Daily Archives: August 15, 2014

Bank of America could get tax break on part of $16 billion mortgage settlement

As Bank of America prepares for a possible multibillion-dollar settlement with the government, the deal is expected to share a feature common to similar settlements with other banks – a big portion that’s tax-deductible as a business expense.

The Charlotte bank and the Department of Justice are negotiating the terms of a potential settlement of more than $16 billion over soured mortgage bonds, in a deal that has not been finalized but could be announced as early as next week.

Morgan Stanley must pay $4.5 million to Banamex: panel

(Reuters) – A unit of Morgan Stanley (>> Morgan Stanley) must pay $4.5 million to Citigroup Inc’s (>> Citigroup Inc) Banamex unit which alleged the firm had allowed funds in a family’s trust account to be used to repay third-party loans without its authorization, according to a ruling on Friday.

(Reuters) – A unit of Morgan Stanley (>> Morgan Stanley)must pay $4.5 million to Citigroup Inc’s (>> Citigroup Inc)Banamex unit which alleged the firm had allowed funds in a family’s trust account to be used to repay third-party loans without its authorization, according to a ruling on Friday.

A Financial Industry Regulatory Authority (FINRA) arbitration panel found Morgan Stanley & Co Inc liable for negligence in the case, filed by Banamex in 2012. Banamex, which served as trustee to a family’s trust account, had sought more than $5.2 million, according to the ruling.

Read on.

Ferguson Police Chief IDs officer who shot Mike Brown

This will be a very interesting.. Police Chief names Darren Wilson as the officer that shot and killed 18 year old Mike Brown.  From Zerohedge:

Police suggest Brown was prime suspect in a crime… As The BBC reports,

Michael Brown, the black teenager shot by police on Saturday in Ferguson, Missouri, was asuspect in a robbery just moments earlier, police have said.

Police say Mr Brown, 18, was one of two men suspected of robbing a nearby convenience store.

Minutes later he was shot by Officer Darren Wilson after a struggle, Ferguson police Chief Thomas Jackson said on Friday.


Here is the photo from the convenience store. Click here.

The Nation Journal reports,


After nearly a week of protests, on Friday the Ferguson, Mo. Police Department identified the officer who shot 18-year-old Michael Brown.


At a press conference, Ferguson Police Chief Thomas Jackson said Darren Wilson, a police officer who had been serving in the force for six years, was responsible for the shooting.


Jackson did not take questions, but earlier told CNN that the responsible officer was “devastated.”


The news comes after five days of turmoil in Ferguson, a St. Louis suburb of 21,000.


On Sunday night, Darren Wilson shot and killed Brown, who was unarmed. Since then, there have been protests in the street every night. Ferguson police initially responded with SWAT teams, tear gas, and rubber bullets. On Thursday, the state government announced a switch, taking St. Louis County police officers off the beat and placing Missouri State Highway Patrol officers in command.


The naming comes after hackers tried to figure out the officer responsible for themselves. On Thursday, Anonymous released the name and photo of a Ferguson police officer the group claimed to be the man who shot Brown. Ferguson police quickly denied their claim, and Twittersuspended the Anonymous account that had sent out the information.

*  *  *

Is this Darren Wilson?

Black officers call for changes to ease racial tension in St. Louis police

Darren Wilson, president of the Ethical Society of Police, speaks to members on Wednesday, Sept. 11, 2013, during a meeting to discuss racial tensions in the department after a racially charged letter was left in an African-American police officer’s mailbox.

From 2013,


Minority officers sounded off for more than two hours Wednesday before the police department’s highest-ranking black commanders about issues they believe illustrate racism within the ranks and the need for reform. But those commanders blamed some of the issues on unmotivated officers.


About 30 members of the Ethical Society of Police packed the organization’s office for the special meeting convened to call black commanders to action in the wake of a racist letter sent to a black police officer, presumably by another officer in South Patrol.


The group’s president, Sgt. Darren Wilson, said last week that the racist note was symptomatic of a larger, citywide problem. About a third of the 1,325-member police force is African-American; the city it serves is almost equally divided between black and white residents.


“If you’re treating a police department employee like this, how are we treating our citizens?” Wilson asked.

*  *  *

This is pure speculation but he is a police officer in St.Louis called Darren Wilson…

Important update: There is certainly a problem as several witnesses that witness the shooting came forward in the media and stated that the officer was white. Now, yesterday  Anonymous ‘announced’ the possible name (Bryan Willman).  There is an update on Epoch Times that St. Louis Police Department is stating that are two Darren Wilsons on the Fergerson police force and neither Sgt. Darren Wilson (the pic above) nor Bryan Willman are the officer who shot Mike Brown. From Epoch Times:

The St. Louis County Police Department released the name of the police officer who killed Michael Brown on Friday after public pressure.

It’s not Bryan Willman; the department says it was Darren Wilson, a six-year veteran of the force. 

However, no photos are available as of yet of Wilson–and there’s two Darren Wilsons on the Ferguson police force. The Darren Wilson who shot Brown is not the black Wilson who is president of the Ethical Society of Police.

We have to see from the result this entire state as well as federal investigation who is telling the truth…the real question who is the other Darren Wilson???


It is expected that Plaintiffs will seek leave to amend the Complaint to allege that Ocwen took over servicing from Litton Loan Servicing, L.P. (“Litton”) when the loan was in default. 

Here is the complaint. Click here.

Dodd-Frank Law Doesn’t Shield Whistleblowers Overseas: 2nd Circ.

Case Information

Case Title

Liu v. Siemens AG


Case Number



Appellate – 2nd Circuit

Nature of Suit


Law360, New York (August 14, 2014, 12:22 PM ET) — The Second Circuit ruled Thursday that the Dodd-Frank Act’s whistleblower protections do not cover tipsters outside the U.S., siding with Siemens AG in a case brought by a former company lawyer alleging he was fired after reporting potential fraud at a Chinese subsidiary.

A three-judge appellate panel upheld a lower court’s ruling that the Dodd-Frank Wall Street Reform and Consumer Protection Act’s anti-retaliation provisions, which are meant to protect those who report potential securities fraud, does not apply “extraterritorially.”

The Second Circuit said further that, in…

Source: Law360

RBS Settles Insurer’s NY Fraud Suit Over $291M In MBS

Law360, New York (August 15, 2014, 2:15 PM ET) — RBS Securities Inc. has struck a deal to end Assured Guaranty Municipal Corp.’s claims that it misrepresented the value of residential mortgage-backed securities worth $291 million to score financial guaranty insurance, according to a Thursday filing in New York federal court.

U.S. District Judge Ronnie Abrams dismissed the suit with prejudice and without costs, with the stipulation that Assured Guaranty could revive the suit within 30 days.

The certificates that were insured were part of a $1.2 billion securitization known as the Soundview Home Loan Trusts….

Source: Law360

Holders of Argentina eurobonds plan to appeal U.S. court ruling

Holders of euro-denominated Argentine bonds plan to appeal a U.S. judge’s ruling blocking the country from making payments on their debt, according to a court filing on Friday.

In a notice filed in Manhattan federal court, lawyers for the bondholders challenged an Aug. 6 ruling from U.S. District Judge Thomas Griesa that Argentina cannot pay the bondholders until it also pays holdout investors who refused to restructure their debt in the wake of Argentina’s 2001-2002 default.

Meanwhile, Citigroup Inc and Argentina on Friday were granted an expedited appeal of another order from Griesa that barred future payments to holders of certain U.S. dollar-denominated restructured bonds, after the judge allowed the bank to make a one-time payment.

Both appeals will be considered by the 2nd U.S. Circuit Court of Appeals in New York. The court on Friday set oral arguments in the Citibank matter for Sept. 18.

Argentina defaulted after missing a July 30 deadline for payments on restructured bonds. Officials have claimed the country fulfilled its obligations but was blocked by Griesa, whom they have criticized, saying he overstepped his authority.

Read on.