Economy-LI

Commerzbank fined
3:23 pm
Mon March 16, 2015

NY Moves To Be A 'Laboratory' Of Financial Regulation

Benjamin Lawsky, superintendent of the New York State Department of Financial Services.
Credit AP Photo/Mike Groll

New York's top bank regulator wants to lead the federal government in aggressively cracking down on errant corporations.

Last week the New York Department of Financial Services fined the German Commerzbank $1.4 billion last week, while also requiring the company fire several employees.

"We think New York state can become a real laboratory of democracy when it comes to financial regulation," Ben Lawsky, Superintendent of Financial Services, said last week before University of Albany business students.

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54 percent spike in abandoned homes
9:59 pm
Tue February 17, 2015

NY Attorney General Introducing Bill To Combat Rise Of 'Zombie' Properties

New York's metro area has the highest number of "zombie" foreclosures in the country.
Credit Chart courtesy of RealtyTrac

Long Island is experiencing a spike in "zombie" homes—properties that are often abandoned after their owners receive a notice of foreclosure. They can fall into disrepair, reducing the values of surrounding property and serving as magnets for crime and vandalism.

New York Attorney General Eric Schneiderman is re-introducing legislation to combat the rise of abandoned properties. The bill is aimed at closing the gap of responsibility when a homeowner defaults.

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Despite market rebound, profits scant
6:57 pm
Mon November 10, 2014

Wall Street Bonuses Will Be Flat This Year

Trader Sean Spain works on the floor of the New York Stock Exchange, Monday, June 24, 2013.
Credit AP Photo/Richard Drew

A new survey finds that Wall Street bonuses this year will be flat despite strong gains in the stock market.

This comes as hundreds of new rules take effect pushing the industry away from making risky bets.

In the past those risky bets led to big profits and big bonuses. But the Dodd-Frank Wall Street Reform Act introduced rules requiring banks to keep more cash on hand and curb the kinds of complicated trading that led to the financial collapse in 2008.

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"hundreds of thousands may have been harmed"
2:12 pm
Tue October 21, 2014

NY regulators accuse top lender of repeated abuse

Bank regulators in New York are accusing the nation's largest subprime mortgage lender of errors that might have harmed hundreds of thousands of borrowers.

New York's Department of Financial Services accuses Ocwen Financial of backdating letters warning of foreclosure or unsuccessful loan modifications. This means that by the time a borrower receives a letter from Ocwen, it's already too late to do anything about it.

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$760M increase over 2013
5:52 pm
Thu October 16, 2014

SEC brings record fines for financial wrongdoing

In 2013, Securities and Exchange Commission (SEC) Chair Mary Jo White established a policy of enforcing low-level offenses to deter larger financial crimes.
Credit AP Photo/Carolyn Kaster

The Securities and Exchange Commission says 2014 has brought a record number of fines against traders and others who sought to mislead investors.

This year the commission brought an additional $760 million dollars in fines against wrongdoers, a 22 percent increase compared to year prior. Regulators attribute the increase to smarter use of data and analytical tools to analyze bad behavior.

Also this year, the SEC tried a new approach where more resources are devoted to small infractions in hopes of deterring larger crimes.

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