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Jul 30, 2015

Venezuela currency blues hit U.S. blue-chip companies

BOSTON (Reuters) – Venezuela’s currency woes cut nearly $3 billion in profit at U.S. blue-chip companies during the second quarter and prompted Procter & Gamble Co (PG.N: Quote, Profile, Research, Stock Buzz) to remove its operations in the South American country from its consolidated financial reports.

More so-called deconsolidation moves and exits from Venezuela are likely to happen during the second half of the year as U.S. corporations grow increasingly frustrated with Venezuela’s sinking Bolivar currency, according to analysts and U.S. regulatory filings.

Jul 28, 2015

U.S. watchdog refers PwC to ethics panel over audit of charity

NEW YORK, July 28 (Reuters) – A U.S. Department of Justice
internal watchdog has referred auditing firm
PricewaterhouseCoopers to a professional ethics panel
over what it called “extensive deficiencies” in an audit of
federal grant compliance by Big Brothers Big Sisters of America.

In a report released on Tuesday, the Office of the Inspector
General said it found multiple omissions in PwC’s work on the
mentoring organization Big Brothers, which received over $23
million in Department of Justice grants between 2009 and 2011.

Jul 17, 2015

TD Bank to pay $20 mln to settle Ponzi scheme lawsuit -attorney

NEW YORK, July 17 (Reuters) – TD Bank has agreed to pay $20
million to settle a class action lawsuit accusing it of aiding a
Ponzi scheme that allegedly bilked over a thousand European
investors of more than $223 million, a lawyer for the investors
said on Friday.

The preliminary settlement, subject to court approval,
resolves accusations that TD Bank, part of Canada’s
Toronto-Dominion Bank, failed to properly monitor trust
accounts that held investors’ money and ignored its duty to
investigate suspicious activities under U.S. anti-money
laundering rules.

Jun 29, 2015

U.S. regulators plan first-ever inspection of audit firm in China

NEW YORK (Reuters) – U.S. regulators are planning their first-ever inspection of an audit firm in China under a pilot program agreed to last week, marking a step toward resolution of a stalemate over accounting oversight of Chinese firms listed on U.S. markets.

The inspection is expected to take place this year, subject to final agreements, a spokesman for the Public Company Accounting Oversight Board (PCAOB), the main U.S. audit regulator, told Reuters on Monday.

Jun 23, 2015

U.S. Bancorp unit to pay $44.5 mln in Peregrine settlement

NEW YORK, June 23 (Reuters) – A unit of Minneapolis-based
U.S. Bancorp has agreed to pay $44.5 million to settle a
class action brought by former customers of brokerage Peregrine
Financial Group, which failed in 2012 after its funds were
siphoned off in a long-running fraud.

Disclosed on Thursday in a filing in an Illinois federal
court, the proposed settlement resolves claims that the bank let
Peregrine’s founder Russell Wasendorf Sr. treat an account set
up for brokerage customer funds like a personal checking
account, diverting money for himself and his other businesses.

Jun 23, 2015

U.S. Bancorp unit to pay $44.5 million in Peregrine settlement: court filing

NEW YORK (Reuters) – A unit of Minneapolis-based U.S. Bancorp has agreed to pay $44.5 million to settle a class action brought by former customers of brokerage Peregrine Financial Group, which failed in 2012 after its funds were siphoned off in a long-running fraud.

Disclosed on Thursday in a filing in an Illinois federal court, the proposed settlement resolves claims that the bank let Peregrine’s founder Russell Wasendorf Sr. treat an account set up for brokerage customer funds like a personal checking account, diverting money for himself and his other businesses.

Jun 5, 2015

Fraud convictions upheld for officials of failed Virginia bank

NEW YORK, June 5 (Reuters) – A U.S. federal appeals court
has upheld the convictions of three former officers of
Virginia’s failed Bank of the Commonwealth, saying there was
ample evidence to support a jury verdict that the men committed
a massive bank fraud.

One of hundreds of banks to collapse in the wake of the
2007-2008 housing crisis, Bank of the Commonwealth cost the U.S.
Federal Deposit Insurance Corp about $268 million when it
failed, prosecutors said.

May 29, 2015

U.S. judge tosses racketeering lawsuit over Ocwen home inspections

NEW YORK (Reuters) – A federal judge has dismissed a class action lawsuit accusing Ocwen Financial Corp of fraudulently billing hundreds of thousands of homeowners for needless property inspections, saying the case amounts to no more than a breach of contract claim.

The order by U.S. District Judge Otis Wright in Los Angeles on Thursday ends one of several lawsuits across the country accusing mortgage servicers of charging excessive fees after homeowners miss mortgage payments, pushing them further into debt.

May 15, 2015

Judge tosses L.A’s mortgage discrimination suit against BofA

By Dena Aubin

(Reuters) – A federal judge has thrown out a lawsuit by the city of Los Angeles accusing Bank of America of discriminatory mortgage lending, ruling that the municipality had offered no evidence that it was harmed by the bank.

In a ruling made public on Thursday, U.S. District Judge Percy Anderson said Los Angeles lacked standing to sue under the U.S. Fair Housing Act, which requires proof of a “concrete injury.”

Apr 16, 2015

U.S. judge finds Wells Fargo breached 2010 mortgage settlement

NEW YORK (Reuters) – Wells Fargo Bank breached a nationwide 2010 legal settlement involving adjustable-payment mortgages, a federal judge ruled, finding that the bank did not properly evaluate homeowners who applied for help to avoid foreclosures.

In an order on Wednesday, U.S. District Court Judge Richard Seeborg in northern California told Wells to meet with plaintiffs and find a way to remedy its violations, including steps to let some homeowners reapply for loan assistance.