Three fair housing organizations are asking to weigh in on a federal case where the Department of Justice is seeking to end a redlining settlement with Lakeland Bank — an effort the DOJ and the bank both oppose.
The nonprofits — New Jersey Citizen Action Education Fund, the Housing Equality Center of Pennsylvania, and the National Fair Housing Alliance — filed a proposed amicus curiae brief earlier this month contesting the DOJ's move to end the Biden-era redlining agreement early, saying the consent order has not
However, both the DOJ and New Jersey-based Lakeland Bank filed separate motions on June 23 urging the court to deny the fair housing groups' request to participate in the case. Both parties say the bank has implemented protocols that should satisfy any alleged
"There is no role for amici where, as here, a party has settled a case with a government enforcement agency, has complied with the terms of settlement, and the government agency exercises its enforcement discretion to terminate the order encompassing the settlement before the expiration of the order's full term," an attorney representing Lakeland Bank wrote in a filing.
The bank, which was acquired last year by Provident Financial Services, criticized the nonprofits' request, claiming it reflects a broader disagreement with the DOJ's enforcement priorities rather than any specific concerns about the case itself.
"The amicus brief reflects a disagreement not over the specific circumstances of this case, but rather over the appropriate prioritization of Justice Department resources between fair lending and other enforcement priorities," Lakeland Bank wrote.
In 2022, Lakeland was hit with claims by the DOJ
The bank agreed to invest $12 million in a loan subsidy for residents of previously excluded neighborhoods over a five-year period. The firm also pledged more than $1 million toward community outreach, financial education, and partnerships.
In its most recent filing, Lakeland described its compliance as "exemplary," noting that out of the $12 million loan subsidy fund commitment, it has invested $6.7 million to increase credit for loan applicants in Newark. It will invest the remainder of the required amount whether or not the consent order is terminated, it claims.
Lakeland also detailed its internal compliance efforts, including employee training and efforts to open new branches — though it acknowledged delays in obtaining necessary permits.The DOJ filed its unopposed motion to terminate the consent order in early June, which remains pending before the court.
The federal government has argued in its motion that Lakeland "has demonstrated a commitment to remediation and has reached substantial compliance with the monetary and injunctive terms" of the order.
The consent order is currently scheduled to be in effect until at least September 2027.
