The complainant is Taylor, Bean & Whitaker (TBW), which was a top-10 wholesale mortgage lending firm. The trustees of the company are accusing PwC of negligence in their audits of TBW’s lender, Colonial Bank. In an agreement between the top management of the borrower and the bank, starting from 2002, TBW chairman Lee Farkas sent mortgage data to Colonial Bank for fake loans or those the company …
Accounting giant PricewaterhouseCoopers squared off Tuesday in court with lawyers for a defunct mortgage company’s creditors and investors over a $5.5 billion lawsuit, which claimed the Big Four firm failed through years of audits to uncover massive fraud at a failed Alabama bank. The estimated $21 billion fraud at Colonial Bank of Montgomery, Alabama, was orchestrated by top executives at the …
Two brothers used their company’s money as a “personal piggybank,” a new lawsuit by their former bookkeeper claims, before the startup shut down suddenly last week. Among the expenses attributed to the cofounders were thousands spent on vacations to Hawaii, personal rent for their apartments, trips to competitions in Las Vegas, and a visit to astrip club, the lawsuit states. …
The largest bank in the United States settled a class-action lawsuit this week that stemmed from outcry over excessive fees the institution charged former prison inmates over the last four years. JPMorgan Chase won a government contract in 2008 to furnish inmates freed from all U.S. federal prisons with debit cards connected to money they were sent or earned while …
Canada’s largest grocery chain says it’s trying to verify the accuracy of the coin-counting kiosks in its stores after TD Bank got rid of similar machines from its branches over allegations that they’ve been nickel-and-diming customers. “We are aware of the concerns recently raised about coin-counting machines,” Kevin Groh, the vice-president of corporate affairs and communication …
Reimbursements to Wells Fargo Bank customers in California continue to be doled out following a U.S. Supreme Court ruling in April that denied the bank’s appeal related to a lawsuit involving overdraft fees. Beginning July 1, paper checks were sent to members of a class-action lawsuit who are no longer Wells Fargo customers, according to the bank’s spokesman Kristopher Dahl. Current customers …
NEW YORK An Arab-American family whose business and personal bank accounts were closed in 2014 without explanation can sue JPMorgan Chase for racial discrimination, a federal judge in Detroit has ruled. Filed in February, the lawsuit by Najah Manni, his wife Kathy and their two children says the largest U.S. bank further discriminated against them by terminating a contract with their debt …
HSBC Holdings PLC’s (NYSE:HSBC) restructuring effort could be affected by increased litigation charges, in addition to new proposed regulation by the Basel Committee, for estimating operational risk. HSBC’s unit HSBC Finance Corp has agreed to settle the shareholder claims related to Household International, which are 14-years old, for the payment of worth $1.575 billion. HSC spokesman Rob …
Banking giants have been through tough times over the past decade or so owing to the global economic meltdown but HSBC has lurched from one controversy to the next with alarming regularity. The fallout from …
Last month TD decided to retire its entire 1000-strong fleet of Penny Arcade coin-counting machines following an investigation prompted by an NBC news report which found that machines at five sites in the US were inaccurate. The revelations sparked at least two US lawsuits from short-changed customers and now TD also faces legal action in Canada after a class action suit was commenced in the …