American Banker Interviews Manatt Partner on Doral's Search for Capital

Doral Faces Rocky Road to Latest Comeback Effort
– American Banker

American Banker interviewed Manatt's Craig Miller, co-chair of the firm's Financial Services and Banking practice, for an article on the ways that Doral Financial is trying to raise capital after Puerto Rico's Treasury Department denied the company's claim to millions in overpaid taxes.

American Banker reports that Puerto Rico's decision has depleted Doral's Tier 1 capital, putting the company in violation of a 2012 consent order with the Federal Deposit Insurance Corp. Earlier this month, the FDIC gave Doral 120 days to shore up capital or provide a plan for its sale or liquidation.

Doral is "at the mercy of the Puerto Rican government," said Miller. The company could file a lawsuit to try and recover the funds but that would tie up resources at a time when management needs capital now, he added.

Read the article here