new york/washington u.s. justice department wednesday say bar legal settlements federal investigations include donate fund community organizations third-party group rather pay directly harm wrongdoing involve case u.s. attorney general jeff sessions say statement settlement payments must direct victims impact defendants action federal government change could impact bank corporations mark late action republican trump administration end policies previous democratic obama administration agreements feature several u.s. settlements bank follow 2008 financial crisis former president barack obama justice department aim hold bank accountable shoddy securities contribute u.s. house market collapse 2013 2016 department reach 46 billion settlements u.s. bank part direct fund approve house aid relate group obama final weeks office department sue barclays plc barc.l similar claim recent years department justice sometimes require encourage defendants make payments third party condition settlement sessions say statement end practice ensure settlement fund use compensate victims redress harm punish deter unlawful conduct change could impact bank still federal investigation mortgage issue credit suisse group ag csgn.s royal bank scotland group plc rbs.l well fargo co wfc.n ubs group ag ubsg.s hsbc hsba.l representatives bank could immediately reach sessions one-page memo date monday tell nation 94 u.s. attorneys could make agreements civil criminal case direct provide payment loan non-governmental person entity party dispute sessions new policy ill-advised ignore tens thousands families help house service providers across country wake financial crisis say amy spitalnick spokeswoman new york attorney general eric schneiderman schneiderman co-chair work group investigate misconduct pool sale mortgage securities run-up financial crisis sessions cite three exceptions new policy payments loan directly aim address harm environment official corruption legal professional service case restitution forfeiture payments require law policy affect future deal would impact case like environmental protection agency diesel emissions settlement volkswagen ag vowg_p.de require german automaker invest billion zero-emission vehicle efforts 10 years eric schaeffer executive director environmental integrity project former epa civil enforcement director say new ban could prevent similar settlement justice department sue fiat chrysler automobile nv fcha.mi last month excess diesel emissions memo could ensure violators require support development low emission vehicles compensate illegal pollution dirty engines design say change could still affect propose 12 million justice department settlement harley-davidson inc hog.n announce august finalize include million reduce air pollution project replace conventional woodstoves justice department halt settlements fund outside group