First Indiana Settles Discrimination Claims

First Indiana Bank, Indianapolis, has agreed to pay $100,000 in settling allegations that it discriminated against minorities by refusing to make loans on row houses in Baltimore, Philadelphia and Washington.The National Community Reinvestment Act filed a fair housing complaint against the national bank in March alleging that First Indiana's policy of not lending on row houses valued under $100,000 discriminates against African-Americans and Hispanics. The Department of Housing and Urban Development facilitated the settlement between the Indianapolis national bank and NCRC. "Policies that pose barriers to people because of their national origin or race have no place in the lending process," HUD assistant secretary Kim Kendrick said. Under the settlement, "First Indiana denied any liability for violations under the Fair Housing Act," HUD said. The national bank had not responded to MortgageWire's request for a comment by press time.