Custodia Bank Inc V. Federal Reserve Board Of Governors Et Al
A Wyoming-based Special Purpose Depository Institution (SPDI) bank, Custodia, has filed a lawsuit against the Federal Reserve Board of Governors and the Federal Reserve Bank of Kansas City. The lawsuit alleges that the Federal Reserve's review process lacks transparency and clarity, causing a delay of over 19 months in Custodia's master account application. This delay has resulted in Custodia losing potential customers and incurring unnecessary costs. The lawsuit seeks relief in the form of a court order compelling the Defendants to process and decide on its master account application, as well as damages for the harm caused by the delay. The lawsuit raises significant constitutional questions and calls into question the basic structure of the defendants' decision-making processes.
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