Most Requested
bank banking bankruptcy banks business credit credit cards credit union credit unions debt Earned Income Tax Credit (EITC) economy employment farming federal income taxes Federal Reserve finance free tax help Government identity theft income Internal Revenue Service IRS issues jobs lending loans marketing money mortgage mortgages problems Processing Amended Returns real estate resume rules sales savings skills small business speaking tax credit Taxes unemployment work-
Categories
Archives
Home | Contact Us | News Archives | Resources
Interest Rates
- US: H15 -0.48 2011-07-21 FRB Market yield on U.S. Treasury securities at 5-year constant maturity, quoted on investment basis, inflation-indexed
- US: H15 0.06 2011-07-21 FRB Federal funds effective rate
- US: H15 0.06 2011-07-21 FRB 30-Day AA Nonfinancial Commercial Paper Interest Rate
- US: H15 1.00 2011-07-21 FRB Rate paid by fixed-rate payer on an interest rate swap with maturity of three year.
- US: H15 0.08 2011-07-21 FRB 60-Day AA Nonfinancial Commercial Paper Interest Rate
Trade (FTC)
- FTC Approves Final Order Settling Charges That Grifols, S.A.’s Acquisition of Talecris Biotherapeutics Holding Corp. Was AnticompetitiveFollowing a public comment period, the Federal Trade Commission approved a final order settling charges that Grifols, S.A.’s acquisition of Talecris Biotherapeutics Holdings Corp., a rival in the market for plasma-derived drugs, was anticompetitive and would have resulted in higher prices for consumers. […]
- FTC Approves Final Order Settling Charges That Grifols, S.A.’s Acquisition of Talecris Biotherapeutics Holding Corp. Was Anticompetitive
Commerce News
- Remarks of Assistant Secretary Strickling at the Internet Governance Forum--USATopics/Subtopics: ICANN Internet Policy Domain Name System July 18, 2011 Remarks by Lawrence E. Strickling Assistant Secretary of Commerce for Communications and Information Internet Governance Forum--USA Washington, DC July 18, 2011 -As prepared for delivery- Thank you for the opportunity to speak once again at the IGF-USA. I want especially to thank Mari […]
- Remarks of Assistant Secretary Strickling at the Internet Governance Forum--USA
Small Business News
- Letter dated 07/22/11 - Board of Governors of the Federal Reserve SystemLanding page summary: Electronic Fund Transfers; Proposed Rule July 22, 2011 Printer Friendly Version read more […]
- Letter dated 07/22/11 - Board of Governors of the Federal Reserve System
Monetary Policy
Cost Estimates
- S. 1376, A bill to conform income calculations for purposes of eligibility for the refundable credit for coverage under a qualified health plan and for Medicaid to existing federal low-income assistance programsCost estimate for the bill as introduced in the United States Senate on July 18, 2011 […]
- S. 538, A bill to amend the Neotropical Migratory Bird Conservation Act to reauthorize the actCost estimate for the bill as ordered reported by the Senate Committee on Environment and Public Works on July 13, 2011 […]
- H.R. 2527, National Baseball Hall of Fame Commemorative Coin ActCost estimate for the bill as ordered reported by the House Committee on Financial Services on July 20, 2011 […]
- S. 1376, A bill to conform income calculations for purposes of eligibility for the refundable credit for coverage under a qualified health plan and for Medicaid to existing federal low-income assistance programs
Banking
- OCC Issues Interim Final Rule to Reissue Former OTS RegulationsThe Office of the Comptroller of the Currency is issuing today an Interim Final Rule with request for comments that republishes regulations issued by the Office of Thrift Supervision that the OCC has authority to promulgate and enforce as of today. […]
- OCC Issues Interim Final Rule to Reissue Former OTS Regulations
NCUA Files Third Suit
ALEXANDRIA, Va. (July 18, 2011) – The National Credit Union Administration filed another suit today in California against RBS Securities, Inc. alleging violations of federal and state securities laws and misrepresentations in the sale of securities to the failed Western Corporate Federal Credit Union (WesCorp).
This law suit follows two similar legal proceedings filed in the Federal District Court of Kansas June 20 against J.P. Morgan Securities, LLC, and RBS. Anticipating a total of five to10 actions, additional lawsuits may follow in order to recover losses from the purchase of securities that caused the failures of five, large wholesale credit unions.
As liquidating agent for WesCorp, NCUA has a statutory duty to seek recoveries from responsible parties to minimize cost to its insurance funds and the credit union industry.
“NCUA continues to carry out our responsibility to do everything reasonable in our power to seek maximum recoveries,” said NCUA Board Chairman Debbie Matz. “By these actions we intend to hold responsible parties accountable. We expect to file additional actions, seeking damages in the billions of dollars. Those who caused the problems in the wholesale credit unions should pay for the losses now being paid by retail credit unions.”
This action seeks damages in excess of $629 million, totaling more than $1.5 billion when added to the damages sought in the previous filings.
NCUA’s new suit against RBS claims the sellers and underwriters of the questionable securities made numerous material misrepresentations in the offering documents. These misrepresentations caused WesCorp to believe the risk of loss associated with the investment was minimal, when in fact the risk was substantial. The mortgage-backed securities experienced dramatic, unprecedented declines in value, effectively rendering WesCorp insolvent. The combined suits are the culmination of lengthy investigations into the circumstances surrounding the purchases of these securities.
Any recoveries from these legal actions would reduce the total losses resulting from the failure of the five corporate credit unions. The five wholesale credit unions placed into NCUA conservatorship and now liquidated are: U.S. Central, WesCorp, Southwest Corporate, Members United Corporate, and Constitution Corporate.
- MORE -
Page 2
NCUA Media Release – Continued
Lawsuits
“Protecting credit unions and the consumers who own them through effective regulation”
Corporate credit unions are wholesale credit unions that provide various services to retail credit unions, which in turn serve consumers, or “natural persons.” Natural person credit unions rely on corporate credit unions to provide them such services as check clearing, electronic payments and investments.
“While the credit union industry generally fared better than the rest of the financial world over the last few years, the corporate credit union collapse remains the largest crisis ever faced by credit unions,” said Matz. “Fortunately, given the liquidity in the system, the average consumer is insulated from these past losses. However, it remains our statutory duty to replenish the insurance fund that protects consumer deposits by seeking recoveries.”
To obtain copies of the complaint, visit the court’s website or the Pacer reporting service.
NCUA is the independent federal agency created by the U.S. Congress to regulate, charter and supervise federal credit unions. With the backing of the full faith and credit of the U.S. Government, NCUA operates and manages the National Credit Union Share Insurance Fund, insuring the deposits of more than 90 million account holders in all federal credit unions and the overwhelming majority of state-chartered credit unions.