In 2010, The Wall Street Journal reported that Menendez had written to Federal Reserve Chairman Ben Bernanke,[116] asking him to approve an acquisition that would rescue from the prospect of receivership a New Jersey bank, First Bank Americano, operated by Menendez contributors.[117] It was discovered that "eight of 15 directors, including the bank’s chairman and vice-chairman, have been contributors to Menendez or his political action committee."[118] Former federal bank regulator William K. Black called the letter "grotesquely inappropriate" and said that "the letter crossed an unofficial line by asking regulators to approve an application instead of simply asking that it be given consideration."[117] An aide to the senator said that his decision to write the letter was not influenced by political contributions. A highly critical report by the Federal Deposit Insurance Corporation found that the institution had engaged in unsafe or unsound banking practices, including operating without adequate supervision by its board of directors, an excessive level of delinquent or bad loans, inadequate earnings and insufficient coverage of its assets.[119][120][121][122]
On January 5, 2012 Menendez blocked Judge Patty Shwartz, an Obama administration nominee to a federal judgeship, drawing speculation that the block was placed because of Shwartz's relationship with the head of the public corruption unit for New Jersey’s federal prosecutor who had investigated the senator during his 2006 election fight.[123] Menendez denied personal motivation for the block. He has long contended that the corruption investigation was politically motivated.[124][125] The investigation was closed in late 2011, with no charges filed.[126]
