Case: United States v. Centier Bank

2:06-cv-00344 | U.S. District Court for the Northern District of Indiana

Filed Date: Oct. 13, 2006

Closed Date: 2010

Clearinghouse coding complete

Case Summary

On October 13, 2006, the Department of Justice filed suit in the U.S. District Court for the Northern District of Indiana against Centier Bank under the Fair Housing Act, 42 U.S.C. 3601-3619, and the Equal Credit Opportunity Act, 15 U.S.C. 1691. The DOJ alleged that Centier Bank had engaged in a practice called redlining by unlawfully failing to market and provide its lending products and services on an equal basis to majority-minority census tracts in northwestern Indiana. The DOJ specificall…

On October 13, 2006, the Department of Justice filed suit in the U.S. District Court for the Northern District of Indiana against Centier Bank under the Fair Housing Act, 42 U.S.C. 3601-3619, and the Equal Credit Opportunity Act, 15 U.S.C. 1691. The DOJ alleged that Centier Bank had engaged in a practice called redlining by unlawfully failing to market and provide its lending products and services on an equal basis to majority-minority census tracts in northwestern Indiana. The DOJ specifically alleged that Centier Bank intentionally failed to serve heavily African-American and Hispanic communities in the cities of Gary, East-Chicago, and Hammond.

The two parties entered a settlement agreement that was agreed to by the court on October 16, 2006. Under the settlement agreement, the Defendant-lender agreed to open branch offices during the three year term of the settlement agreement. Centier Bank will also invest $3.5 million in a special financing program and spend at least $875,000 for consumer financial education and outreach purposes.

On January 5, 2010 both parties and the court (Judge Lozano) agreed to an order amending the original settlement by extending the deadline for Centier Bank to open its new branch in Hammond, Indiana.

Similar cases brought forth by the Department of Justice against lenders under allegations of redlining include United States v. Old Kent Financial Corporation, United States v. First American Bank, and United States v. Citizens Republic Bancorp, Inc..

Summary Authors

Megan Richardson (4/3/2014)

People


Judge(s)

Cherry, Paul R. (Indiana)

Lozano, Rodolfo (Indiana)

Attorneys(s) for Plaintiff

Archeval, Anthony F. (District of Columbia)

Dougherty , Burtis M. (District of Columbia)

Gonzales, Alberto (District of Columbia)

Kim, Wan J. (District of Columbia)

Murphy, Donna M. (District of Columbia)

Rosenbaum, Steven H. (District of Columbia)

Attorneys(s) for Defendant

Branic, Matthew C. (Indiana)

Strawbridge, Brian Steven (Indiana)

Judge(s)

Cherry, Paul R. (Indiana)

Lozano, Rodolfo (Indiana)

Attorneys(s) for Plaintiff

Archeval, Anthony F. (District of Columbia)

Dougherty , Burtis M. (District of Columbia)

Gonzales, Alberto (District of Columbia)

Kim, Wan J. (District of Columbia)

Murphy, Donna M. (District of Columbia)

Rosenbaum, Steven H. (District of Columbia)

Attorneys(s) for Defendant

Branic, Matthew C. (Indiana)

Strawbridge, Brian Steven (Indiana)

Documents in the Clearinghouse

Document

Docket

United States of America v. Centier Bank

March 5, 2012 Docket

Justice Department Reaches Settlement With Centier Bank Regarding Alleged Discrimination in Lending

No Court

Oct. 13, 2006 Press Release
1

Complaint

United States of America v. Centier

Oct. 13, 2006 Complaint
4

Consent Order

United States of America v. Centier Bank

Oct. 16, 2006 Order/Opinion
10

Order Granting Motion to Amend Consent Order

United States of America v. Centier Bank

Jan. 5, 2010 Order/Opinion
15

Order

United States of America v. Centier Bank

March 5, 2012 Order/Opinion

Docket

Last updated May 11, 2022, 8 p.m.

ECF Number Description Date Link
1

COMPLAINT against Centier Bank, filed by United States of America. (Attachments: # 1 Exhibits 1 through 8 # 2 Civil Cover Sheet)(sda, ) (Entered: 10/13/2006)

Oct. 13, 2006
2

EMERGENCY UNOPPOSED MOTION for Entry of Consent Order by United States of America. (sda, ) (Entered: 10/13/2006)

Oct. 13, 2006
3

ORDER granting USA's Unnopposed 2 Motion for Entry of Consent Order. By separate order entered this date, the Court will enter the consent order. Signed by Judge Rudy Lozano on 10/16/06. (sda, ) (Entered: 10/16/2006)

Oct. 16, 2006
4

CONSENT ORDER entered. The Court shall retain jurisdiction for the duration of this Consent Order to enforce the terms of the Order, after which time the case shall be dismissed. Signed by Judge Rudy Lozano on 10/16/06. (sda, ) (Entered: 10/16/2006)

Oct. 16, 2006
5

ORDER that this matter is before the Court sua sponte. The Court DIRECTS the Court Clerk to mark this action closed for statistical purposes and ORDERS that the Court shall retain jurisdiction for the duration of the Consent Order in the event a dispute arises that requires Court resolution. This order shall not prejudice the rights of the parties to this litigation. Signed by Judge Paul R Cherry on 11/20/07. (sda) (Entered: 11/21/2007)

Nov. 20, 2007
6

NOTICE of Appearance by Matthew C Branic on behalf of Centier Bank (Branic, Matthew) (Entered: 02/27/2008)

Feb. 27, 2008
7

Joint MOTION to Amend/Correct 4 Order Agreed Motion to Amend Consent Order by Defendant Centier Bank. (Branic, Matthew) (Entered: 02/27/2008)

Feb. 27, 2008
8

ORDER GRANTING 7 Motion to Amend Consent Order. Signed by Judge Rudy Lozano on 2/29/2008. (rmn) (Entered: 02/29/2008)

Feb. 29, 2008
9

Joint MOTION to Amend/Correct 4 Order by Plaintiff United States of America, Defendant Centier Bank. (Branic, Matthew) (Entered: 01/04/2010)

Jan. 4, 2010
10

ORDER GRANTING 9 Motion to Amend Consent Order. Signed by Judge Rudy Lozano on 01/05/2010. (rmn) (Entered: 01/05/2010)

Jan. 5, 2010
11

NOTICE of Appearance by Bryan Steven Strawbridge on behalf of Centier Bank (Strawbridge, Bryan) (Entered: 06/08/2010)

June 8, 2010
12

MOTION to Substitute Attorney Bryan S. Strawbridge for Matthew C. Branic by Defendant Centier Bank. (Strawbridge, Bryan) (Entered: 06/08/2010)

June 8, 2010
13

ORDER granting 12 Motion for Substitution of Counsel and ORDERS that the appearance of Attorney Matthew C Branic is hereby WITHDRAWN. Signed by Magistrate Judge Paul R Cherry on 6/9/2010. (rmn) (Entered: 06/09/2010)

June 9, 2010
15

ORDER granting 14 Motion to Dismiss. Accordingly, the Consent Order entered in this case on October 16, 2006, as subsequently amended, is TERMINATED and this case is DISMISSED with prejudice. Signed by Judge Rudy Lozano on 3/5/2012. (rmn) (Entered: 03/06/2012)

March 5, 2012

State / Territory: Indiana

Case Type(s):

Fair Housing/Lending/Insurance

Key Dates

Filing Date: Oct. 13, 2006

Closing Date: 2010

Case Ongoing: No

Plaintiffs

Plaintiff Description:

U.S. Department of Justice Civil Rights Division Section on Housing and Civil Enforcement

Plaintiff Type(s):

U.S. Dept of Justice plaintiff

Attorney Organizations:

U.S. Dept. of Justice Civil Rights Division

Public Interest Lawyer: Yes

Filed Pro Se: No

Class Action Sought: No

Class Action Outcome: Not sought

Defendants

Centier Bank, Private Entity/Person

Defendant Type(s):

Bank or credit provider

Case Details

Causes of Action:

Fair Housing Act/Fair Housing Amendments Act (FHAA), 42 U.S.C. §§ 3601 et seq.

Equal Credit Opportunity Act (ECOA), 15 U.S.C. § 1691

Availably Documents:

Trial Court Docket

Complaint (any)

Monetary Relief

Injunctive (or Injunctive-like) Relief

Outcome

Prevailing Party: Plaintiff

Nature of Relief:

Injunction / Injunctive-like Settlement

Damages

Source of Relief:

Settlement

Form of Settlement:

Court Approved Settlement or Consent Decree

Amount Defendant Pays: $4.3

Order Duration: 2006 - 2011

Content of Injunction:

Provide antidiscrimination training

Monitoring

Develop anti-discrimination policy

Issues

General:

Predatory lending

Discrimination-area:

Lending

Steering

Discrimination-basis:

National origin discrimination

Race discrimination

Race:

Black

National Origin/Ethnicity:

Hispanic