A federal jury sided today with Bank of America, which was sued by an Arab-American charity in Southfield that had accused it of discriminating against them when it closed the charity’s bank accounts.
In 2012, Life for Relief and Development in Southfield filed a lawsuit in Detroit against Bank of America after it had closed its accounts. Bank of America officials have said their decision was not because of the Arab ethnicity of Life’s leaders.
A six-member jury in U.S. District Court in Detroit decided in favor of Bank of America after a trial that took place in front of Chief Judge Denise Page Hood. Closing arguments were held today and a verdict was returned in less than an hour.
Bank of America and a Colorado outsourcing firm will have to face a lawsuit accusing them of sabotaging homeowners’ efforts to modify their mortgages, a federal appeals court has ruled.
The decision on Monday by the 10th U.S. Circuit Court of Appeals revives a 2013 proposed class action accusing Bank of America and Urban Settlement Solutions of violating the U.S. Racketeer Influenced and Corrupt Organizations (RICO) Act by conspiring to deny government-sponsored mortgage assistance to thousands of qualified homeowners.
(CN) — The Securities and Exchange Commission brought charges Monday against a hedge fund manager it says made deals with terminally ill patients that netted him huge payouts when they died.
Donald “Jay” Lathen Jr., 48, is described as the owner and CEO of hedge fund Eden Arc Capital Management.
The Manhattanite is accused of picking through nursing homes and hospices for patients whose prognoses gave them less than six months left to live.
Regulators say Lathen recruited at least 60 terminally ill patients and paid them $10,000 each to use their names on joint investment accounts with “survivor options.”
Also known as “death puts,” such options allow for the resale of an investment to the issuer upon the death of the holder.
The SEC says Lathen’s hedge fund was able to exercise the survivor options with sufficient speed and accuracy to maintain extremely high investment returns on various medium- and long-term bonds and certificates of deposit.
Eden Arc reaped more than $9.5 million, a total return of 74.73 percent, from May 2011 and September 2015, according to the SEC.
Lathen’s attorney, Harlan Protass with Clayman & Rosenberg, said his client did nothing wrong.
“We have no doubt that Mr. Lathen’s investment strategy is entirely legitimate and violates no law,” Protass said in a statement. “Mr. Lathen looks forward to clearing his name.”