Regulation and compliance
Labor costs constitute a major piece of banks' spending on preventing financial crimes despite technological advancements, and costs are leveling off despite new legislation. Here's why.
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Sterling Bancorp is suing its founder and former CEO, Scott Seligman, to get him to repay dividends it alleges are tied to his influence over its problematic Advantage Loan program. The lawsuit claims Seligman was so controlling he even used a robot — nicknamed the "Scott Bot" — to surveil employees.
October 12 -
The Federal Reserve's monetary policy objectives are on a collision course with the post-2008 capital and liquidity framework, and it's time for regulators to decide what those reforms were for.
October 11
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Yvette Hollingsworth Clark, once the chief compliance officer at Wells Fargo, has taken on a similar role at the Boston-based custody bank.
October 11 -
Investment banks were ordered to pay $1.8 billion in fines last week for employees' unmonitored communications on messaging apps like WhatsApp. Experts say other banks could also be subject to such fines if they're not careful.
October 4 -
Four of the seven large banks that own Zelle's parent company, Early Warning Services, said they are reimbursing 15% to 55% of consumers that report fraud on their accounts, according to a report released by Sen. Elizabeth Warren, D-Mass.
October 3 -
Acting Chairman of the Federal Deposit Insurance Corp. Martin Gruenberg said regulators won't tell banks who to lend to, but the government won't be there if their investments go bad.
October 3 -
When local prosecutors in Los Angeles investigated fake accounts at the San Francisco bank, they were hampered by a provision of state law that prevented them from issuing subpoenas before filing suit. That problem has been remedied under legislation signed by Gov. Gavin Newsom.
September 30 -
The SEC and other regulatory agencies have raised the environmental, social and governance ante. Financial institutions will need to find a way to chip in before the stakes are raised even higher.
September 30 -
The report, which examined trends between 2010 and 2021, found that the country's biggest banks only opened 638 branches in low-to-moderate-income communities made up primarily of people of color. That accounts for just 15% of their total branch openings.
September 29
