Filed Date: Oct. 10, 2024
Case Ongoing
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This case is about discriminatory lending and redlining in Philadelphia. On October 10, 2024, the United States Department of Justice brought this case against Citadel Federal Credit Union in the U.S. District Court for the Eastern District of Pennsylvania. The DOJ alleged that Citadel Federal violated the Equal Credit Opportunity Act and the Fair Housing Act by discriminating on the basis of race, lending discriminatorily and redlining majority-Black and Hispanic neighborhoods in its market area - Philadelphia. Specifically, the DOJ alleged that Citadel Federal made disproportionately low numbers of home loan applications to applicants in majority-Black and Hispanic neighborhoods in Philadelphia. The DOJ asked for declaratory relief, damages, and an injunction enjoining Citadel Federal from (1) discriminating on account of race, (2) discouraging applicants on account of race, (3) refusing to take steps to restore the victim's of its past discrimination, (4) and refusing to take steps to prevent future discrimination.
On October 22, 2024, U.S. District Judge John Padova issued a consent decree in which the parties agreed to voluntarily resolve all claims arising from the discriminatory lending practices by Citadel Federal increasing access to credit in majority-Black and Hispanic neighborhoods in Philadelphia. The parties agreed that Citadel Federal must physically expand into the majority-Black and Hispanic neighborhoods in Philadelphia, engage in a Community Credit Needs Assessment, retain a fair lending compliance and training plan, hire a Community Lending and Compliance officer, create a loan subsidy fund, and create a community development partnership program. The consent decree’s requirements remained in effect for five years. As of March 7, 2025, the consent decree is overseen by the court.
Summary Authors
Ashley Hamilton (2/19/2025)
For PACER's information on parties and their attorneys, see: https://www.courtlistener.com/docket/69242924/parties/united-states-v-citadel-federal-credit-union/
Padova, John R. (Pennsylvania)
DEBRUICKER, LAUREN E. (Pennsylvania)
HUGHES, BRYAN C. (Pennsylvania)
EGAN, PATRICK J. (Pennsylvania)
PIPPETT, CHRISTOPHER J. (Pennsylvania)
See docket on RECAP: https://www.courtlistener.com/docket/69242924/united-states-v-citadel-federal-credit-union/
Last updated Aug. 5, 2025, 3:43 a.m.
State / Territory: Pennsylvania
Case Type(s):
Fair Housing/Lending/Insurance
Key Dates
Filing Date: Oct. 10, 2024
Case Ongoing: Yes
Plaintiffs
Plaintiff Description:
United States Department of Justice
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
Citadel Federal Credit Union (Philadelphia), Private Entity/Person
Defendant Type(s):
Facility Type(s):
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
Constitutional Clause(s):
Available Documents:
Outcome
Prevailing Party: Plaintiff
Nature of Relief:
Injunction / Injunctive-like Settlement
Source of Relief:
Form of Settlement:
Court Approved Settlement or Consent Decree
Content of Injunction:
Follow recruitment, hiring, or promotion protocols
Order Duration: 2024 - None
Issues
Discrimination Area:
Discrimination Basis:
Affected National Origin/Ethnicity(s):
Affected Race(s):