S&P Global Market Intelligence rounds up a selection of recent legal and regulatory developments in the bank space.
* ESSA Bancorp gets court victory in lawsuit alleging unearned fees, kickbacks
ESSA Bancorp Inc. got a victory in court as a lawsuit over alleged unearned fees and kickbacks was dismissed, though the plaintiff is appealing the ruling, the Stroudsburg, Pa.-based company disclosed.
* DOJ indicts former JPMorgan trader in currency price-fixing case
The U.S. Department of Justice indicted a former JPMorgan Chase & Co. trader on charges of conspiracy to fix currency prices on several market currencies, the Financial Times reported May 10.
* New York-based Municipal CU's CEO charged with embezzlement, fraud
Municipal CU President and CEO Kam Wong was charged in Manhattan federal court with one count each of embezzlement from a federally insured credit union, bank fraud, wire fraud and aggravated identify theft, according to a press release from the Department of Justice.
* DOJ settles discrimination case with Minnesota-based KleinBank
The U.S. Department of Justice on May 8 settled its suit against Chaska, Minn.-based KleinBank, a unit of Klein Financial Inc.
* IBERIABANK suing two insurers to recoup $11.7M payment in settlement
IBERIABANK Corp. is suing two insurance companies to recoup $11.7 million that it paid to settle a case in federal court.
* PNC settles captive reinsurance suit, faces suit over FHA reimbursement
PNC Financial Services Group Inc. agreed to settle a 2011 lawsuit that accused National City Corp. of improperly structuring its captive reinsurance mortgage program in violation of the Real Estate Settlement Procedures Act.
* Ex-CEO of First Legacy Community CU pleads not guilty to fraud charges
Former First Legacy Community CU President and CEO Saundra Torrence pleaded not guilty to 13 felony counts of theft and embezzlement, 19 felony counts of making false entries and one felony count of fraudulent participation in U.S. District Court, the Credit Union Times reported May 4.
* Former Okla. bank president sentenced to 18 months in prison
Chief U.S. District Judge Joe Heaton sentenced former First State Bank President Stephen Gregory Ward to 18 months in prison for conspiring to misapply bank funds, according to a press release from the Department of Justice.