MUFG Pays New York $33 Million After Shifting to OCC Oversight (1)

MUFG Bank has agreed to pay New York’s banking regulator $33 million to resolve a lawsuit over the Japanese lender’s switch from state oversight to a U.S. national charter.

The settlement caps a messy regulatory divorce that began in November 2017. MUFG applied for a national charter from the U.S. Office of the Comptroller of the Currency and was approved eight days later, before its longtime regulator in the U.S., New York’s Department of Financial Services, had weighed in on the merits or drawbacks of the move.

The DFS supervisor at the time, Maria Vullo, accused the bank of engaging ...