Program.

Bond investors are turning against Ally Financial Inc., the auto and home lender majority-owned by the U.S. government, as mounting mortgage liabilities threaten its turnaround plan.