Former Jefferies & Co. Inc. managing director Jesse C. Litvak on Friday became the first individual to be convicted of Troubled Asset Relief Program fraud when a Connecticut jury found him guilty of a scheme to defraud customers on residential mortgage-backed securities trades.
A D.C. Circuit panel on Friday rejected the CEO of defunct American Sterling Bank’s bid to overturn a Comptroller of the Currency ban and $1 million fine for misrepresenting the bank’s capital reserves, ruling that he could not claim he lacked information about evolving regulations.
A New York federal court on Friday approved a deal in which a whistleblower will get $63.9 million for tips leading to a False Claims Act settlement in which JPMorgan Chase & Co. agreed to pay $614 million over allegations it defrauded the U.S. government into insuring flawed home loans
A North Carolina federal judge on Thursday reopened Intellectual Ventures Management LLC's patent suit against Bank of America, a day after mistakenly closing the case when he issued a ruling that resolved only some of the issues.
A male in-house counsel once told me I had not been "nice" to him when I approached him about a business opportunity and would therefore not get the business. To add insult to injury, one of my male partners told me I should be flattered by the interest paid to me by the in-house counsel, says Paulette Brown, chief diversity officer at Edwards Wildman Palmer LLP.
Several people have told me that they had a lot of trepidation when they found out they would be working for a woman. To be effective, you need to be able to eliminate or address the conscious or unconscious bias colleagues may have about having a female boss, says Nancy Mitchell, chairwoman of Greenberg Traurig LLP's New York business reorganization and financial restructuring practice.
The U.S. has signed agreements with Finland and Chile — and is near a deal with Luxembourg — under an information-sharing law designed to combat offshore tax evasion, a U.S. Department of the Treasury official told Law360 on Friday.
Japanese regulators will not treat Bitcoin like actual currency but will still tax the digital currency under income, corporate and consumption tax laws, a Japanese news agency reported on Friday.
Timothy Massad, nominated to head the Commodities Futures Trading Commission, said Thursday that “robust” enforcement of the markets under its purview would be one of his major priorities if confirmed, alongside finalizing several pending rules such as new position limits on commodities derivatives.
Criminal allegations unveiled Thursday that Dewey & LeBoeuf LLP executives had systematically cooked their books over several years to hide a dire financial position will likely send some BigLaw leaders running to the ledgers to ensure their own accounting can withstand the closest scrutiny, experts told Law360.
Reed Smith LLP said Thursday that a member of its financial industry group will serve as the new office managing partner in its Princeton, N.J., location, which specializes in financial services and life sciences, data security, energy, real estate and aviation practices.
Small businesses in California and Florida filed challenges to state laws banning so-called swipe fees and surcharges for credit card users, alleging Wednesday that the laws violate consumers’ First Amendment rights and are unconstitutionally vague.
The Fifth Circuit refused Wednesday to revive Racketeer Influenced and Corrupt Organizations Act suits in which Louisiana and Texas counties accused banks of defrauding them through Mortgage Electronic Registration System Inc., ruling that the complaints didn't allege an injury to business or property.
Bank regulatory agencies announced Wednesday that they had issued final guidance on stress tests for midsize financial institutions, companies with between $10 billion and $50 billion in assets, and said such institutions would face fewer requirements than their larger counterparts.
The Second Circuit on Thursday rejected a former Citibank NA employee’s attempt to revive his suit seeking to recover compensation he claimed he was contractually owed for designing a private equity investment program targeting Brazilian companies that proved lucrative for Citibank and affiliated investors.
European private equity firm Cinven is mulling the sale of its 38-hospital network Spire for $2.51 billion, while Egyptian investment bank EFG Hermes sold its stake in a Dubai jewelry retailer for $150 million in a bid to raise money for funds focused on the Middle East.
The Financial Industry Regulatory Authority Inc. routinely deletes "red flag" information about brokers' bankruptcies, tax liens, firings, flunked tests and sales practice abuse investigations in its background information disclosure system, according to an international securities bar association study.
The United States on Thursday moved to intervene in an appeal against Fannie Mae and Freddie Mac by Ohio's Montgomery County Board of Commissioners, which is trying to declare that the loan companies' exemption from having to pay taxes is unconstitutional.
The property investment affiliate of U.K. life insurance and pension company Legal & General Group PLC has purchased a portfolio of 55 properties leased to the Royal Bank of Scotland in the U.K. and Ireland for £550 million ($921.9 million), the company said Thursday.
Just days after leading bitcoin exchange Mt. Gox filed for bankruptcy, Canada-based bitcoin bank Flexcoin shut its virtual doors Monday, blaming hackers for the theft of most of its bitcoins.
Recently issued guidance on providing financial services to marijuana-related businesses places on banks the burden of having to make subjective judgment calls about the nature of their customers’ activities in a decidedly hazy area. Many institutions, as a result, may find any prospect of serving this new market simply go up in smoke, says Travis Nelson of Reed Smith LLP.
The Consumer Financial Protection Bureau's recent administrative consent orders provide insight for regulated banks and nonbanks concerning the bureau's enforcement practices and priorities. It appears that the CFPB is willing to give meaningful consideration to mitigating factors, such as redress provided to consumers, in determining the appropriateness of any penalty, say Matt Applebaum and Matt Bohenek of Bingham McCutchen LLP.
Commercial courtrooms in London are bustling with foreign litigants. England has many of the advantages of the U.S. system — like robust interim orders — without some of the U.S.’s distinct procedural disadvantages. And in addition to simplified discovery, litigating in England allows U.S. litigants to avoid punitive cost rules and the sometimes arbitrary verdicts of juries, say Ben Holland and Arielle Goodley of Covington & Burling LLP.
As a result of Germany’s capital markets volatility and unpredictability, alternative transaction structures such as pre-initial public offering placements and block trades are the new normal. So is institutional investors' willingness to transact with companies directly without investment banks as intermediaries. These developments will continue to change how transactions are structured, marketed and documented, say Stephan Hutter and Katja Kaulamo of Skadden Arps Slate Meagher & Flom LLP.
The recently closed comment period for the proposed Federal Rules of Civil Procedure amendments generated passionate antipodal responses over discovery rules that appear to benefit large corporate litigants at the expense of individual plaintiffs and civil rights groups. The nature and intensity of the response should lead the committee to reconsider the overall fairness of the proposed discovery amendments, says Henry Kelston of Milberg LLP.
Three courts — including the Fourth Circuit in Carter v. Halliburton Co. — have erred in ruling that the Wartime Suspension of Limitations Act applies to noncriminal matters, such as False Claims Act claims. These decisions put businesses in numerous industries at risk of having to defend stale claims seeking potentially ruinous damages under the FCA. The U.S. Supreme Court should grant cert in Carter, say Jesse Witten and Lee Roach of Drinker Biddle & Reath LLP.
We expect the number of consummated capital call subscription credit facilities to continue growing in 2014 as fundraising improves, the product further penetrates the private equity asset class and a greater number of existing facilities get refinanced. But a bleak outlook for municipal pensions — despite a significant rebound in many real estate markets — and fund structural evolution, among other things, will continue to challenge facility structures and ultimately drive them somewhat further down the credit continuum, say attorneys with Mayer Brown LLP.
Since the issuance of a U.S. Securities and Exchange Commission no-action letter that allows mergers and acquisitions brokers to receive transaction-based compensation without registering as brokers, a number of questions have been raised — including applicability of the relief in the private equity and venture capital context. Meanwhile, state regulators are currently considering the ramifications of the letter, say attorneys with Crowell & Moring LLP.
If U.S. Bankruptcy Judge Kevin Gross’ credit bid decision in In re Fisker Automotive Holdings was driven by a broad concern in favor of a competitive bidding environment, the decision is noteworthy. To place a lender’s credit bid right within the loose bounds of judicial discretion — vulnerable to being eviscerated in the name of value to the bankruptcy estate — injects uncertainty into a lender’s position that ultimately could affect the cost of credit, say attorneys with Choate Hall & Stewart LLP.
Leveraged-loan volume in 2013 surpassed record levels set just prior to the global financial crisis, as banks and other institutional investors sought opportunities with potentially higher returns from more highly leveraged borrowers. In response, U.S. regulators appear to be paying closer attention to the leveraged lending activities of regulated banks, but guidance remains vague, say attorneys with Skadden Arps Slate Meagher & Flom LLP.