Federal regulators are billing a Regions Bank subsidiary more than $200 million following a lengthy, multi-state investigation into fraud charges that could force the country’s 12th largest bank to sell its brokerage and investment banking unit.
Regions, a 2,000-plus branch bank headquartered in Birmingham, Ala., has hired Goldman, Sachs & Co. to look at potential new options for Morgan Keegan, or “strategic alternatives” to counter the costly settlement that Morgan Keegan was handed by financial regulators, The Birmingham News reports.
One of those options is selling Morgan Keegan, the corporation's investment banking and brokerage firm that operates in 20 states and employs more than 3,000 people. Banking analysts say selling the subsidiary would be a positive move for the shareholders of Regions, the only bank of its size still receiving government assistance through programs created by the bailouts:
Regions’ announcement came Wednesday at the same time authorities issued details of the settlement, which is the result of an investigation centered on seven proprietary mutual funds sold by Morgan Keegan broker-dealers to more than 30,000 account holders. Those seven funds lost about $1.5 billion during the year ended March 31, 2008.
Morgan Keegan and one of its affiliates, Morgan Asset Management, were accused of making material omissions and misrepresentations in marketing materials and regulatory filings.
The firms also withheld information from the Morgan Keegan sales force, provided preferential treatment to certain customers and failed to adequately supervise their employees, according to the allegations.
The firms did not admit or deny the majority of the allegations.
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Lafayette Regional seeking new leadership after longtime director Greg Roberts’ June resignation.
The U.S. rig count peaked at 4,530 in 1981 and bottomed at 488 in 1999.
The state labor department figures released Friday show the initial claims decreased to 2,068 from the previous week's total of 2,071. For the comparable week a year earlier, there were 2,494 claims.
The struggle for control of the regional flood authority board and its lawsuit against oil and gas companies for wetlands damage has taken an unexpected turn.
U.S. District Judge Carl Barbier agreed several weeks ago to change the compensation formula for any future payments, but he ruled Wednesday that a deal is a deal when it comes to money BP has already paid out.
IberiaBank has already retrofitted many of the Teche Federal Bank locations it acquired in a buyout earlier this year, but some residuals from the estimated $161 million deal are still playing out, namely a federal lawsuit alleging the theft of sensitive information by two former Teche executives.
Both join Russo as brand developers.
Targets of an investigation of alleged corruption within the settlement program for compensating victims of the 2010 Gulf of Mexico oil spill will be in federal court Tuesday.
Excitement over Bell Helicopter’s 505 Jet Ranger X is growing, as is the international demand for the state-of-the-art chopper, which will soon be manufactured at the company’s first-ever Louisiana assembly facility in Lafayette.
The Louisiana Hospital Association, Louisiana Nursing Home Association, Louisiana Pharmacists Association, ambulance providers and intermediate care facilities are pooling their resources and planning for a statewide media buy to promote the passage of the first two constitutional amendments on the November ballot.
New report also reveals negative results of Medicaid cuts.
The Pentagon says two Louisiana companies have Navy contracts worth a total of $26.8 million.
Newcomer to Top 50 among five companies selected for Naval contract
Both sets of figures — adjusted to cancel out seasonal changes — were released by the U.S. Labor Department.
Texas declined by five rigs, West Virginia dropped three and Louisiana was down two.
A federal appeals court in New Orleans has upheld a federal safety board's right to investigate the role of Transocean Deepwater Drilling Corp. in the 2010 Gulf of Mexico oil disaster.
A supporter of a lawsuit against the oil industry has been re-nominated to a seat on a south Louisiana flood control board despite opposition from Gov. Bobby Jindal.
The nominating committee for the Southeast Louisiana Flood Protection Authority-East was set Thursday to nominate applicants for two people on the board whose terms have expired.
Restaurant could see ‘a little facelift,’ Bobby Butcher tells Daily Report.
Attorney General Buddy Caldwell says he won't approve a Cameron Parish Police Jury resolution to hire outside attorneys for such a lawsuit until the resolution is amended. Caldwell's Sept. 15 letter says the resolution must make clear that those attorneys will represent the parish alone — not the state.
Michelle D. Lavergne, who worked for the Lafayette law office of L. Clayton Burgess for 13 years, faces up to 10 years in prison.
Sonnier, former media buyer and account exec at Sides, joins Acadian companies as marketing specialist; Maggard, who most recently worked for Potenza, joins Russo as director of media and PR.
New recreation/fitness trend taking over old Crazy Charlie’s on Ambassador Caffery Parkway.
Authorities said that a Chevron Corp. subsidiary was still releasing natural gas Sunday from a pipeline off the Louisiana coast where a Saturday incident killed a maintenance worker.
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