Federal Court Enters Consent Order with U.S. Bank

The CFTC announced that the U.S. District Court for the Northern District of Iowa entered a Consent Order imposing a permanent injunction against U.S. Bank National Association ("U.S. Bank") and ordering the bank to pay restitution to be returned to the customers of Peregrine Financial Group, Inc. ("Peregrine").

In July 2012, the CFTC instituted a civil action against Peregrine and its owner alleging that the owner withdrew and transferred money from a customer segregated funds account held by U.S. Bank for Peregrine and its owner to persons and entities that were not Peregrine's customers. According to the CFTC, U.S. Bank also withdrew and transferred funds regularly from the customer segregated funds account to both Peregrine and non-Peregrine accounts held at the bank.

See: Consent Order: U.S. Bank; Summary Judgment Order: U.S. Bank; CFTC Press Release.