Santander Consumer USA Receives DOJ Subpoena
DALLAS, Texas — In an August 7 filing with the Securities and Exchange Commission, Santander Consumer USA revealed that the U.S. Department of Justice (DOJ) has issued a subpoena to the finance source, requesting documents related to subprime auto loans. Citing the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA), the DOJ requested ... Read More »
DALLAS, Texas — In an August 7 filing with the Securities and Exchange Commission, Santander Consumer USA revealed that the U.S. Department of Justice (DOJ) has issued a subpoena to the finance source, requesting documents related to subprime auto loans.
Citing the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA), the DOJ requested Santander provide documents and communications “that, among other things, relate to the underwriting and securitization of nonprime auto loans since 2007,” according to the filing.
“We are cooperating with this request,” the filing stated.
Like GM Financial, which reported in a SEC filing Monday that it received such a subpoena on July 28, Santander did not refer to the DOJ’s actions as anything other than a standard legal proceeding “arising in the normal course of business.”
In the past, the DOJ has used the FIRREA to go after finance sources in the mortgage area. Last month, Citigroup was ordered by the DOJ to pay the largest civil penalty under FIRREA in history — $4 billion — for its conduct in the packaging, securitization, marketing, sale and issuance of residential mortgage-backed securities prior to Jan. 1, 2009.
“We have recorded no material reserves for any cases and do not believe that there are any proceedings threatened or pending that would have a material adverse effect on us if determined adversely,” Santander concluded in its filing.
More Industry
Pennsylvania Dealership Under New Retailers
The sale of the Chrysler Dodge Jeep Ram store puts a family auto group on a leaner path as first-time dealers take the helm.
Read More →
Battery Storage Takes Priority Over EVs
U.S. automakers are prioritizing battery energy stationary storage over electric-vehicle production as the consumer demand for EVs lags the rest of the world.
Read More →
Auto Dealers Feel Better But Not Great
A second-quarter Cox Automotive poll of franchised retailers and independents found better views of the current market after a good spring but anticipation of third-quarter storminess.
Read More →
New-Vehicle Sales Picture Relative
A May forecast is complicated by last spring’s trade tariff effects on auto retail. Despite continued hard realities, many consumers took advantage of ways to bite the bullet.
Read More →
Auto Group Acquires Third Nissan Rooftop
Iowa-based Coleman Automotive Group recently acquired its seventh dealership, McGrath Nissan, which it renamed Nissan of Elgin.
Read More →
April Less Affordable
Based on prices, reduced incentives and slower household income growth, consumers found it more challenging to buy new last month, Cox Automotive reported.
Read More →
Building an Extraordinary F&I Agency
Work to determine your specialized talent, because that fact will determine everything about your agency’s future.
Read More →
Recipe for Compliance
The secret to both amazing barbecue and compliance is the same: understanding the basics and committing to a process.
Read More →
EVs Getting More Attractive
A growing percentage of U.S. consumers are open to switching and fewer are adverse to the idea, according to a recently completed survey. That’s despite the end of a tax break.
Read More →
EV Sales Drop in April Following Surge
North American electric-vehicle sales were down 28% year-over-year, a sharp contrast from global EV sales growth of 6%.
Read More →