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☆ She fell in ‘love at first sight’ with an Italian stranger. Within days they were talking about marriage
▼ + stars: | 2024-11-15 | by ( Francesca Street | ) edition.cnn.com time to read: +20 min

“Italian Guy No. 2, so that I could have a friend to hang out with in Italy…”Ambika didn’t really expect Italian Guy No. Italian Guy No. And that’s how, a couple of weeks later, Ambika found herself cooking pasta at the Neapolitan home of Italian Guy No. And as Ambika fell slightly in love with Naples, she also fell all the more in love with Marco.

Persons: Ambika Mathur, Emily, Ambika, ”, Emily flit, Emily ”, she’d, “, Guy No, ” Ambika, Italian Guy No, Italy …, Ambika didn’t, hadn’t, Italian Guy, Guy, Marco Di Fiore —, ” Marco, Marco, Ambika Mathur's, Marco Di Fiore, “ Marco, Riva superyacht, Brigitte Bardot’s, ’ ”, Ambika Ambika, Conca dei Marini, Amalfi, ‘, Marco’s, ‘ Marco, —, Ambika’s, it’s, Michelangelo, Marco —, Ambika can’t, I’m, he’s, ” “, It’s Organizations: CNN, Netflix, CNN Travel, Italian, LAX, Porsche, Marco, ” Locations: Paris, California, Los Angeles, Milan, Italy, Amalfi Coast, Italian, Naples, Amalfi, Neapolitan, It’s, Borgo, Posillipo, Napoli, Conca, Salerno, Rome, United States, Malibu, Beverly Hills, Orange County, SoCal, LA, San Diego, ”, Southern California, Praiano, Amafi, Massa Lubrense, Sorrento, “, India

☆ Ralph Nader Assails Law Firm’s Vow to Exclude Some Campus Protesters
▼ + stars: | 2024-07-30 | by ( Emily Flitter | ) www.nytimes.com time to read: +1 min

Three prominent lawyers, among them the consumer safety activist and four-time presidential candidate Ralph Nader, sent a letter on Tuesday to a leader of the Wall Street law firm Sullivan & Cromwell to condemn the firm’s policy of scrutinizing job applicants’ participation in protests over Israel’s war in Gaza. The letter, addressed to Joseph C. Shenker, one of the firm’s two senior chairs, was the most prominent criticism of Sullivan & Cromwell’s policy yet from within the legal field. It was also signed by Bruce Fein, a Justice Department official under President Ronald Reagan, and Lou Fisher, a constitutional scholar who worked for 40 years at the Library of Congress. Sullivan & Cromwell said in May that it would use a background-check company to review job applicants’ involvement with pro-Palestinian student groups and in antiwar protests for statements and slogans it deemed to be “triggering” to Jews, including the ubiquitous protest slogan “From the river to the sea, Palestine will be free.”Under the policy, applicants risk being disqualified for a job at the firm even if they weren’t using problematic language themselves but were involved with a protest where others did.

Persons: Ralph Nader, Sullivan, Cromwell, Joseph C, Bruce Fein, Ronald Reagan, Lou Fisher Organizations: Wall, Justice Department, Library of Congress, Sullivan Locations: Gaza, Palestine

☆ Real Estate Crisis? Small Banks Say Their Loans Are Fine.
▼ + stars: | 2024-07-24 | by ( Matthew Goldstein | Emily Flitter | ) www.nytimes.com time to read: +1 min

Small banks are feeling misunderstood. Investors worry that those banks could be a crisis waiting to happen. But executives at these firms — which number about 4,100 in total — say there is an important distinction, and some industry analysts concur. They caution that small banks are being lumped in with lenders to the owners of half-empty towers in Manhattan, San Francisco and Chicago, which are in the most trouble. Instead, a majority of commercial building loans by community banks are for smaller buildings — like those housing doctors and local businesses — that tend to be fully leased.

Organizations: Investors Locations: Manhattan, San Francisco, Chicago

☆ Flight Delays and Cancellations Continue Saturday but in Lower Numbers
▼ + stars: | 2024-07-20 | by ( Niraj Chokshi | Emily Flitter | ) www.nytimes.com time to read: +1 min

Airlines made progress toward containing the fallout from a tech outage that disrupted global travel on Friday, though some flight delays and cancellations extended into Saturday. In all, about 3,400 flights to, from and within the United States were canceled on Friday, according to FlightAware, a company that tracks flight information. That made it the worst day of the year for flight cancellations, beating Jan. 15 when airlines besieged by bad winter storms canceled nearly 3,200 flights in the United States. Delays and cancellations on Saturday appeared on track to be much lower than on Friday. Most of the flight cancellations on Saturday were concentrated in the morning and early afternoon, Delta said.

Persons: Jan, Delta Organizations: Airlines, Delta Air Lines, United Airlines, “ Delta Locations: United States, “

☆ By Burning Down Buildings, Insurers Want to Change How They’re Built
▼ + stars: | 2024-07-15 | by ( Emily Flitter | ) www.nytimes.com time to read: +1 min

The insurance industry is setting homes on fire — just to make a point. The fires are controlled, kindled in a research lab or staged at training facilities used by fire departments. Across the United States, insurers lost $33 billion in 2023 on personal home and auto insurance, according to AM Best, a ratings agency for the industry. In California, where fires have consumed more than roughly 220,000 acres of land in just this year, major insurers like State Farm, Allstate and Farmers have all pulled back. Earlier this month, State Farm asked California’s insurance regulator to approve a 30 percent rate increase for the owner-occupied home insurance it still provides in the state.

Organizations: Farm, Allstate, Farmers Locations: Lahaina, Maui, United States, California

☆ Biden’s Pick to Lead F.D.I.C. Faces Little Resistance in Senate Hearing
▼ + stars: | 2024-07-11 | by ( Emily Flitter | ) www.nytimes.com time to read: +1 min

With a broad smile and crisply delivered answers, Christy Goldsmith Romero, President Biden’s nominee to take over the Federal Deposit Insurance Corporation, appeared to cruise through her Senate confirmation hearing on Thursday. Ms. Goldsmith Romero’s testimony, before the Senate Banking Committee, is the first step in a process that could put her in charge of the regulator that oversees smaller banks, administers the fund that protects bank depositors’ cash and steps in when a bank fails; it was recently roiled by revelations of widespread sexual harassment and abuse of junior employees by their longtime managers. Over the course of the hearing on Thursday, Ms. Goldsmith Romero’s testimony drew praise not only from Democrats but also from some Republicans, suggesting that she was likely to be confirmed for the position. Ms. Goldsmith Romero is a lawyer who, after the financial crisis, spent more than 12 years in an office created by Congress to investigate fraud and other misconduct by banks that received money from the government’s roughly $450 billion crisis rescue package. Her work exposing fraud often put her at odds with not only bankers but also some government officials who were concerned about the potential damage it would do to overall public opinion of the bailout.

Persons: crisply, Christy Goldsmith Romero, Biden’s, Ms, Goldsmith Romero’s, Goldsmith Romero Organizations: Federal Deposit Insurance Corporation, Banking Committee

☆ A Wall Street Law Firm Wants to Define Consequences of Anti-Israel Protests
▼ + stars: | 2024-07-08 | by ( Emily Flitter | ) www.nytimes.com time to read: +1 min

The protests intensified this year until campuses emptied out for the summer. Now, a prominent Wall Street law firm is taking a more direct approach with protesters. Sullivan & Cromwell, a 145-year-old firm that has counted Goldman Sachs and Amazon among its clients, says that, for job applicants, participation in an anti-Israel protest — on campus or off — could be a disqualifying factor. The firm is scrutinizing students’ behavior with the help of a background check company, looking at their involvement with pro-Palestinian student groups, scouring social media and reviewing news reports and footage from protests. It is looking for explicit instances of antisemitism as well as statements and slogans it has deemed to be “triggering” to Jews, said Joseph C. Shenker, a leader of Sullivan & Cromwell.

Persons: they’ve, —, Cromwell, Goldman Sachs, Joseph C, Sullivan Organizations: Amazon Locations: United States, Gaza, Israel

☆ Former Bank Bailout Watchdog Is Choice to Lead F.D.I.C.
▼ + stars: | 2024-06-13 | by ( Emily Flitter | ) www.nytimes.com time to read: +1 min

Christy Goldsmith Romero, a lawyer who spent more than a decade rooting out fraud and other bad behavior at banks that received federal aid in the wake of the 2008 financial crisis, has been chosen to be the next leader of the Federal Deposit Insurance Corporation, the White House announced on Thursday. Her pick is the first step in President Biden’s quest to quickly replace the current chair, Martin Gruenberg, the bank regulator’s longtime leader who said last month that he would resign in response to reports of vast workplace abuse and harassment at the agency. If the Senate Banking Committee acts quickly to hold a hearing and a vote on Ms. Goldsmith Romero’s candidacy, she has a chance of assuming the role before the presidential election in November. In a statement emailed to reporters, the committee’s chairman, Sherrod Brown, Democrat of Ohio, said Ms. Goldsmith Romero “would bring to the F.D.I.C. decades of financial services experience, including valuable experience.”“She has proven herself to be a strong, independent and fair regulator who is not afraid to do what’s right,” he said.

Persons: Christy Goldsmith Romero, Biden’s, Martin Gruenberg, Goldsmith Romero’s, Sherrod Brown, Goldsmith Romero “, ” Organizations: Federal Deposit Insurance Corporation, White, Committee, Democrat Locations: Ohio

☆ Biden Nears Pick for Next F.D.I.C. Chair
▼ + stars: | 2024-06-11 | by ( Emily Flitter | ) www.nytimes.com time to read: +1 min

Three weeks after President Biden vowed to pick a new leader for the Federal Deposit Insurance Corporation, the bank regulator shaken by a vast workplace abuse scandal, a front-runner has emerged: Christy Goldsmith Romero, who sits on the five-member Commodity Futures Trading Commission, according to two people with knowledge of the administration’s thinking. Ms. Goldsmith Romero is a lawyer who, after the financial crisis, spent more than 12 years in an office created by Congress to investigate fraud and other misconduct by banks that received money from the government’s roughly $450 billion crisis rescue package, the Troubled Asset Relief Program. From 2011 to 2022, Ms. Goldsmith Romero led the office as the special inspector-general for the program. Mr. Biden has not made a final decision. Ms. Goldsmith Romero’s position as the front-runner for the job was first reported by The Wall Street Journal.

Persons: Biden, Christy Goldsmith Romero, Goldsmith Romero, Goldsmith Organizations: Federal Deposit Insurance Corporation, Futures Trading Commission, Troubled Asset, Wall Street

☆ Bank Regulator Overseeing ‘Toxic’ Culture Loses Key Supporter in Senate
▼ + stars: | 2024-05-20 | by ( Emily Flitter | ) www.nytimes.com time to read: +1 min

He called for Mr. Biden to nominate a successor and for the Senate to quickly confirm that person, who could then take over for Mr. Gruenberg. “There must be fundamental changes at the F.D.I.C.,” Mr. Brown said. “Those changes begin with new leadership, who must fix the agency’s toxic culture and put the women and men who work there — and their mission — first.”An F.D.I.C. spokesman declined to comment. Since then, Mr. Gruenberg has faced some calls to resign from members of both political parties who said they felt he had played too big a role in shaping the agency’s culture in recent years, including by making the agency’s staff fear communicating with him.

Persons: Sherrod Brown of, Biden, Martin Gruenberg, Brown, Gruenberg, ” Mr, Cleary Gottlieb Organizations: Federal Deposit Insurance Corporation, Banking Committee, Senate, Mr, Street Locations: Sherrod Brown of Ohio

☆ What the Supreme Court Ruling Means for Other Consumer Bureau Actions
▼ + stars: | 2024-05-16 | by ( Emily Flitter | Stacy Cowley | ) www.nytimes.com time to read: +1 min

But the ruling falls far short of eliminating the bureau’s legal obstacles. Immediately after the ruling was announced, lawyers for the bureau, which is charged with preventing consumer abuse in the financial industry, began preparing dozens of legal filings to try to unfreeze its activities. Among them are requests to federal judges to end stays on new rules and on subpoenas to financial firms. While the Supreme Court’s ruling should resolve a few of the stays, the bureau will still struggle to overcome other roadblocks. He noted that Justice Samuel A. Alito Jr.’s dissent cited three recent consumer bureau actions that, in Justice Alito’s view, would be “major changes” in consumer protection law.

Persons: ”, Graham Steele, Samuel A, Alito Jr, ’, Alito’s Organizations: Consumer, Treasury Department

☆ Democrats Batter Bank Regulator Over F.D.I.C.’s ‘Toxic’ Workplace Culture
▼ + stars: | 2024-05-15 | by ( Emily Flitter | ) www.nytimes.com time to read: +1 min

Martin Gruenberg is still the leader of the Federal Deposit Insurance Corporation, an agency that supervises U.S. banks, but after a bipartisan grilling on Wednesday by members of a House committee overseeing bank regulators, he appeared to be hanging on by a thread. Democrats expressed dismay over his responses to the crisis at his agency, after a scathing report of a culture of widespread sexual harassment and discrimination. One congresswoman appeared to call for him to resign, as Republicans have been doing for months. “Personally, I do not have confidence that you can continue to lead in this role,” Representative Ayanna S. Pressley, Democrat of Massachusetts, told Mr. Gruenberg during an exchange. (Two other federal bank regulators, the acting comptroller of the currency, Michael Hsu, and the Federal Reserve vice chair, Michael Barr, also offered testimony on bank regulatory matters, but much of the committee’s focus was on the F.D.I.C.)

Persons: Martin Gruenberg, Ayanna S, Pressley, Gruenberg, “, Michael Hsu, Michael Barr Organizations: Federal Deposit Insurance Corporation, Federal Reserve Locations: Massachusetts

☆ Why Is Car Insurance So Expensive?
▼ + stars: | 2024-05-15 | by ( Emily Flitter | ) www.nytimes.com time to read: +1 min

If your car broke down two years ago, it probably became a bigger problem than you bargained for. A confluence of forces were to blame: The Covid pandemic disrupted supply chains, pushing used car prices to record highs and making spare parts hard to get; out-of-practice drivers emerging from lockdowns caused more severe wrecks; and technological advancements like motion sensors made even the simplest parts, like a fender or a rim, expensive to replace. Things have since improved for car owners — except when it comes to insurance bills. Car insurers are still raising prices steeply: The price of motor vehicle insurance rose more than 22 percent in the year through March, the fastest pace since the 1970s, according to the Bureau of Labor Statistics. According to calculations by the Insurance Information Institute, a trade group, the average 12-month premium for car insurance was $1,280 in 2023, the industry’s most recent figures.

Organizations: Bureau of Labor Statistics, Insurance Information Institute

☆ Under Fire for ‘Toxic’ Work Culture, Bank Regulator Apologizes Again
▼ + stars: | 2024-05-14 | by ( Emily Flitter | ) www.nytimes.com time to read: +1 min

Just days after the release of a scathing report detailing a culture of widespread sexual harassment and discrimination at the Federal Deposit Insurance Corporation, its chair, Martin Gruenberg submitted congressional testimony on Tuesday that indicated he had no plans to step down. “I accept the findings of the report and, as chairman, I take full responsibility,” he said. The hearings come as Mr. Gruenberg, a Democrat, faces calls from Republican lawmakers to resign. He has so far survived those demands with the backing of the White House and key Democratic lawmakers like Senator Sherrod Brown of Ohio, Senator Elizabeth Warren of Massachusetts and Representative Maxine Waters of California. Should Mr. Gruenberg be pressured to depart the agency after the hearings, that could also put into jeopardy a rule that the agency is proposing along with other federal bank regulators, to tighten and expand oversight of the nation’s largest lenders, but which has been fiercely opposed by big banks.

Persons: Martin Gruenberg, Gruenberg, ”, Sherrod Brown of, Elizabeth Warren of, Maxine Waters Organizations: Federal Deposit Insurance Corporation, Financial, Democrat, White, Elizabeth Warren of Massachusetts Locations: Sherrod Brown of Ohio, California

☆ Behind Nigeria’s Arrest of Binance Employee, Claims of a Bribe Request
▼ + stars: | 2024-05-07 | by ( David Yaffe-Bellany | Emily Flitter | ) www.nytimes.com time to read: +1 min

Mr. Gambaryan, a former U.S. law enforcement agent, understood the message as a request for a bribe from someone in the Nigerian government, according to five people familiar with the matter and messages reviewed by The New York Times. He and a group of his Binance colleagues had just met with Nigerian legislators, who accused the company of tax violations and threatened to arrest its employees. Later that month, Mr. Gambaryan wrote a three-page report describing the payment request and gave it to Binance’s lawyers, two people familiar with the report said. The episode was the backdrop for a second trip to Nigeria that Mr. Gambaryan took in February. On his return, he and a colleague, Nadeem Anjarwalla, were arrested by the Nigerian authorities, setting off a crisis at Binance.

Persons: Tigran Gambaryan, Gambaryan, Nadeem Anjarwalla Organizations: The New York Times Locations: Nigeria, U.S, Nigerian, Binance

☆ Inquiry Finds a Toxic Culture at the F.D.I.C., and Takes Aim at Its Leader
▼ + stars: | 2024-05-07 | by ( Emily Flitter | ) www.nytimes.com time to read: +1 min

A report on workplace culture at the Federal Deposit Insurance Corporation released on Tuesday revealed a broad, yearslong pattern of sexual harassment, discrimination and abuse of mostly women and members of minority groups by senior officials. The findings are likely to lead to another potentially bruising round of questions for the agency’s chair, Martin Gruenberg, who is scheduled to testify in Congress later this month. It described “fiefdoms” in regional offices, where senior managers protected other longtime employees from potential consequences stemming from more junior employees’ claims of mistreatment. Examples of the behavior, including senior examiners texting junior women pictures of their genitalia or taking them to brothels, were first reported by The Wall Street Journal in November. Tuesday’s report was the result of an independent investigation by Cleary Gottlieb, which was hired by a special committee created by the agency’s board after The Journal’s report.

Persons: Martin Gruenberg, ”, “, Cleary Gottlieb, ’, Tuesday’s Organizations: Federal Deposit Insurance Corporation, Wall Street

☆ How a Crypto Compliance Officer Ended Up in a Nigerian Prison
▼ + stars: | 2024-04-18 | by ( David Yaffe-Bellany | Emily Flitter | ) www.nytimes.com time to read: +1 min

When he flew to Nigeria for a business trip in late February, Tigran Gambaryan, a top compliance officer at the cryptocurrency exchange Binance, packed a small suitcase with just enough clothes for two days. A former U.S. law enforcement agent, Mr. Gambaryan knew the trip was risky. Only a few weeks earlier, he and a group of colleagues had rushed out of Nigeria, concerned that the local authorities might detain them, five people familiar with that trip said. This time, he assured his wife, he would “get in and get out.”A month and a half later, Mr. Gambaryan is being held at Kuje prison in the Nigerian capital of Abuja, a complex that has housed Islamic State militants and Boko Haram fighters. After meeting with government officials in Abuja on Feb. 26, Mr. Gambaryan, 39, and a Binance colleague, Nadeem Anjarwalla, were abruptly escorted to a guesthouse controlled by Nigerian security officials, where they were held for nearly a month with no formal charges filed against them.

Persons: Tigran Gambaryan, Gambaryan, “, Nadeem Anjarwalla Organizations: Islamic Locations: Nigeria, ”, Abuja

On the day the Francis Scott Key Bridge in Baltimore collapsed, President Biden said the federal government would pay the “entire cost” of rebuilding it, which some suggest could run to more than $1 billion. Washington will foot the bill so the bridge and nearby port can reopen “as soon as humanly possible,” he said. Rebuilding the bridge, repairing the cargo ship that hit it and compensating companies for the disruption at one of the nation’s busiest ports may take years to resolve. “We’re not going to wait,” said Mr. Biden, who plans to visit Baltimore on Friday to survey the damage. They cited an 1851 law that allows a shipowner to cap financial damages mostly to the value of a ship after a crash, if the owner is determined not to have been at fault.

Persons: Francis Scott Key, Biden, ”, “ We’re, Mr Organizations: Baltimore, Grace Ocean Private Ltd, Synergy Marine Locations: Baltimore, Washington, “, Singapore, U.S

☆ JPMorgan Fined $348 Million for Lapses in Trade Monitoring
▼ + stars: | 2024-03-14 | by ( Emily Flitter | More About Emily Flitter | ) www.nytimes.com time to read: +1 min

Those lapses are costing it more than $348 million in fines — and more could follow. On Thursday, the bank’s main federal regulator, the Office of the Comptroller of the Currency, fined the JPMorgan $250 million over the omissions. The action followed a $98.2 million penalty from the Federal Reserve on March 8. Brian Marchiony, a JPMorgan spokesman, said the bank found the problems on its own and notified regulators. JPMorgan did not expect any services to customers to be disrupted as it works to fix the problems, he said.

Persons: JPMorgan Chase, Brian Marchiony Organizations: JPMorgan, Currency, Federal Reserve Locations: trillions

☆ States Dig Into Homeowners Insurance and Why It’s Hard to Buy
▼ + stars: | 2024-03-08 | by ( Emily Flitter | Christopher Flavelle | ) www.nytimes.com time to read: +1 min

State regulators around the country asked hundreds of insurance companies on Friday to provide the details of how they price and structure their homeowner policies, part of an attempt to dig into why many property owners are struggling to get and keep coverage. The National Association of Insurance Commissioners, the group representing the regulators, said that state agencies wrote to more than 400 companies asking them for detailed data on their homeowners’ insurance businesses. The association’s president, Andrew N. Mais, who is Connecticut’s insurance commissioner, said in a statement on the group’s website that the request was made to “address the critical challenge of the affordability and availability of homeowners’ insurance and the financial health of insurance companies.”Inflation and increasingly severe weather driven by climate change have recently upended many local markets for homeowners insurance. Some major insurers have pulled out of states including Florida and California. In those places, and in others hit hard by catastrophic events like windstorms and wildfires, some homeowners have slashed their coverage to deal with the rising costs of insurance.

Persons: Andrew N Organizations: National Association of Insurance Locations: Florida, California

☆ As Home Insurance Bills Go Up, Owners’ Coverage Is Going Down
▼ + stars: | 2024-02-16 | by ( Emily Flitter | ) www.nytimes.com time to read: +1 min

Robert Shiver’s bill for his homeowner insurance jumped from $3,800 in 2022 to $8,000 in July. Mr. Shiver, 40, who lives about 20 miles east of Tampa, Fla., did not pay the bill. Instead, he worked with his insurance agent to shave off parts of his coverage, lowering the estimate for how much the insurer would have to pay to potentially rebuild his house from around $710,000 to about $560,000. Shrinking the coverage lowered his bill to just under $5,000, a huge relief, he said, since he would again be able to make his monthly mortgage and insurance payment. In the insurance business, Mr. Shiver might now be considered “underinsured,” meaning that his policy may not be sufficient to cover a rebuild after catastrophic losses.

Persons: Robert Shiver’s, “, ” Locations: Tampa, Fla

☆ Big Dreams Come Back to Bite New York Community Bank
▼ + stars: | 2024-02-08 | by ( Rob Copeland | Emily Flitter | ) www.nytimes.com time to read: +1 min

During last spring’s banking crisis, when a competing lender went under, New York Community Bank pounced, acquiring a big chunk of its business. The pain stems largely from a weakening commercial real estate market that impelled NYCB — which operates more than 400 branches under brands including Flagstar Bank — to admit to mounting losses. After the bank rushed to project stability, including by releasing a new set of financial disclosures on Tuesday evening that one analyst termed a “late night news dump,” shares rose 7 percent on Wednesday. Whether its efforts will stick is an open question. NYCB executives, who just a week ago had been tight-lipped about the bank’s finances, opened up the books on Wednesday and laid out turnaround plans on a public conference call.

Persons: Flagstar Bank — Organizations: New York Community Bank pounced, Flagstar Bank, Signature Bank

☆ Banks Sue Regulators Over Anti-Redlining Rule
▼ + stars: | 2024-02-05 | by ( Emily Flitter | More About Emily Flitter | ) www.nytimes.com time to read: +1 min

Some of the banking industry’s most powerful trade groups sued the Federal Reserve, the Federal Deposit Insurance Corporation and the Office of the Comptroller of the Currency on Monday, claiming that the regulators overstepped their authority in updating a law meant to reverse the effects of redlining. In October, the regulators imposed new frameworks for assessing whether banks are abiding by the 1977 Community Reinvestment Act, which requires banks to do business in neighborhoods made up largely of racial minorities or low-income households that they typically shunned. The lawsuit said the rule was “a complicated and burdensome regime” and might “ultimately result in reduced lending to the very populations that the C.R.A. was designed to benefit.”The suit was filed by the American Bankers Association, the Independent Community Bankers of America and the U.S. Chamber of Commerce, trade groups that represent virtually all U.S. banks. Several Texas groups joined as plaintiffs, allowing the Washington-based groups to sue in federal court in that state, where they have already won favorable rulings against the regulators.

Persons: “ Organizations: Federal Reserve, Federal Deposit Insurance Corporation, American Bankers Association, Independent Community Bankers of America, U.S . Chamber of Commerce, Texas Locations: Washington

☆ What Is the Basel III Endgame, and Why Are Banks So Upset About It?
▼ + stars: | 2024-01-18 | by ( Emily Flitter | ) www.nytimes.com time to read: +1 min

An unlikely coalition of banks, community groups and racial justice advocates is urging federal regulators to rethink the plan they proposed in July to update rules governing how U.S. banks protect themselves against potential losses. Financial regulators around the world, including in the Europe Union and Britain, are adopting similar standards. Banks have long complained that holding too much capital forces them to be less competitive and restrict lending, which could hurt economic growth. What’s interesting about the latest proposal is that groups that don’t traditionally align themselves with banks are joining in the criticism. “This is the biblical dynamic: Capital goes up, banks yell,” said Isaac Boltansky, an analyst at the brokerage firm BTIG.

Persons: Banks, ”, Isaac Boltansky Organizations: Europe Union Locations: Europe, Britain

☆ Biggest U.S. Banks Earn Billions, Even After Insurance Bill
▼ + stars: | 2024-01-12 | by ( Emily Flitter | Stacy Cowley | ) www.nytimes.com time to read: +1 min

The nation’s largest banks are churning out profits as interest rates remain high, even though the lenders have had to set aside billions of dollars to replenish a deposit insurance fund that was heavily depleted by a crisis among midsize banks last spring. Citigroup, which is in the midst of a global restructuring, reported a net loss of $1.8 billion for the quarter, compared with a profit of $2.5 billion a year earlier. In the last quarter of 2023, JPMorgan earned $9.3 billion, or $3.04 per share, compared with $11 billion a year earlier. A special assessment by the Federal Deposit Insurance Corporation had reduced per-share earnings by 74 cents, the bank said. Analysts had been expecting per-share earnings of around $3.32, so investors considered the bank’s performance to be a win once the F.D.I.C.’s one-time bill of $2.9 billion was taken into account.

Persons: Jane Fraser Organizations: JPMorgan Chase, Bank of America, Citigroup, JPMorgan, Federal Deposit Insurance Corporation Locations: Wells, Russia, Argentina

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