Braden Perry Quoted in Bloomberg Article on Citi Facing ‘Finders Keepers’ in Fighting $500 Million Ruling
As Citigroup Inc. attempts to recover $504 million it accidentally sent to asset managers for Revlon Inc., a 30-year-old legal precedent is making it difficult to get the half billion-dollar decision overturned.
Last summer, instead of making an interest payment as administrative agent on the Revlon loan, Citibank paid the full outstanding $900 million out of its own pocket. Some of the recipients returned the money, while others did not.
“Citigroup has an uphill battle succeeding on an appeal,” said Braden Perry, a partner at Kennyhertz Perry and an expert on legal and regulatory matters. The judge found that the bank’s “six eyes” system, in which three people must approve a transaction, “broke down after a contractor checked the wrong box on a digital payment form,” he noted.
To read this article in full: https://www.bloomberg.com/news/articles/2021-02-17/citi-faces-finders-keepers-law-in-fighting-500-million-ruling
About Kennyhertz Perry’s Financial Services practice group:
Kennyhertz Perry integrates broad regulatory expertise, including compliance and enforcement, with the transactional practices to which that expertise is critical. We are called upon by businesses who need help navigating current and future regulatory challenges stemming from the global financial crisis. To assist our clients in understanding the issues that will affect their industries, entities and transactions, we understand the impact of regulations and requirements of both The Dodd-Frank Wall Street Reform and Consumer Protection Act and a wide variety of U.S. and foreign regulatory reforms targeting investment business and market structures, alternative investment fund managers, private equity and others, central clearing and exchange-trading of derivatives, market abuse and insider dealing, capital regimes, and commodity derivatives.
Kennyhertz Perry attorneys also have broad BSA/AML experience across the spectrum of bank and non-bank financial institutions. These include traditional chartered banks, broker-dealers, commodity trading advisors, money transmitters, non-bank lenders, and virtual currency businesses. We are experienced in counseling and drafting BSA/AML practices, policies, and procedures. Our combined knowledge and skill permit us to anticipate potential problems before they become serious issues and assist clients in responding effectively to regulatory and law enforcement criticisms or inquiries.
Kennyhertz Perry regularly counsels lenders, investment advisers, broker-dealers, and fund managers on the laws, rules, and regulatory developments affecting their business, including regulatory requirements, risk management, licensing and registration, sales and marketing practices and materials, manuals and training, day-to-day compliance.
Kennyhertz Perry, LLC is a business and litigation law firm representing clients in highly regulated industries. The firm was founded by two veteran Kansas City attorneys, John Kennyhertz and Braden Perry. To learn more about the firm, visit kennyhertzperry.com.
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