Articles Tagged with ''RMBS settlement''

Wells Fargo to pay $43 million to settle pre-crisis RMBS trust lawsuit

Reaches settlement with investors, including BlackRock and PIMCO
In the past few years, Wells Fargo, once thought of as a shining example in the financial services industry, has been dragged down by scandal after scandal followed by settlement after settlement. Well, guess what? It’s a day that ends in "y," and that means it's time for another Wells Fargo settlement.
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Nomura paying $480 million in settlement over pre-crisis mortgage bonds

Accused of misleading RMBS investors, including Fannie Mae and Freddie Mac
Nomura Holding America and several of its affiliates will pay $480 million in a settlement with the Department of Justice over the companies’ mortgage bond activities in the run-up to the financial crisis. The DOJ claimed that Nomura misled investors, which included university endowments, retirement funds, federally insured financial institutions, Fannie Mae, and Freddie Mac, about the quality of the underlying loans between 2006 and 2007.
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HSBC to pay $765 million in settlement over pre-crisis mortgage bonds

DOJ accused bank of selling mortgage-backed securities full of toxic loans
HSBC will pay $765 million to the federal government as part of a settlement that covers the bank’s mortgage bond activities in the run-up to the housing crisis. The Department of Justice announced Tuesday that it reached a final settlement with HSBC that would resolve an investigation into the bank’s mortgage origination and securitization activities from 2005 to 2007.
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HSBC agrees to $765 million settlement with DOJ over pre-crisis mortgages

Plus $26.8 million settlement with Massachusetts
HSBC revealed Monday that it recently agreed to a “settlement-in-principle” with the Department of Justice that would see the bank pay a $765 million civil penalty that would resolve an investigation into the bank’s mortgage origination and securitization activities from 2005 to 2007. But that's not the only pending settlement for the London-based bank.
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RBS to pay $20 million to Illinois pension funds over crisis-era mortgage bonds

New settlement is bank’s eighth such settlement in recent years
For the third time this year, the Royal Bank of Scotland is about to pay up over the bank’s mortgage practices in the run-up to the housing crisis. RBS has already reached a nearly $5 billion settlement with the Department of Justice and a $500 million settlement with the state of New York. Now, the bank has agreed to a new $20 million settlement with the state of Illinois.
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Merrill Lynch ordered to pay $15.7M for cheating customers in mortgage bond trades

SEC orders company to pay up for misleading customers
Merrill Lynch will pay $15.7 million to settle allegations that its employees misled mortgage bond customers and overcharged those customers residential mortgage-backed securities trades during a three-year period from 2009 through 2012, the Securities and Exchange Commission announced this week.
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RBS reaches $4.9 billion settlement with DOJ over pre-crisis mortgage bonds

Proposed settlement would be far less than originally estimated
For the second time this year and at least the seventh time in recent memory, the Royal Bank of Scotland is about to cut a massive check as part of a settlement over the bank’s mortgage practices in the run-up to the housing crisis. Back in March, it was a $500 million settlement with the state of New York. Now, RBS is preparing for a nearly $5 billion settlement with the DOJ that would cover the bank’s issuance and underwriting of mortgage-backed securities between 2005 and 2007.
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Barclays agrees to pay $2 billion to settle crisis-era RMBS fraud charges

Two subprime mortgage bond traders also fined $2 million
Barclays Capital will pay $2 billion to the federal government to settle charges brought against the bank by the Department of Justice, which accused the company of misleading investors about the quality of the underlying subprime and Alt-A mortgages in $31 billion in mortgage bonds, which, as the DOJ put it, “proved to be catastrophic failures.”
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