Daily Archives: October 27, 2014

Judge Questions Barclays’ $20M Libor Settlement

Law360, New York (October 27, 2014, 5:27 PM ET) — A New York federal judge on Monday raised concerns over Barclays PLC’s recent $20 million settlement with futures and options traders who say the bank manipulated the Libor benchmark interest rate, saying some of the investors may not have timely claims.

U.S. District Judge Naomi Reice Buchwald said during a Manhattan court hearing that she needed more information about the proposed deal before approving it. The settlement, announced Oct. 8, is the first in private litigation over alleged Libor-rigging by Barclays and other major banks….

Source: Law360

This 1 chart shows just how bad last week was for Ocwen

Source: Housingwire

WATCH: Foreclosure king Todd Brunner arrested

Todd Brunner, 57, a onetime local king of foreclosures, and his son, Shawn, 24, were arrested on Monday after a warrant for their arrest was issued on Friday on charges of bank fraud and bankruptcy fraud, an article in theMilwaukee Wisconsin Journal Sentinel said.

The article reported that the two were dodging marshals who last week tried repeatedly to serve them with a summons to appear for arraignment.

Authorities allege that the Brunners hid assets from the bankruptcy court and that Todd Brunner tried to conceal more than $7 million in assets from lenders. Todd Brunner filed for bankruptcy in 2011 after the collapse of his business, which he built by buying, selling and renting out hundreds of foreclosed properties throughout southeastern Wisconsin.

Top Agent Network sues Zillow alleging fraud, stolen trade secrets

San Francisco-based Top Agent Network filed suit Monday in U.S. District Court for the Northern District of California against Zillow (Z), alleging theft of its proprietary trade secrets to create the highly touted “Coming Soon” feature.

The lawsuit claims that the online listing giant gained access to TAN’s confidential information by feigning interest in investing in the company when, in fact, it was simply interested in tapping into TAN’s proprietary data and systems to launch a competing product.

A spokesperson for Zillow told HousingWire that the company was investigating the lawsuit and would have a statement presently. This story will be updated when Zillow’s statement is available.

A copy of the lawsuit filing can be read here.

Read on.

NJ attorney Josh Denbeaux wrote letters to all state AGs who signed Wells Fargo agreement, to reopen investigation and is pursuing further litigation against Wells Fargo

Good for New Jersey attorney Josh Denbeaux for pursuing this:

Denbeaux has written letters to all of the attorneys generals who signed the agreement with Wells Fargo, asking them to reopen their investigation, and is pursuing further litigation against Wells Fargo. His firm, Denbeaux & Denbeaux, has more than a dozen active cases in state and federal trial and appeals court against Wells Fargo, and is filing two more next week.

And here are documents on Wells Fargo class action Denbeaux & Denbeaux law firm website:

Click here to download the Wells Fargo Assurance with NJ Attorney General.

Click here to download the List of the Nine States Assurances with Attorneys General with Wells Fargo.

Click here to download the In RE: WACHOVIA CORP.PICK-A-PAYMENT MORTGAGE MARKETING AND SALES PRACTICES LITIGATION, Case No. M:09-CV-2015-JF, AGREEMENT AND STIPULATION OF SETTLEMENT OF CLASS ACTION

Click here to download the Wells Fargo Investigative Report.

Click here to download the letter to the Attorneys General.

Click here to download the letter to the Acting NJ Attorney General, John Jay Hoffman.

Mortgage Fraud: Wells Fargo Wins, Homeowners, Attorney Generals and Courts Lose

In a recent class action settlement against Wells Fargo,  the wronged homeowners received $178.04, while their attorney’s received $12.5 million a piece, and Wells Fargo won the guarantee these homeowners would never sue again.

New Jersey attorney Josh Denbeaux wrote an analysis of the settlement called Mortgage Fraud: Wells Fargo Wins, Homeowners, Attorney Generals and Courts Lose, he details how Wells Fargo and a few attorneys profited from a lawsuit meant to provide relief to misguided homeowners and punish the bank.

 

Here is Mr. Denbeaux’s piece. Click here.

Bank of America’s Merrill fined over short-sale rule violations

NEW YORK – Wall Street’s self-funded regulator said on Monday it fined Bank of America Corp’s Merrill Lynch unit a total of $6 million over violations of certain short-selling rules designed to prevent market manipulation.

In a short sale, a trader borrows stock and then sells it at a lower price to turn a profit. If one of the parties in a transaction does not have enough cash to pay for the position, or does not own the underlying assets that are to be delivered, the result is a “fail-to-deliver position” that must be closed out by borrowing or buying securities of like kind and quantity.

The Financial Industry Regulatory Authority (FINRA) said that from September 2008 to July 2012, Merrill Lynch Professional Clearing Corp did not attempt to close out certain fail-to-deliver positions, and lacked systems and procedures in to address the close-out requirements during much of that time.

The regulator also blasted Merrill’s supervisory systems and procedures. It said that from September 2008 through March 2011, Merrill’s broker dealer improperly allowed the allocation of fail-to-deliver positions to clients based solely on each client’s short position regardless of whether those clients caused or contributed to Merrill’s fail-to-deliver position.

Read on.