ABI Blog Exchange

The following is from the Consumer Financial Protection Bureau: Banks to Pay $35.7 Million After Loan Officers Illegally Traded Referrals for Cash and Marketing Services The Consumer Financial Protection Bureau (CFPB) and the Maryland Attorney General took action against Wells Fargo and JPMorgan Chase for an illegal marketing-services-kickback scheme they participated in with Genuine Title, a now-defunct title company. The Bureau and Maryland also took action against former Wells Fargo employee Todd Cohen and his wife, Elaine Oliphant Cohen, for their involvement.  Genuine Title gave the banks’ loan officers cash, marketing materials, and consumer information in exchange for business referrals. The proposed consent orders, filed in federal court, would require $24 million in civil penalties from Wells Fargo, $600,000 in civil penalties from JPMorgan Chase, and $11.1 million in redress to consumers whose loans were involved in this scheme. Cohen and Oliphant Cohen also will pay a $30,000 penalty.
10 hours 44 min ago
The Advisory Committee on Bankruptcy Rules has devised and proposed a national chapter 13 plan form. The newest version of the form has been published for comment. The comment period expires February 17, 2015. A copy of the form can be found here. proposed chapter 13 plan Comments about the proposed may be submitted online at this address.
11 hours 6 min ago
B-I-C Evan Flaschen and Ilia O’Hearn recently co-authored the United States Q&A for Practical Law‘s Restructuring and Insolvency Multi-jurisdictional Guide. For the full Q&A click here. By: Bracewell & Giuliani LLP

Read More from: Basis Points

14 hours 27 min ago
NORTH OF THE BORDER UPDATE This article has been contributed to the blog by Mary Paterson, Dave Rosenblat and Waleed Malik. Mary Paterson is a partner in the litigation group of Osler, Hoskin & Harcourt LLP, Dave Rosenblat is an associate in the insolvency & restructuring group and Waleed Malik is an articling student.
15 hours 10 min ago
I'm totally with this guyHershey's move to keep British Cadbury's products out of the US is un-American. Anyone who has tasted the British version of Cadbury's knows that it's a far superior product. But what's the bankruptcy angle? After all, this is still a bankruptcy blog ... broadly defined. Well look at the Times article about this scandal:  it seems that the agreement between Hershey's and Cadbury, and Hershey's rather aggressive enforcement of the same, is apt to drive a few small businesses into bankruptcy. That really seems un-American. (Ok cynics, have at it.)

Read More from: Credit Slips

15 hours 12 min ago
The Fed appears to have looked at Bitcoin as a means for real-time payments in the banking system but shelved the concept for now.

Read More from: BankThink

15 hours 49 min ago
The Editorial Staff  at CommercialBankruptcyLitigation.com discuss a recent Second Circuit opinion concerning J.P. Morgan Chase’s loss of a $1.5 billion position in General Motors. Read more about this opinion here!
16 hours 13 min ago
There were nearly a million bankruptcy cases filed by individuals and businesses in 2014.  It is safe to say that only the tiniest fraction of such debtors have any familiarity with the Supreme Court’s decision in Stern v. Marshall nearly four years ago.  (If they do, it almost assuredly is only because the case arose out of the endless litigation between Anna Nicole Smith and the son of her late husband.)  Even fewer would be aware of the constitutional issues raised in that case concerning the jurisdiction and authority of the U.S. bankruptcy courts.  Lower courts have been struggling with those issues ever since.  Now, based on some of the questions raised in last week’s oral argument in Wellness International Network v. Sharif, it appears that at least some of the justices are realizing the full implications of Stern.  The Court’s decision in Wellness International could have significant effects for nearly everyone seeking protection under the U.S. Bankruptcy Code. 

Read More from: Bankruptcy Law Insights

16 hours 16 min ago
In a Recomended Reading post  at CommercialBankruptcyInvestor.com, Gordon Brothers’ recent Oil & Gas Industry Watch Critical Update is highlighted. Read more about this interesting update here!
16 hours 18 min ago
In a Breaking News Alert  at CommercialBankruptcyInvestor.com, Chapter11Dockets.com notes that an Ad Hoc Group of First Lien Creditors filed an adversary proceeding in the Delaware involuntary filing. Learn more about the lawsuit here!  
16 hours 21 min ago
In a Breaking News Alert  at CommercialBankruptcyInvestor.com, Chapter11Dockets.com notes SkyMall files bankruptcy. Read more about the filing here
16 hours 24 min ago
If you are looking at your debt today and feel that it is a burden to your life, give us a call here at Rogers Law Consumer Help Center and we will be happy to schedule you a free, no obligation appointment to meet with you and discuss your options for resolving these issues. You are not alone. We are here to help and are ready to put our many years of experience to work for you. John Rogers, Attorney at Law is Board Certified in Consumer Bankruptcy Law by the American Board of Certification. Give us a call today at 1-888-651-9353
17 hours 14 min ago
Federal Reserve officials have been calling on banks to strengthen their ethical cultures. The message will carry more weight if regulators are willing to turn the spotlight on their own practices.

Read More from: BankThink

17 hours 19 min ago
The recent statement from Chair White that the SEC staff will not issue any decisions this season on no-action letters asking to exclude shareholder proposals on the basis that a company will be including its own conflicting proposal in its proxy statement, which we discussed here, has thrown into turmoil about 53 companies that have existing requests outstanding. According to a statement from the City Comptroller of New York after the SEC’s announcement, about 18 of those address proxy access proposals. More were probably going to be filed in the coming weeks.  
18 hours 31 min ago
When you hear “meeting of creditors,” you might imagine yourself having to face a room of people representing the banks and credit card companies. The reality is that the meeting of creditors is used by the trustee to ask you questions about your financial situation. These questions and your answers will help him or her carry out the responsibilities of the trustee. Creditors will rarely show up at this meeting. Bankruptcy judges are not allowed to attend the meeting of creditors.The post Chapter 7 Bankruptcy Basics: Part Two appeared first on Tucson Bankruptcy Attorney.
18 hours 52 min ago
A plan to tax the liabilities of systemically important banks could help curb risk to the financial system, but the president and Congress should first consider more realistic asset thresholds.

Read More from: BankThink

19 hours 19 min ago
In this image released by Warner Bros. Pictures, Bradley Cooper appears in a scene from “American Sniper.”
Warner Bros. Pictures/Associated Press
The movie “American Sniper,” based on the life of ex-Navy SEAL Chris Kyle, has brought in more than $130 million in domestic ticket sales in its first week. But the SWAT team training business that Mr. Kyle founded after leaving the military is preparing to shut down. The Wall Street Journal has the Daily Bankruptcy Review article here. (Daily Bankruptcy Review is a daily newsletter with comprehensive coverage and analysis of emerging and in-progress insolvencies and turnarounds. For a two-week trial, visit our homepage, scroll to the bottom and click “try for free.”) According to WSJ, AT&T Inc. said it reached a deal to buy Nextel Mexico from NII Holdings Inc. for $1.88 billion.

Read More from: WSJ.com: Bankruptcy Beat

19 hours 26 min ago
Wall Street Journal Retailers large and small, not to mention the head of strategic partnerships at Visa, told the Journal that many more customers are using Apple Pay than other mobile-wallet services, such as Softcard, the mobile-wallet services formerly known as Isis that's backed by AT&T, Verizon and T-Mobile. The reasons: Apple's consumer gadgets are popular; banks and credit unions have been aggressively marketing the services; and consumers' cybersecurity concerns after breaches at Home Depot andÂ...

Read More from: BankThink

20 hours 4 min ago
It may surprise some, but approximately 90% of all chapter 11 debtors have less than $10 million in assets or liabilities, less than $10 million in annual revenues, and 50 or fewer employees (see data on small and medium-sized enterprises (SMEs) in the ABI Commission Report, here). These companies are the heart of chapter 11. Nevertheless, most of the media and caselaw coverage discusses only the megacases—e.g., Caesars, American Airlines, Tribune Company, etc.—representing approximately 2-3% of chapter 11 debtors. It is time to change the focus of the conversation. When a small business closes its doors, an entire community feels the impact. Consider the following description of the ripple effects of the closing of a small mine in Lincoln County, Montana:

Read More from: Credit Slips

21 hours 38 min ago
This is the second installment in our 5-part series exploring the implications of various debt resolution options. One of the biggest concerns about managing debt or trying to negotiate with creditors is unexpected creditor actions, such as: • Judgments; • IRS Levy; • Garnishment; • Or even just constant threats or harassing calls.   What […] The post Debt Relief Blog Series: Determining Your Best Option. Part II: Legal Protection appeared first on Acclaim Legal Services, PLLC.

Read More from: Acclaim Legal Services

1 day 11 hours ago