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Puerto Rican bank sues Fed for $150M in damages

March 5, 2024


Banco San Juan Internacional filed an amended lawsuit Thursday, seeking damages exceeding $150 million from the Federal Reserve Bank of New York and the Fed’s board of governors.

The complaint, filed in the U.S. District Court for the Southern District of New York, stems from the Fed’s decision to terminate BSJI’s master account. The bank argues Fed staff ignored federal law and legal precedent, and drifted away from its own historical practices to publish guidelines deeming certain types of banks unworthy of a master account.

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