Litigation

Banking and fintech trade groups have filed suit against the State of Oregon over a new lending law that they say unlawfully restricts interest-rate exportation by out-of-state state banks and threatens access to credit.

Federal prosecutors arrested and charged Mahender Makhijani, 44, with orchestrating a $100 million bank fraud against Western Alliance Bancorp.

A federal judge let fraud claims against Meta proceed, finding its AI ad tools may have helped build ads that impersonated a Bank of America executive.

Within hours of a judge's approval of an interchange settlement, merchant lobbyists were crying foul over the latest attempt to end a two decade legal fight, making references to "next steps," while analysts predicted an appeal.

The suit tests an unusual theory: that a borrower's lawyer crossed from representing a client into joining a $145 million fraud.

A federal judge blocked Illinois from enforcing its interchange fee ban for taxes and tips against national banks and card networks after the Office of the Comptroller of the Currency's recent intervention materially altered the court's preemption analysis.

Lawmakers early on Monday voted to push the effective date of the law, which would ban interchange fees on the tax and tip portions of transactions, to July 1, 2027, marking the second delay as merchants and banks continue to battle in court. 

The National Credit Union Administration Tuesday submitted a rule to the Office of Management and Budget stating that federal law preempts state laws on interchange, blocking an Illinois statute banning the collection of swipe fees on taxes and tips.

Columbia caught the attacker still inside its systems on Dec. 19, three days before the access window closed, then took four months to notify customers.

Banking groups that sued the state of Illinois over its law barring banks from charging interchange fees on taxes and tips cheered an appeals court ruling remanding the law to a lower court and vowed to keep the law going into effect, which is slated for July 1.

An April 20 bankruptcy filing accuses Kfir Gavrieli of recruiting friends, family and his synagogue to sign sham contracts that inflated Aspiration's revenue.

Plaintiffs say Team 313 stole Social Security numbers and IDs. Chime says no data left its systems. None of the suits has its own evidence.

San Diego County Credit Union won a court ruling that should help in its effort to get out of its deal to merge with a local competitor. A lawyer for SDCCU said he believes the judge's decision "signals the end of any merger between the two institutions."

The case exposes a systemic risk for banks: incident-response and ransomware-negotiation firms receive sensitive breach details that a corrupted insider can sell back to the attackers.

As judges have shown in other recent cases involving UBS and Stifel, firms have a high bar to clear if they want an arbitration award vacated.

New York extracted $5 million and a broker registration from Uphold over its promotion of CredEarn, a yield product whose issuer collapsed in 2020.

A federal judge harshly criticized the settlement of a civil suit between the Department of Justice and a Texas land developer.

Plaintiffs allege the banks failed to safeguard names, Social Security numbers and account data after a breach at a vendor neither bank has named.

A federal judge finds that the embattled brokerage Alpine Securities' argument that FINRA should answer to the federal executive branch amounts to " wishful thinking" that "collapses under the weight of spiraling aspiration."

The Office of the Comptroller of the Currency issued an interim final rule Friday to clarify banks' leeway to charge interchange fees, explicitly blocking the applicability of a law passed in Illinois that would ban charging interchange fees on taxes and tips that goes into effect in July.