New York Banking Regulator Probes Pwc, Promontory

The subpoenas, issued by the New York State Department of Financial Services, are part of a probe of the independence of consultants retained by banks, often at the behest of regulators. State and federal authorities have increased scrutiny of the financial services consulting industry since the firms were hired to review foreclosure abuses in 2011 and billed more than $2 billion before regulators canceled the project. The probe of PwC focuses on its work for Bank of Tokyo-Mitsubishi UFJ, according to the people with knowledge of the matter, who were not authorized to speak publicly. In June, Bank of Tokyo-Mitsubishi agreed to pay New York state $250 million for deleting information from $100 billion in wire transfers that authorities could have used to police transactions with sanctioned countries like Iran. PwC consulted on a review of the transactions and over the course of the summer turned over to New York documents related to that review, according to one of the sources. The investigation is ongoing, that source said. A PwC spokeswoman declined comment. Promontory is being probed in connection with its work for British-based Standard Bank and another bank, the source said. The source would not identify the second bank. Promontory did a review of Standard Chartered’s improper transactions, the source said. Promontory did not immediately return a call for comment. Last year, Standard Chartered agreed to pay $340 million to New York over transactions linked to Iran and other sanctioned countries. Deloitte LLP’s financial advisory unit, which also did consulting work for the bank, settled with New York in June. New York had accused Deloitte of omitting key information in a report to regulators after reviewing Standard Chartered’s operations. Deloitte agreed to pay $10 million and refrain from new business with New York-regulated banks for a year.

New York City mourns Sept. 11 victims

American flags decorate a name on the 9/11 Memorial during a ceremony marking the 12th anniversary of the Sept. 11, 2001, terrorist attacks at the World Trade Center site in New York City. Ceremonies honored the nearly 3,000 people killed when hijacked airliners slammed into the World Trade Center, the Pentagon and a field in Shanksville, Pa.

11, 2001, had only to see the date on their iPhone or calendar for a split-second reminder of today’s anniversary. It marks the day that hijackers crashed two commercial jets into the iconic twin towers, killing nearly 3,000 people. Most people can clearly recall the moment they first heard the devastating news. They can still picture the towers smoking, then falling. Yet as time has passed, how we observe the anniversary has evolved, even diminished. The news coverage is less. The sadness and anxiety aren’t as palpable. There is less fear when flying or riding public transportation. STORY: 9/11 anniversary a time of remembrance, reflection It was inevitable things would change. Some who lost a spouse have remarried. Toddlers who lost parents are in high school. Adolescents have grown into young professionals. Kevin Parks, 26, whose father died when the towers crumbled, said he would skip Wednesday morning’s formal memorial ceremony and go to his job at a Midtown hedge fund, where he would feel a sense of comfort around his colleagues. American flags decorate a name on the 9/11 Memorial during a ceremony marking the 12th anniversary of the Sept. 11, 2001, terrorist attacks at the World Trade Center site in New York City. Ceremonies honored the nearly 3,000 people killed when hijacked airliners slammed into the World Trade Center, the Pentagon and a field in Shanksville, Pa. Pool photo by David Handschuh Grissel Valentin, left, and Eileen Esquilin, who both lost family members on Sept. 11, 2001, embrace at the edge of the North Pool at the 9/11 Memorial in New York. Pool photo by Justin Lane Fullscreen Gordon Felt, left, president of Families of Flight 93, escorts an emotional Secretary of the Interior Sally Jewell after they placed a wreath at the Flight 93 Memorial Wall of Names in Shanksville, Pa.