Daily Archives: May 29, 2013

KABOOOOM! Multiple Law Firms Investigating the Acquisition of Lender Processing Services, Inc. (LPS) by Fidelity National Financial, Inc

And here are the articles:

Lender Processing Services, Inc. Board of Directors under Investigation by Glancy Binkow & Goldberg LLP

The Law Firm of Wohl & Fruchter is Investigating the Acquisition of Lender Processing Services, Inc. by Fidelity National Financial, Inc.

SHAREHOLDER ALERT: Levi & Korsinsky, LLP Announces Investigation into Possible Breaches of Fiduciary Duty by the Board of Lender Processing Services Inc. in Connection with the Sale of the Company to Fidelity National Financial Inc.

Lender Processing Services Shareholder Alert: Briscoe Law Firm and Powers Taylor, LLP Investigate Sale to Fidelity National Financial

Lender Processing Services, Inc. Shareholder Alert: Bernstein Liebhard LLP Announces Investigation Of Acquisition By Fidelity National Financial, Inc.


Banks Outsource Mortgage, Foreclosure Work to India

Banks Outsource Mortgage, Foreclosure Work to India

U.S. banks are outsourcing mortgage and foreclosure work to India to keep costs down and keep up with growing regulatory demands created since the financial crisis of 2008.

The banks are using technology firms on the sub-continent to supplement some of the needed work rather than hire more people in the United States, The Wall Street Journal reports.

But regulators worry that there is poor supervision by banks of third-party vendors. And consumer advocates fear that in the long run, it will be harder for banks to be sure that the work is done properly.

“The lack of oversight so far away may be too much for these banks to handle, considering how badly they’ve handled overseeing their own staff,” said Ira Rheingold, executive director of the National Association of Consumer Advocates.

After 2008, the U.S. government demanded changes to every aspect of the mortgage and foreclosure process. Banks are outsourcing to meet the changing rules and demands.

The Indian companies say that their role won’t be giving final approval for mortgages or foreclosures.They will help the banks by preparing the necessary documents that the banks will have to sign off on.


German watchdogs warn U.S. on go-it-alone bank rules

German watchdogs warn U.S. on go-it-alone bank rules

(Reuters) – Germany‘s financial watchdogs on Tuesday warned against unilateral action by national regulators, as the United States considers tougher capital rules for foreign banks.

Markets regulator Bafin said it was in intense and constructive talks with its U.S. counterparts about their plans to tighten oversight of foreign lenders, including requiring them to hold bigger capital and liquidity buffers against the risk of a financial market downturn.


US Bank Sued Over Robosigning, Mismanaged RMBS Trusts

US Bank Sued Over Robosigning, Mismanaged RMBS Trusts

Law360, New York (May 24, 2013, 7:05 PM ET) — Banks and asset managers in Missouri, Arkansas and South Carolina have sued U.S. Bank NA for allegedly mismanaging 28 residential mortgage-backed securities trusts by ignoring robosigning practices that ultimately derailed their investments, according to a complaint removed to Missouri federal court on Friday.

Plaintiffs Commerce Bank, Cedar Hill Capital Partners LLC, Citizens Bank & Trust Co., Pinnacle Bank of South Carolina and Wells River Savings Bank claim they collectively invested in 28 residential mortgage-backed securities, for which U.S. Bank was the trustee, and suffered massive losses…


FHFA reaches deal with Citigroup in MBS suit

FHFA reaches deal with Citigroup in MBS suit

Federal Housing Finance Agency reached a deal with Citgroup ($51.79 1.27%) for $3.5 billion in a mortgage-backed securities lawsuit.

The FHFA claimed that the bank misled Fannie Mae and Freddie Mac into buyinng faulty mortgage bonds.

The accord marks the second so far out of 18 securities fraud cases the FHFA filed against banks in 2011 over more than $200 billion in mortgage-backed securities sold to Fannie and Freddie.