Opening Bell: 9.27.16

Stumpf forfeits $41 million; Germany has no plans to save Deutsch Bank; SABMiller backs AB InBev takeover; Warren Beatty denies sleeping with 12,775 women; and more.
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Wells Fargo’s CEO Forfeits $41 Million in Fight to Keep His Job (Bloomberg)
Wells Fargo & Co. Chief Executive Officer John Stumpf, fighting to keep his job amid a national political furor, will forgo more than $41 million of stock and salary as the bank’s board investigates how employees opened legions of bogus accounts for customers.

Wells Fargo Isn’t the Only Bank That Draws Cross-Selling Complaints (WSJ)
While customer complaints don’t equal illegal conduct, the complaint database run by the Consumer Financial Protection Bureau shows that Wells Fargo hasn’t been much of an outlier when it comes to complaints associated with cross-selling and other sales abuses...Citigroup Inc. customers’ 1,722 account-management issues during the nearly 21-month period represented 1.8 complaints for each $1 billion of deposits at the bank. Bank of America Corp. customers had 1.7 complaints, using the same metric, while customers of J.P. Morgan Chase & Co. had 1.1.

Deutsche Bank Rises as CEO Sells Unit, Rules Out Raising Funds (Bloomberg)
Deutsche Bank AG rebounded from a record low after the German lender agreed to sell its U.K. insurance business for 935 million pounds ($1.2 billion) and Chief Executive Officer John Cryan ruled out a capital raise. Responding to investor concerns that the bank may be forced to raise capital to meet mounting legal costs, Cryan told Germany’s Bild newspaper that it’s “currently not an issue.”

Germany denies preparing Deutsche Bank rescue plan (Reuters)
The finance ministry dismissed a newspaper report that a rescue plan was being prepared in case Deutsche was unable to raise capital to pay for costly litigation.

Teacher on the prowl for hot moms did nothing wrong: court (NYP)
A married Brooklyn teacher skipped Tinder and instead pestered his students to help him land dates with their sisters and moms — but that’s hardly anything to get hot and bothered about, a court ruled Tuesday. Terrell Williams, an eighth-grade gym instructor with two kids, did “not violate any specific rule or regulation,” the appellate panel said in overturning his firing. Williams was booted from PS/MS 282 in Park Slope in 2013 after five female students testified that he repeatedly approached them before volleyball practice and asked “whether they had older sister, how old they were, what they looked like, and whether he could have their phone number,” according to court papers. Williams also inquired about aunts and mothers and whether the female relatives had boyfriends, according to evidence presented at a city Department of Education hearing. The questioning made the students feel “uncomfortable,’’ and one mother filed a complaint when Williams texted her daughter, according to court papers. After he was canned from his $80,000-a-year job, Williams sued. He claimed that the preteen students were the ones who tried to set him up on dates. He also claimed moms routinely asked him out for drinks.

SABMiller shareholders comfortably back AB InBev takeover offer (Reuters)
SABMiller (SAB.L) shareholders backed the brewer's $100-billion-plus takeover by rival Anheuser-Busch InBev (ABI.BR) by a large majority on Wednesday, paving the way for one of the biggest corporate mergers in history. The 79 billion pound deal was comfortably passed by the SAB shareholders who voted. It had required approval from a majority in number of shareholders and by at least 75 percent in share value. For the latter, it secured 95.5 percent support.

Investors get new reasons why not to buy bank stocks (CNBC)
Another new round of banking regulations likely will give investors yet another reason to stay away from the battered industry. Federal Reserve Governor Daniel Tarullo this week announced that future stress tests will be geared toward demanding even higher cash buffers for big banks. The new rules, which won't take effect until 2017, will establish a "stress capital buffer" for stress tests that analysts say could raise capital requirements for large institutions by 3 or 4 percentage points.

It’s Paul Singer Versus Citigroup in High-Stakes Bankruptcy Feud (Bloomberg)
As Peabody Energy Inc. stumbled toward bankruptcy last year, its Wall Street adviser raised a red flag for management. Two powerful and litigious distressed-debt hedge funds held Peabody bonds. “Both are bomb throwers and we should be very suspicious,” wrote Tyler Cowan, a restructuring expert at Lazard Ltd. Six months later, in April, the world’s largest private-sector coal company was in bankruptcy. And, sure enough, the two New York hedge funds -- Paul Singer’s Elliott Management Corp. and Mark Brodsky’s Aurelius Capital Management -- soon became embroiled in a bitter $1 billion dispute as they sought to extract a bigger share of Peabody’s assets.

Warren Beatty has not slept with 12,775 women (NYP)
In his first interview in nearly two decades, the actor made clear that reports that he’s bedded some 12,775 women during his 79 years are wildly exaggerated. “Think about it, sleeping with 12,775 people,” the Hollywood legend recently told AARP The Magazine. “That would mean not just that there were multiple people a day, but that there was no repetition.” The number was first attached to Beatty because of Peter Biskind’s 2010 biography of the “Bonnie and Clyde” actor, “Star.” “12,775 women, give or take, a figure that does not include daytime quickies, drive-bys, casual gropings, stolen kisses and so on,” the author deduced in the book.

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Opening Bell: 7.26.16

AB InBev ups SABMiller offer; Deutsche Bank must face subprime suit; Marissa Mayer probably won't get another CEO job right away; Man head-butted mother in face because she brought home Chick-fil-A for dinner; and more.

Opening Bell: 11.12.15

AB InBev seals SABMiller deal; Argentina finally pays off for hedge funds; $50,000 headphones; "Shia LaBeouf Live-Streams Himself Watching All of His Movies"; and more.

Opening Bell: 5.11.16

General Mills cited as 3G takeover target; Inside Germany's school for central bankers; Staten Island man who stabbed his wife to death looking for an ‘awesome’ girl to write to him in prison; and more.

Opening Bell: 9.16.15

AB InBev wants SABMiller; Kynikos gains; Bridgewater loses (and tells investors to f*ck off); Young Wall Street has no idea what a rate hike looks like; "Man Throws Brisket At Woman During Beef At BBQ Fest, Police Say"; and more.

Opening Bell: 10.28.15

AB InBev explores sale of US assets; Hillary Clinton is serious about breaking up big banks; Employees don't want your stinking stock; Man turns violent after being asked to sit out Monopoly tournament; and more.

Opening Bell: 07.25.12

Sandy Weill: Break Up The Big Banks (CNBC) “What we should probably do is go and split up investment banking from banking, have banks be deposit takers, have banks make commercial loans and real estate loans, have banks do something that’s not going to risk the taxpayer dollars, that’s not too big to fail,” Weill told CNBC’s “Squawk Box.” He added: “If they want to hedge what they’re doing with their investments, let them do it in a way that’s going to be market-to-market so they’re never going to be hit.” Bank Of England Spotted Risks At JPMorgan (WSJ) More than a year before JPMorgan racked up billions of dollars in losses from bad trades in its London investment office, Bank of England officials raised concerns internally about potential risks arising from some of the office's activities, but didn't formally alert other regulators, according to people involved in the central bank's talks. In late 2010, employees at the central bank worried that the London arm of J.P. Morgan's Chief Investment Office had come to dominate some important corners of the city's financial markets—including residential mortgage-backed securities—and they were concerned about the potential impact that could have on the stability of U.K. markets, these people said. The concerns were relayed to a top central-bank oficial. But the Bank of England doesn't appear to have acted on the concerns or flagged them to regulators responsible for supervising J.P. Morgan. Private-equity bigs: no proof of bid-rigging (NYP) A handful of the country’s wealthiest and most powerful private-equity firms have asked a federal judge to toss an explosive investor lawsuit that claims the group conspired to rig the bids on $270 billion in deals over four years. The firms — including KKR, Bain Capital, Blackstone Group and Apollo Global Management — agreed not to bid on specific deals headed by a rival, thus fraudulently depressing the value of the deal. As a result, investors in those publicly-traded companies were short-changed. The group of 11 financial giants named in the suit, including Goldman Sachs and JPMorgan Chase, claim there is no evidence of a vast bid-rigging conspiracy. New York Fed Faces Questions Over Policing Wall Street (Dealbook) In recent years, the New York Fed has beefed up oversight. Under the president, William C. Dudley, the regulator has increased the expertise of its examiners and hired new senior officials. Even so, the JPMorgan debacle and the interest-rate investigation have raised questions about the New York Fed. They highlight how the regulator is hampered by its lack of enforcement authority and dogged by concerns that it is overly cozy with the banks. Fed Moves Closer To Action (WSJ) Amid the recent wave of disappointing economic news, conversation inside the Fed has turned more intensely toward the questions of how and when to move. Central bank officials could take new steps at their meeting next week, July 31 and Aug. 1, though they might wait until their September meeting to accumulate more information on the pace of growth and job gains before deciding whether to act. Sidekick of Soccer Mom Madam to court: It's not prostitution if you just pay to watch (NYDN) Jaynie Mae Baker, the woman busted with accused Manhattan brothel operator Anna Gristina, revealed in court papers filed Tuesday that the undercover cop who arrested her watched two women have sex but didn’t participate in any. Baker’s lawyer, Robert Gottlieb, says the only recorded conversation in evidence that includes Baker took place July 19, 2011, at a Manhattan restaurant where his client, Gristina and the cop had lunch. The cop tells Baker and Gristina he is “looking for a little adventure" and to “please corrupt me," but there's no talk of arranging payment, Gottlieb says in the filing. Six days later in the sting operation, the cop is secretly videotaped in a room with two other women at Gristina's alleged brothel on E. 78th St., but he does not participate in the sex. “The undercover officer apparently remains fully clothed and merely observed the two women perform for him,” Gottlieb writes...Gottlieb says there “was not a scintilla of evidence that was produced ... establishing Ms. Baker’s involvement in arranging payment in exchange for any kind of sexual activity.” What occurred not prostitution because the undercover cop was not a participant, Gottlieb says. If watching is prostitution, then every strip club and porno director is guilty, too, he said. Germans React Coolly To Moody's Warning (WSJ) Wolf Klinz, a German member of the European Parliament from the pro-business Free Democrats, Ms. Merkel's junior coalition partner, said he doesn't dispute Moody's conclusions about Germany's risks, but rather the timing of the announcement. "There are no hard facts yet" about Germany's ultimate price tag, Mr. Klinz said. "Why come out with this right now? It may have political implications" even if that wasn't the intention, he said. Preet hit with suit by law student (NYP) Second-year law student Benula Bensam sued Bharara, along with the US Marshals Service and the Justice Department, in Manhattan federal court for “unreasonable search and seizure” after the marshals took her cell phone away during the trial of ex-Goldman Sachs director Rajat Gupta. The 25-year-old Bensam, who is representing herself, said the marshals kept her phone overnight after she refused to answer their questions about letters she wrote to Judge Jed Rakoff during Gupta’s insider-trading trial. Bensam, who attends law school at Yeshiva University and lives in the Woodside section of Queens, stopped writing Rakoff about the case after he reprimanded her. In the complaint, Bensam said Bharara “may have instigated” her dispute with the marshals. Euro Zone as We Know It Has 2 Years Left: Jim O’Neill (CNBC) “Two years maximum is my perception of the time the euro zone has left to survive in its current form, though the reality is probably far less than that. Markets being markets we’ve unveiled a degree of speed with the Spanish and Italian bond yields and I can’t see us getting through the summer without some serious consequences,” said Jim O’Neill, Chairman at Goldman Sachs Asset Management. Child Treated After Being Bit By Rabid Bat Woman Gave Go-Ahead To Touch (CBS) Even as the summer fun rolls on for JoJo Keefe, a freshly healed cut on the 10-year-old’s finger reminds her of a scary detour. “I was like oh my God it bit me!” She’s talking about a rabid bat that sunk its tiny teeth into her finger last Tuesday during a visit to the Spencer Town Beach on Lake Whittemore. The small bat was attracting quite a bit of attention on the shoreline just beyond the picnic area. The trouble really began when a woman picked it up and began asking the children gathered around her if they wanted to hold it. “Another little girl said ‘oh I want to hold it will it bite me?’ And the lady was like no it’s the friendliest thing ever,” she says...Her mother retrieved the sick animal which then tested positive for rabies. Soon after, JoJo was getting the first in a series of life saving antibiotic shots (you can’t wait with rabies).

By Captain-tucker (Own work) [CC BY-SA 3.0], via Wikimedia Commons

Opening Bell: 9.21.16

Senators vs Wells Fargo; Hedge funds vs SABMiller deal; DOJ vs former Fed staffer; Son of Chinese billionaire buys eight iPhone 7s for his dog; and more.