New York State Banking Department Settles Fair Lending Claims

February 19, 1998
In a novel state action, The Roslyn Savings Bank ("Roslyn"), a New York State chartered savings bank, and its mortgage banking subsidiary, Residential First, Inc. ("RFI"), agreed to settle fair lending claims brought by the New York State Banking Department ("Banking Department") under New York law prohibiting unlawful discriminatory practices in relation to credit. The action is particularly interesting because it is the first fair lending enforcement claim brought by a state rather than by the Department of Justice. Reprinted by permission of Fried, Frank, Harris, Shriver & Jacobson.