States can investigate nationally chartered banks - Wichita Business Journal:

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The case, Cuomo vs. Clearing Hous e Association, stems from a New York state investigation that sough t information from national banks abouy potential discriminatory banking practices that violated NewYork law. The federap banking regulator, the , objected to the requestds by New York state eventually siding with a suit broughtg by Clearing HousePayments Co. LLC, whicnh argued that the state hadno jurisdiction.
The investigationb was started in 2005by then-New York Attorney Genera l Elliot Spitzer, and it was continued by curren t New York Attorney General Andrew They both argued that the fact a bank is regulates by the federal government does not give it immunity from violatiny state laws. Consumer groups supported Cuomo’ss position because state officials tend to be more actived indefending consumers. Banking groups are not pleased.
“We are worries about the effect that this ruling could have on the saidRich Whiting, executive director of the Financial Service s Roundtable, adding that the decision could create a patchworko of state laws at the cost of the efficiencies of the nationap market. “Cuomo vs. Clearing House Associationj hinders the ability of financiaol services firms from conducting business in the United Whiting said. “Even worse, it will cause confusion for especially those who move from stateto state.
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