Click here to Search This
Site -- For or with more information, contact us.
January
18, 2021
From
the Fed's OIG:
"Closed
Investigations:
2020
Number Date
Opened Date
Closed Case
Name 1
07/24/17
02/13/20
Alleged Bank
Fraud 2
01/15/19
03/19/20
Employee
Misconduct 3
09/27/18
03/27/20
Advance Fee
Scheme 4
11/02/18
04/01/20
Alleged Bank
Fraud 5
07/05/18
05/15/20
Advance Fee
Scheme 6
08/11/15
06/23/20
Alleged
Fraudulent
Loans 7
04/23/20
06/30/20
Alleged
Fraudulent
Scheme 8
05/07/18
08/26/20
Alleged Bank
Fraud 9
05/16/18
09/22/20
Alleged Bank
Fraud 10
02/04/15
09/23/20
Alleged Bank
Fraud 11
03/06/19
10/29/20
Alleged Bank
Fraud 12
01/14/20
11/17/20
Alleged
Fraudulent
Scheme 13
11/09/18
12/15/20
Employee
Misconduct 14
06/09/20
12/31/20
Alleged
Fraudulent
Loans" We'll
have more on
this.
January
11, 2021
Here
from the Council
on Foreign
Relations... Richard
H. Clarida: "It
is my pleasure
to meet
virtually with
you today at
the Council on
Foreign
Relations.1 I
regret that we
are not doing
this session
in person, as
we did last
year, and I
hope the next
time I am
back, we will
be gathering
together in
New York City
again. I look
forward to my
conversation
with Steve
Liesman and to
your
questions, but
first, please
allow me to
offer a few
remarks on the
economic
outlook,
Federal
Reserve
monetary
policy, and
our new
monetary
policy
framework.
Current
Economic
Situation and
Outlook In the
second quarter
of last year,
the COVID-19
(coronavirus
disease 2019)
pandemic and
the mitigation
efforts put in
place to
contain it
delivered the
most severe
blow to the
U.S. economy
since the
Great
Depression." And CRA?
Watch this
site.
January
4, 2021
Fed Governor Brainard: ...The Federal Reserve Financial Stability Report incorporated for the first time an analysis of the ways climate change could present risks to financial stability.38 Similarly, the Federal Reserve Supervision and Regulation Report described how climate-related risks can create microprudential risks and how supervisors are working to better understand, measure, and mitigate these risks.39 Last quarter, the Federal Reserve released a CRA proposal that for the first time highlighted the importance of investing in climate resilience for LMI and underserved communities.
We'll
have more on
this.
December
28, 2020
Look at
the chair and
vice
chair of the
Federal
Reserve Bank
of Dallas:
Dallas
Greg L.
Armstrong,
co-founder and
chairman and
chief
executive
officer
(retired),
Plains All
American
Pipeline L.P.,
Houston,
Texas, renamed
Chair. Thomas
J. Falk,
executive
chairman
(retired),
Kimberly-Clark
Corporation,
Dallas, Texas,
renamed Deputy
Chair.
Pipeline and Kimberly-Clark.
December
21, 2020
Gov
Brainard at
CBA: we
aim to
modernize the
CRA in a way
that advances
the core
purpose of the
statute, while
also providing
greater
certainty,
tailoring
regulations,
and minimizing
burden. Over
the next few
months, the
Federal
Reserve System
will host
outreach
meetings and
listening
sessions like
this one
around the
country. We
encourage the
public to
submit written
comments by
the deadline
of February
16, 2021, and
I look forward
to your
feedback [here]
December
14, 2020
NY Federal Reserve Firing Former FBI Agent Escorted Him Out at 69 So He Sues in SDNY
By
Matthew Russell Lee, Patreon
BBC
- Guardian
UK - Honduras
- ESPN
SDNY
COURTHOUSE, Dec 10 – Robert N. Sama, 69, was
terminated by the Federal Reserve Bank of New
York on February 19, 2020. He had worked there
since 2007.
He
filed a lawsuit in the U.S. District Court for
the Southern District of New York on December
10, 2020 - Inner City Press is reporting it that
same day.
From
the complaint we learn that "each FRS Bank
maintains an on-site law enforcement commad
called a Law Enforcement Unit."
Sama
was Vice President of the FRBNY's LEU. He had
previously been with the FBI for 29
years.
After
Sama's "escorted ejection," his job was given to
LEU Captain Ronald Porter, who was "jumped three
level" to handle Sama's LEU responsibilities.
The complaint calls the FRB a "privately held
corporation... not a federal agency and its
employees are not federal employees with the
protections inherent therein."
Similarly,
the Federal Reserve says that the FRBNY and
other Reserve Banks are not subject to FOIA. Why
then can they approve bank mergers? Inner City
Press has a FOIA request pending.
December
7, 2020
To Federal Reserve Waller Squeaks In 48-47 In Lame Duck Distanced Self From Judy Shelton
By
Matthew Russell Lee, Patreon
BBC
- Guardian
UK - Honduras
- The
Source
SOUTH
BRONX, Dec 5 – In the midst of the Coronavirus
pandemic and the election, with a fintech and
crypto-currency proponent installed as Acting
Comptroller, SoFi and its controller SoftBank
sought to get and then got a U.S. national bank
charter. Now Judy Shelton is still being pushed
for the Federal Reserve, albeit with dwindling
chances.
Her
fellow-nominee Christopher Waller, who squeaked
in last week 48-47 as the first lame duck Fed
confirmee, said this about Shelton:
Q:
Mr. Waller, given Ms. Shelton’s answers on
monetary policy in her thirty years of writing
on the gold standard, would you recommend we
confirm her to the Fed?
Waller:
Senator, that’s your decision, not mine.
Sen.
Brown: I figured that would be your answer. Let
me ask in a different way. So, you’re at St.
Louis Fed, right?
Waller:
Correct.
Sen.
Brown: If you were interviewing for your
research department, would you hire her?
Waller:
I have a very different research department, in
terms of the type of academic research we do.
Judy’s been much more in the public light, in
terms of her research. My department’s all
publishing for academic journals. No, that’s not
[inaudible]
Sen.
Brown: If someone brought her body of work and
writing to you, would you hire her? Or
him?
Waller:
Like I said, where her outlets are compared to
what we expect our staff… They’re just two
different outlets for your research
As
of November 16, there are at least three GOP
senators opposing. Joining Senators Collins and
Romney, Senator Lamar Alexander said “I oppose
the nomination of Judy Shelton because I am not
convinced that she supports the independence of
the Federal Reserve Board as much as I believe
the Board of Governors should. I don’t want to
turn over management of the money supply to a
Congress and a President who can’t balance the
federal budget.” And of course there are also
CRA and fair lending laws.
On
November 17, cloture for her failed 47-50. Sen
McConnell switched his "yes" vote to "no," to
let him attempt to re-vote again. Watch this
site.
November
30, 2020
Federal Reserve Board Is Sued For FOIA About Maiden Lane and FRBNY Now To 2d Cir
By
Matthew Russell Lee, Patreon
BBC
- Guardian
UK - Honduras
- ESPN
SDNY
COURTHOUSE, Nov 28 – The U.S. Federal Reserve
Board got a Freedom of Information Act request
for "any records from Maiden Lane LLC and Maiden
Lane II LLC and Maiden Lane III LLC containing
the CUSIP Number 40431LAR9."
The
Fed Board denied it "because these loans were
issued by the FRB of New York, not as a
delegated function of the Board."
That
is to say, the Federal Reserve Board is again
saying its its Reserve Banks, to which it
delegates rubber stamping of mergers, are not
subject to FOIA.
In this case, the Federal Reserve Board has not
sent its own lawyers, as it did when Inner City
Press sued it under FOIA.
Instead,
it is represented, like ICE or other agencies,
by the US Attorney's Office at 86 Chambers
Street.
Now there's a bid to appeal to the Second
Circuit Court of Appeals.
November
23, 2020
To Federal Reserve Judy Shelton Fails 47-50 For Now But Another Attempt May Be Made
By
Matthew Russell Lee, Patreon
BBC
- Guardian
UK - Honduras
- The
Source
SOUTH
BRONX, Nov 17 – In the midst of the Coronavirus
pandemic and the election, with a fintech and
crypto-currency proponent installed as Acting
Comptroller, SoFi and its controller SoftBank
sought to get and then got a U.S. national bank
charter. Now Judy Shelton is being pushed for
the Federal Reserve.
As
of November 16, there are at least three GOP
senators opposing. Joining Senators Collins and
Romney, Senator Lamar Alexander said “I oppose
the nomination of Judy Shelton because I am not
convinced that she supports the independence of
the Federal Reserve Board as much as I believe
the Board of Governors should. I don’t want to
turn over management of the money supply to a
Congress and a President who can’t balance the
federal budget.” And of course there are also
CRA and fair lending laws.
On
November 17, cloture for her failed 47-50. Sen
McConnell switched his "yes" vote to "no," to
let him attempt to re-vote again. Watch this
site.
November
16, 2020
To Federal Reserve Board Judy Shelton Is Being Pushed Like Lameduck OCC OKing Charters
By
Matthew Russell Lee, Patreon
BBC
- Guardian
UK - Honduras
- The
Source
SOUTH
BRONX, Nov 12 – In the midst of the Coronavirus
pandemic and the election, with a fintech and
crypto-currency proponent installed as Acting
Comptroller, SoFi and its controller SoftBank
sought to get and then got a U.S. national bank
charter. Now Judy Shelton is being pushed for
the Federal Reserve.
Meanwhile
Inner City Press' requests under the Freedom of
Information Act into Acting Comproller Brian P.
Brooks' conflicts of interest in the fintech and
crypto-currency world have yet to be fully
answered.
On November 9, Fair Finance Watch and Inner City
Press have begun a call to block Brooks from
handing out any more national bank charters
between now and January 20 - such charters would
be illegitimate, gifts by a lame duck. How much
more so this: the Senate majority says it is
moving forward to have a vote on a long-pending
Federal Reserve Board nominee, Judy Shelton.
Even in September 2020 she was said to not have
the votes for confirmation. We'll have
more on this.
On
July 13 Fair Finance Watch filed with the OCC,
including this: "July 13, 2020
Office of the Comptroller of the
Currency DC Comptroller Brooks and Mr.
Lybarger, Deputy Comptroller for Licensing
& Northeastern District Office
Re: Timely First Comment on SoFi's
reported application to the OCC to get into
banking
Dear
Mr. Lybarger, Ms. Cummings and others in the
OCC: This is a timely first comment
opposing and requesting an extension of the
required OCC's public comment period on reported
proposal by SoFi to get a national bank
charter.
This is a major proposal, by a fintech in which
SoftBank has a large stake. Yet, it is not yet
on the OCC's website, where as of July 13 the
most recent Weekly Bulletin cuts on on July 4.
The only charter application listed as open for
comment is Monzo Bank; the New Bank application
link does not work. So, any comment period will
have be be extended. This is a request for the
complete application, all portions that the OCC
after review does not find withholdable under
FOIA.
Inner City Press / Fair Finance Watch opposed
SoFi's previous, suspended attempt to get into
banking. Since then the questions have only
grown.
For now, we note that Inner City Press asked the
OCC's FOIA unit for a copy of Comptroller
Brooks' conflict of interest list with fintechs
but has yet to receive it. Pending receipt, we
ask that Acting Comptroller Brooks be recused
from this application and that you confirm this
in writing.
As to SoftBank, the dispute regarding another of
its holdings, WeWork, portends the type of
problems that regulators like the OCC are
directed to keep out of, not invite into, the
banking system.
For the above reasons, including the ongoing
COVID-19 pandemic lockdowns and restrictions,
the comment period should not yet start or
should extended, until in person public hearings
can be held, and Comptroller Brooks' should be
recused pending/and his conflict of interest
list should be released."
November
9, 2020
From
the Fed last
week: "While
this report is
focused on
safety and
soundness
initiatives,
it is also
important to
note that on
September 21,
2020, the
Board issued
an Advance
Notice of
Proposed
Rulemaking to
modernize the
regulations to
implement the
Community
Reinvestment
Act with a
120-day
comment
period.6 6 See
Board of
Governors of
the Federal
Reserve
System,
“Federal
Reserve Board
Issues Advance
Notice of
Proposed
Rulemaking on
an Approach to
Modernize
Regulations
That Implement
the Community
Reinvestment
Act,” news
release,
September 21,
2020, https://www.federalreserve.gov/newsevents/pressreleases/bcreg20200921a.htm
yeah...
November
2, 2020
Amid the
exposed failure of
the SARs
system, the
Federal
Reserve has
come out with
a decidedly
uninspiring
proposal: "The
Financial
Crimes
Enforcement
Network
(FinCEN) and
the Federal
Reserve Board
today invited
comment on a
proposed rule
that would
amend the
recordkeeping
and travel
rule
regulations
under the Bank
Secrecy Act.
FinCEN and the
Board,
pursuant to
their shared
authority, are
proposing
amendments to
the
recordkeeping
rule jointly,
while FinCEN,
pursuant to
its sole
authority, is
proposing
amendments to
the travel
rule.
Under the
current
recordkeeping
and travel
rule
regulations,
financial
institutions
must collect,
retain, and
transmit
certain
information
related to
funds
transfers and
transmittals
of funds over
$3,000. The
proposed rule
lowers the
applicable
threshold from
$3,000 to $250
for
international
transactions.
The threshold
for domestic
transactions
remains
unchanged at
$3,000." Oh.
October
26, 2020
Banco
Bradesco Over
Inner City
Press Protest
OKed Now
Appeal Not
Shown To Fed
Board
By
Matthew R. Lee, Exclusive
SOUTH
BRONX, Oct 20 – Amid escalating attacks
on the U.S. Community Reinvestment Act, Inner
City Press / Fair Finance Watch back in August
filed comments under the CRA opposing Banco
Bradesco's application to acquire BAC Florida,
see below.
Amid
the Coronavirus pandemic, it has continued to
appear that the Federal Reserve is churning
forward to try to rubber stamp a bank merger. On
April 7 the Fed asked Banco Bradesco's New York
law firm to supplement the record with how it is
dealing with current economic situation. On
April 24 the bank's law firm Shearman &
Sterling sent an answer to the Fed - with the
entire Covid section, as sent as required to
Fair Finance Watch and Inner City Press,
entirely redacted. Inner City Press FOIA-ed
that, then was asked to narrow the request.
So
S&S submitted another filing, with even the
name of the exhibits redacted. As of June 7, the
Fed simply extended its time to reply.
On
October 7 the Federal Reserve rubber stamped the
troubled and troubling merger, stating in part
that "A commenter objected to the proposal and
alleged disparities in the number of home
purchase loans made by BAC Bank to African
Americans and Hispanics, as compared to Asians,
in the New York City Metropolitan Statistical
Area (“New York City MSA”), based on data that
BAC Bank reported under the Home Mortgage
Disclosure Act of 1975 (“HMDA”) for its 2017
mortgage-related lending activities. 29 In
27 12 U.S.C. § 2903. 28 Bradesco’s New York
branch is not authorized to take insured
deposits and is not subject to the CRA. 29 12
U.S.C. § 2801 et seq. - 12 - addition, the
commenter asserted that BAC Bank denied 100
percent of home purchase applications from
Hispanics in the New York City MSA based on the
bank’s 2017 HMDA data. The commenter also
alleged disparities in the number of home
purchase loans made by BAC Bank to African
Americans as compared to Whites in the Miami,
Florida MSA, based on 2017 HMDA data.
Furthermore, the commenter alleged that the
proposal does not have a public benefit,
including under the CRA, and that Bradesco plans
to acquire BAC Bank to disproportionately serve
affluent clients. BAC Bank’s Business and
Applicants’ Response to the Public Comments BAC
Bank offers a variety of products and services
in the areas of personal banking, wealth
management, corporate banking, institutional
banking, and real estate financing. BAC Bank
serves domestic and international customers,
and, as previously noted, the bank’s sole
deposit-taking office is located in Florida. In
response to the public comments, Bradesco
asserts that the fair lending and CRA records of
BAC Bank do not support a conclusion that the
bank has engaged in improper lending practices."
Yeah.
So
on October 15, we filed a timely request for
reconsideration: "Re: Timely Request for
Reconsideration of FRB approval, with
information about COVID-19 Impacts withheld and
BAC lending record ignored, of Banco Bradesco to
acquire BAC Florida Dear Chair
Powell" This is a timely request for
reconsideration of the above-captioned
application. As you may know, Inner City Press /
Fair Finance Watch timely opposed the
application on CRA and then other grounds,
including the need to publicly disclose the
financial irregularities of Banco Bradesco and
the impact of COVID-19 on this proposed
transaction. All
of these records were withheld, and BAC's CRA
and fair lending records was ignored, to deliver
up an approval on the applicant's timeline. This
"servicing" of the industry cannot continue on
this timely request, which the full Board should
consider at an in person
meeting. As we stated in
August 2019, this is a proposal by a bank in
Brazil where authorities are reviewing the bank
for corruption, to buy a US bank with a
disparate lending record in order to use it to
serve disproportionately the affluent. There is
no public benefit; the application should be
denied... We submitted a FOIA request for
all of the redacted information - in fact, it
should have been provided forthwith under the Ex
Parte Rules. But it never was."
October
19, 2020
Banco
Bradesco Over
Inner City
Press Protest
Rubber Stamped
So Filing to
Federal
Reserve
By
Matthew R. Lee, Exclusive
SOUTH
BRONX, Oct 15 – Amid escalating attacks
on the U.S. Community Reinvestment Act, Inner
City Press / Fair Finance Watch back in August
filed comments under the CRA opposing Banco
Bradesco's application to acquire BAC Florida,
see below.
Amid
the Coronavirus pandemic, it has continued to
appear that the Federal Reserve is churning
forward to try to rubber stamp a bank merger. On
April 7 the Fed asked Banco Bradesco's New York
law firm to supplement the record with how it is
dealing with current economic situation. On
April 24 the bank's law firm Shearman &
Sterling sent an answer to the Fed - with the
entire Covid section, as sent as required to
Fair Finance Watch and Inner City Press,
entirely redacted. Inner City Press FOIA-ed
that, then was asked to narrow the request.
So
S&S submitted another filing, with even the
name of the exhibits redacted. As of June 7, the
Fed simply extended its time to reply.
Now
on October 7 the Federal Reserve has rubber
stamped the troubled and troubling merger,
stating in part that "A commenter objected to
the proposal and alleged disparities in the
number of home purchase loans made by BAC Bank
to African Americans and Hispanics, as compared
to Asians, in the New York City Metropolitan
Statistical Area (“New York City MSA”), based on
data that BAC Bank reported under the Home
Mortgage Disclosure Act of 1975 (“HMDA”) for its
2017 mortgage-related lending activities. 29
In 27 12 U.S.C. § 2903. 28 Bradesco’s New
York branch is not authorized to take insured
deposits and is not subject to the CRA. 29 12
U.S.C. § 2801 et seq. - 12 - addition, the
commenter asserted that BAC Bank denied 100
percent of home purchase applications from
Hispanics in the New York City MSA based on the
bank’s 2017 HMDA data. The commenter also
alleged disparities in the number of home
purchase loans made by BAC Bank to African
Americans as compared to Whites in the Miami,
Florida MSA, based on 2017 HMDA data.
Furthermore, the commenter alleged that the
proposal does not have a public benefit,
including under the CRA, and that Bradesco plans
to acquire BAC Bank to disproportionately serve
affluent clients. BAC Bank’s Business and
Applicants’ Response to the Public Comments BAC
Bank offers a variety of products and services
in the areas of personal banking, wealth
management, corporate banking, institutional
banking, and real estate financing. BAC Bank
serves domestic and international customers,
and, as previously noted, the bank’s sole
deposit-taking office is located in Florida. In
response to the public comments, Bradesco
asserts that the fair lending and CRA records of
BAC Bank do not support a conclusion that the
bank has engaged in improper lending practices."
Yeah.
October
12, 2020
Federal
Reserve Banco
Bradesco
Q&A After
Inner City
Press Protest
Leads To
Rubber Stamp
By
Matthew R. Lee, Exclusive
SOUTH
BRONX, SDNY, Oct 7 – Amid escalating attacks
on the U.S. Community Reinvestment Act, Inner
City Press / Fair Finance Watch back in August
filed comments under the CRA opposing Banco
Bradesco's application to acquire BAC Florida,
see below.
Amid
the Coronavirus pandemic, it has continued to
appear that the Federal Reserve is churning
forward to try to rubber stamp a bank merger. On
April 7 the Fed asked Banco Bradesco's New York
law firm to supplement the record with how it is
dealing with current economic situation. On
April 24 the bank's law firm Shearman &
Sterling sent an answer to the Fed - with the
entire Covid section, as sent as required to
Fair Finance Watch and Inner City Press,
entirely redacted. Inner City Press FOIA-ed
that, then was asked to narrow the request.
So
S&S submitted another filing, with even the
name of the exhibits redacted. As of June 7, the
Fed simply extended its time to reply.
October
5, 2020
Fed Inaction As Amid PPP Abuse Lenders Like Live Oak Bank Issue Prurient Denial To Inner City Press Data Q
By
Matthew Russell Lee, Patreon
BBC
- Guardian
UK - Honduras
- CJR -
PFT
SDNY
COURT / SOUTH BRONX, Oct 1 –
Amid the COVID-19 pandemic, fair lending and the
Community Reinvestment Act are taking a back
seat, or worse. Some banks to which CRA applies
are excluding smaller businesses and those in
communities of color. And some banks bragging
about the PPP loans won't provide any
information - we are Pressing.
Inner City Press / Community on the Move has
begun contacting both banks and non-banks for
their Paycheck Protection Program data. Without
yet getting into the full results, note that
Inner City Press asked Live Oak Bank, twice: "On
behalf of Inner City Press / Community on the
Move and its Fair Finance Watch project, and in
my personal capacity, this is a formal request
for Live Oak's full CRA Public File and
pressingly for the following with regard to the
Paycheck Protection Program (PPP) and Economic
Injury Disaster Loans (EIDL), in light of the
COVID-19 pandemic and the need for this
information: 1. How many loans has Live
Oak made pursuant to the programs? 2. What
is the total dollar amount of loans made
pursuant to the program 3. What is the
average loan size? ... 9. What percentage of
your PPP loans are to borrowers with a previous
borrowing relationship with your institution?"
Their SVP for communications sent only the CRA
file, performance evaluation and strategic plan
- no date. Now after months of non response on
data by Live Oak Bank, on October 1 came this:
"Thank
you for your interest in Live Oak Bank Based on
your responses, our loan programs are not a fit
for your business at this time. Some of the most
common reasons for this are listed
below: Loan amount is below our
minimum Business is not based in the
United States FICO credit score does
not meet our minimum requirements
Prior bankruptcy Prior loss to
creditors or government Pending
legal action Presently suspended,
debarred, proposed for debarment, declared
ineligible or voluntarily excluded from
participation in this transaction by any Federal
department or agency Revenues
derived from gambling, loan packaging, or from
the sale of products or services, or the
presentation of any depiction, displays or live
performances, of a prurient sexual nature."
Oh really... We'll have more on this.
September 28,
2020