Daily Archives: April 11, 2014

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Barclays Inks 2nd Libor Settlement In UK Case

Barclays Inks 2nd Libor Settlement In UK Case

Law360, New York (April 11, 2014, 5:48 PM ET) — Barclays PLC said Friday that it had settled U.K. litigation with a Portuguese construction firm reportedly accusing the banking giant of wrongly selling financial products tied to the London interbank offered rate benchmark, the second such suit Barclays has resolved in the past week.

Barclays said it had reached a deal with Domingos Da Silva Teixeira, Investhome – Construcao e Imobiliaria SA and Domingos Da Silva Teixeira – Imobiliaria SA to resolve litigation in London’s Commercial Court.

GM CEO Barra Lied To Congress: Docs Reveal She Knew About Steering Problem Years Ago

 

Email above that shows Barra knew of the problems in 2011.

Zerohedge:

And now…Bloomberg reports,

“These initial documents revealed failures within the system,” House Energy and Commerce Committee Cmte Chairman Fred Upton, R-Mi., says in statement.
  • “There is still much left to examine and we will continue to follow the facts”
  • GM CEO Mary Barra told of steering problem in 2011, according to documents released by cmte
  •  NHTSA sought investigation of Cobalts for airbags in 2007
  • GM engineer Ray DeGiorgio said it was “impossible” to modify switch
  • *GM IN 2005 SAID IT SAW NO ISSUE WITH COBALT AIRBAGS: DOCUMENTS
  • *GM IN ’07 SAID IT SAW `NO SPECIFIC PROBLEM’ WITH COBALT AIRBAGS
  • *COBALT AIRBAG WARRANTY RATE MORE THAN 9%; FORD RATE WAS 2%
  • *NHTSA SAID IT SAW A PATTERN OF AIRBAG NON-DEPLOYMENTS
  • *DEGIORGIO SIGNED OFF ON NEW IGNITION PART IN 2006
  • *DEGIORGIO APPROVED NEW GM PART WITHOUT NEW NUMBER: DOCUMENTS

NHTSA…

  • *NHTSA INVESTIGATOR SAID GM WAS `SLOW TO ACT’ VS OTHER COS.
  • *NHTSA INVESTIGATOR SAID IN 2013 GM IS `SLOW TO COMMUNICATE’
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Watch these Congressmen babble about nothing at House Financial Services Committee hearing (video)

On Tuesday, the House Financial Services Committee held a three-and-a-half-hour hearing on financial fraud and consumer protection. Congressmen from both parties spent much of the event bemoaning a recent crackdown on petty fraud by the Department of Justice. But the hearing also featured several silly, ridiculous and bizarre comments from members of the committee. And yes, Rep. David Scott (D-Ga.) was really talking about auto dealers.

JP Morgan Blythe Masters Under Investigation By Federal Prosecutors

More from Bloomberg:

 The existence of a probe surrounding JPMorgan’s role in the energy market has been known since August, when it was reported by several news organizations, including Bloomberg News, and subsequently disclosed by the New York-based bank. What wasn’t known was prosecutors’ interest in Masters.
And there is more:

Blackstone appeared to have an inside track on Mercuria and Macquarie in the final round of bidding, according to three people involved in the process. The buyout firm had a significant banking relationship with JPMorgan through its history of acquisitions.

Its limited presence in commodities and energy trading also made it the most likely candidate to buy JPMorgan’s business in its entirety and bring Masters and her team on board to run it, the people said.

And more:

As the January deadline for bids approached, the question of Masters’s legal exposure to the federal investigation remained, according to the people involved in the process.

 

JPMorgan didn’t provide a level of detail about the investigation that was satisfactory to some of the bidders, according to the people familiar with the process. Masters dismissed any concerns about the inquiry, one person said.

 

“We didn’t receive any complaints during the process,” said Marchiony, the bank spokesman, about information on the lingering investigation. 

 

Blackstone executives wondered whether there could be more to it than the bank was letting on, said one of the people. Given that Masters might end up as the public face of Blackstone’s commodities business, they were wary, this person said.

 

Macquarie also was wary about potential legal issues, said one of the people. The bank didn’t want any unforeseen developments to harm its reputation in the U.S. energy markets.

 

Mercuria’s executives were less concerned about the legal exposure, according to a person familiar with its bid. The firm, started in 2004 by two former Goldman Sachs Group Inc. traders, had a minimal presence in U.S. power and gas markets, and it could run JPMorgan’s business without Masters.

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Citigroup : DoJ probes Citigroup unit over suspicious transactions: WSJ

Citigroup : DoJ probes Citigroup unit over suspicious transactions: WSJ

(Reuters) – The Justice Department is investigating whether a Citigroup Inc unit in California failed to alert the government about suspicious banking transactions along the U.S.-Mexico border, the Wall Street Journal reported, citing people familiar with the matter.

U.S. prosecutors want to know why Citigroup did not submit so-called suspicious-activity reports flagging the questionable transactions that in some cases involved suspected drug-cartel members, the newspaper said. (http://r.reuters.com/cur48v)