Author: News Room

The advertisement from Capital One had many of the same promises that other banks offer for high-yield savings accounts: There were no fees, no minimum deposits and the money would earn much more in interest than in traditional bank accounts.“What’s the catch? There is none,” the bank boasted.But, according to a lawsuit filed against Capital One on Tuesday by the Consumer Financial Protection Bureau, there was one, and it cost depositors more than $2 billion.For years, Capital One held interests artificially low in the high-yield product, to 0.30 percent annually last summer, for instance, even as the Federal Reserve raised…

Pete Hegseth, the military veteran who is President-elect Donald J. Trump’s pick for defense secretary, took in nearly $6 million as a Fox News broadcaster, author and paid speaker in recent years, according to a new financial filing.During Mr. Hegseth’s four-hour Senate confirmation hearing on Tuesday, those well-paying roles were at times an albatross for him. Some senators on the Armed Services Committee grilled him over his past public comments, often made on Fox News, on issues like women in combat and the role of military lawyers. He was also asked repeatedly about his past heavy drinking, which he has…

U.S. securities regulators sued Elon Musk in federal court in Washington on Tuesday in an enforcement action arising from his $44 billion purchase of Twitter, now called X.The lawsuit against Mr. Musk, who has become a close adviser to President-elect Donald J. Trump, is likely to be one of the more contentious final acts of the Securities and Exchange Commission under the direction of Gary Gensler, its departing chair.The S.E.C. contends that in buying Twitter in 2022, Mr. Musk violated securities laws by amassing a large stock position in the company without filing the proper notification. The complaint said he…

In a lively Supreme Court argument on Tuesday that included references to cookies, cocktails and toxic mushrooms, the justices tried to find the line between misleading statements and outright lies in the case of a Chicago politician convicted of making false statements to bank regulators.The case concerned Patrick Daley Thompson, a former Chicago alderman who is the grandson of one former mayor, Richard J. Daley, and the nephew of another, Richard M. Daley. He conceded that he had misled the regulators but said his statements fell short of the outright falsehoods he said were required to make them criminal.The justices…

Starbucks will require people visiting its coffee shops to buy something in order to stay or to use its bathrooms, the company announced in a letter sent to store managers on Monday.The new policy, outlined in a Code of Conduct, will be enacted later this month and applies to the company’s cafes, patios and bathrooms.“Implementing a Coffeehouse Code of Conduct is something most retailers already have and is a practical step that helps us prioritize our paying customers who want to sit and enjoy our cafes or need to use the restroom during their visit,” Jaci Anderson, a Starbucks spokeswoman,…

The Food and Drug Administration on Tuesday proposed requiring new nutrition labels on the front of food and beverage products, a long-awaited move aimed at changing eating habits associated with soaring rates of obesity and diet-related illness that are responsible for a million deaths each year.The new label, a small black-and-white box similar to the Nutrition Facts box on the back of packaged goods, is designed to help consumers quickly understand which products contain excessive amounts of sugar, salt and saturated fat. Those three nutrients are implicated in the nation’s skyrocketing rates of Type 2 diabetes, heart disease and high…

The slow-moving race to succeed Jamie Dimon at the helm of JPMorgan Chase has lost another entrant.The bank said on Tuesday that Jennifer Piepszak a longtime investment banker, would become chief operating officer this summer, succeeding Daniel Pinto, who is planning to retire. After the announcement, a bank spokesman said that Ms. Piepszak, 54, had notified JPMorgan she would not seek the chief executive job in the near future.Ms. Piepszak did not respond to a request for comment.Tuesday’s announcement amounted to an annual update to one of Wall Street’s favorite parlor games: speculating on who will be the next chief…

It’s too soon to know how the Los Angeles fires will change life in California, but it may heavily depend on the answer to a single question: Will a once-obscure insurance program run out of money?That program, the California FAIR Plan, was created by state lawmakers in 1968 to cover people who couldn’t get standard home insurance for various reasons. But as climate change makes wildfires more frequent and intense, causing commercial insurance companies to pull back from the state, the rapidly growing FAIR Plan has become the linchpin holding together California’s increasing fragile insurance market.Because of the fires that…

Mastercard is set to pay $26 million to settle accusations that the company has for years underpaid thousands of female, Black and Hispanic employees, according to an agreement filed in court on Tuesday.The settlement, if approved by the U.S. District Court for the Southern District of New York, will resolve claims that Mastercard underpaid roughly 7,500 employees across the country starting in 2016. The company, which did not admit to any wrongdoing, also agreed to conduct annual pay equity audits for three years and hire a psychologist to assess bias in its workplace.Female, Black and Hispanic employees were paid less…

Saudi Arabia, long on the lookout for a global platform to showcase its sporting ambitions, is nearing the end of its search.The Persian Gulf kingdom is close to acquiring up to a 10 percent stake in DAZN, a sports-only network that has been privately funded by the billionaire businessman Len Blavatnik, according to three people familiar with the discussions who spoke on the condition of anonymity because no deal has been announced. Saudi Arabia has in recent years moved from a standing start to become the biggest investor across the sports industry — buying into an array of leagues, teams…