• October 6, 2015

    UK Banks And Insurers Face New Whistleblower Rules

    The U.K.’s Financial Conduct Authority and Prudential Regulation Authority on Tuesday rolled out a package of rules focused on whistleblowing in the financial services industry, introducing several measures to encourage workers to raise concerns at banks, insurers and investment firms.

  • October 6, 2015

    High-Speed Trader Wants Evidence Barred In Spoofing Case

    A high-frequency trader indicted for “spoofing” and commodities fraud urged an Illinois federal court Monday to exclude evidence of prior settlements with regulatory bodies and references to events like the 2008 financial crisis, saying such evidence is inadmissible, unfairly prejudicial or irrelevant.

  • October 6, 2015

    SEC Hits Former OCZ CEO With Accounting Fraud Suit

    Federal securities regulators filed suit in California federal court on Tuesday against the former chief executive of OCZ Technology Group, accusing him of conducting a scheme to artificially inflate the computer hardware maker’s financial results.

  • October 6, 2015

    Petrobras Insists $98B Kickbacks Suit Lacks Jurisdiction

    Brazilian oil company Petrobras doubled down Monday on efforts to ditch parts of a $98 billion shareholder suit alleging it engaged in a bribery and kickbacks scheme to enrich executives and government officials, saying plaintiffs in consolidated individual actions lack standing and had not shown their securities were purchased domestically.

  • October 6, 2015

    Husch Blackwell On Hook In Client's Fraud, Investors Say

    Investors defended their $625 million suit accusing Husch Blackwell LLP of operating a racketeering scheme to conceal a client’s $1.35 million health sector fraud, asserting Monday the suit is not an attempt to hold Husch accountable for its client's crimes.

  • October 6, 2015

    US Fire Freed From $10M Madoff Coverage On Appeal

    A New York appellate court on Tuesday freed U.S. Fire Insurance Co. from having to cover about $10 million that affiliates of a family investment office sunk into Bernard L. Madoff's Ponzi scheme, agreeing with the insurer that an exclusion in the relevant policy bars coverage for losses tied to Madoff's activities as a securities broker.

  • October 6, 2015

    SEC Accuses Fla. 'Investment Adviser' Of Fraud

    The U.S. Securities and Exchange Commission on Monday accused a disbarred Florida attorney of violating federal securities fraud laws by pretending to be an investment adviser and lying to his clients about the risks and profitability of their investments.

  • October 6, 2015

    Williams Cos. Hit With Putative Class Action Over $38B Sale

    The Williams Cos. Inc. was hit with a putative class action suit in Delaware Chancery Court on Monday over allegations that its $37.7 billion sale to an affiliate of Dallas-based pipeline firm Energy Transfer Equity LP undervalues the company and shortchanges shareholders.

  • October 5, 2015

    High Court Won't Hear $24M Laundering Forfeiture Appeal

    The U.S. Supreme Court will leave standing the Fifth Circuit’s decision that U.S. Tours and Remittances and its law firm cannot recover funds that were forfeited as part of a $24 million money-laundering prosecution against the company’s owner, denying on Monday a petition for a writ of certiorari.

  • October 5, 2015

    Lynn Tilton, Patriarch Partners Sued Over Investor Losses

    A German bank filed a complaint Monday in Manhattan court claiming private equity magnate Lynn Tilton and her Patriarch Partners firms concealed that their investment funds were used for risky equity investments, saying it lost $45 million in the scheme.

  • October 5, 2015

    SEC Fines Former Ocwen Unit HLSS $1.5M

    Home Loan Servicing Solutions Ltd. will pay $1.5 million to settle charges that it misrepresented its relationship with its former parent company Ocwen Financial Corp.,and misreported the value of billions of dollars' worth of mortgage servicing rights it bought from the embattled subprime mortgage loan servicer, the U.S. Securities and Exchange Commission said Monday.

  • October 5, 2015

    CFTC Lands $3.8M Win In Commodity Pool Fraud Suit

    A California federal judge imposed a $3.8 million judgment Monday on Direct Investment Products and its principal, which the U.S. Commodity Futures Trading Commission accuses of running a fraudulent commodity pool that targeted investors from former Soviet bloc states.

  • October 5, 2015

    Feds To Rethink Insider Trading Strategy After Newman Snub

    Now that the U.S. Supreme Court has shown no interest in taking on a landmark insider trading appeal this term, federal prosecutors have to contend with a remade legal landscape that will force them to cut back on some cases, let go of others and figure out ways around the high standards for proving the crime.

  • October 5, 2015

    SEC Points To Menendez Decision In House Subpoena Fight

    The U.S. Securities and Exchange Commission told a New York federal judge Monday that a decision ordering U.S. Sen. Robert Menendez to face most of a criminal corruption case shows the agency can question a former House Ways and Means Committee aide in a health care insider-trading probe.

  • October 5, 2015

    Lawyers Weigh In On Supreme Court's Newman Rejection

    The U.S. Supreme Court declined on Monday to consider the U.S. Department of Justice's appeal of the Second Circuit’s landmark Newman decision on insider trading. Here, attorneys tell Law360 why the cert denial is significant.

  • October 5, 2015

    Investors Say Dell Worth Twice $25B Buyout In Appraisal Row

    Dell investors seeking appraisal of their shares from the computer giant's $25 billion go-private deal told a Delaware Chancery judge Monday that the share price should have been worth roughly twice the transaction price, arguing that the company essentially left $26 billion in value on the table.

  • October 5, 2015

    High Court Won't Revive Stanford Victims' Claims Against SEC

    The U.S. Supreme Court on Monday refused to consider an argument by victims of Robert Allen Stanford’s $7 billion Ponzi scheme that the Eleventh Circuit’s decision shielding the U.S. Securities and Exchange Commission from a negligence suit gives the agency blanket immunity.

  • October 5, 2015

    Hong Kong Scraps Plan To Change Shareholder Voting Rights

    The Hong Kong stock exchange’s listing committee on Monday said it will not move forward with a draft proposal that would reconsider the exchange's current "one-share, one-vote" listing rule for shareholders, after the Securities and Futures Commission raised concerns about giving some shareholders disproportionate voting power.

  • October 5, 2015

    Schwab's Libor Claims Get No Supreme Court Traction

    The U.S. Supreme Court on Monday refused to consider Charles Schwab Corp.'s attempt to revive its antitrust claims in multidistrict litigation over alleged Libor manipulation by top banks.

  • October 5, 2015

    BNY Mellon Can't Dodge RMBS Suit Over Loan Docs

    A New York judge on Friday refused a bid by The Bank of New York Mellon Corp. to quash a lawsuit brought by banks, insurers and other investors against BNY Mellon as the trustee of pools of poor-performing residential mortgage-backed securities, saying dismissal would be premature.

Expert Analysis

  • Restocking The Buyer’s Private M&A Toolkit Post-Cigna

    Daniel L. Serota

    While there have been many suggestions about how buyers should address the issues raised by Cigna v. Audax, these solutions are often impractical. What is needed is an alternative approach that restores the economic risk allocation that was available pre-Cigna without imposing deal risk, timing delays or reducing value, say Daniel Serota and John-Alex Shoaff of Greenberg Traurig LLP.

  • 5 Things Clients Never Tell Their Lawyers


    Given the times we live in, it is almost inevitable that everyone will, sooner or later, need to consult with legal counsel. With that in mind, I thought it might be interesting to discuss a few things that clients just won't tell their lawyers, says Francis Drelling, general counsel of Specialty Restaurants Corp.

  • Lehman Ruling Offers Much-Needed Guidance On 'Loss'

    Fred Sosnick

    A Southern District of New York decision in a Lehman Chapter 11 suit, holding that Intel Corp.’s loss calculation resulting from a failed transaction was appropriate, is significant both because of the dearth of judicial interpretation of International Swaps and Derivatives Association closeouts, and because it affirms the general understanding that a nondefaulting party has broad discretion in calculating “loss,” say attorneys wit... (continued)

  • Disclosure-Only Settlements Face Continued Scrutiny

    Israel Dahan

    Vice Chancellor Sam Glasscock, in a stockholder case related to Riverbed Technology's go-private deal, recently expressed serious reservations about the broad releases provided to Riverbed’s directors in exchange for enhanced disclosures. This and other recent rulings highlight the Delaware Chancery Court’s efforts to ensure that meritorious merger challenges are litigated, say attorneys with King & Spalding LLP.

  • Inside National Futures Association Cybersecurity Guidance

    Heather Egan Sussman

    New cybersecurity guidance proposed by the National Futures Association is particularly noteworthy for firms that are not currently subject to the cybersecurity rules set forth by the U.S. Securities and Exchange Commission and the Financial Industry Regulatory Authority, say attorneys with Ropes & Gray LLP.

  • Lessons From Avon's FCPA-Related Settlements

    Riyaz Dattu

    When Avon Products Inc. first learned about potential Foreign Corrupt Practices Act problems in China, it simply directed that internal control measures be instituted at the subsidiary, with no follow-up on the compliance initiatives. By the time Avon began a full-blown internal investigation, much of the damage had been done, say Riyaz Dattu and Sonja Pavic of Osler Hoskin & Harcourt LLP.

  • What Jarkesy Means For SEC Admin Court Challenges

    Jonathan E. Richman

    The D.C. Circuit’s decision this week in Jarkesy v. U.S. Securities and Exchange Commission flags the potential tension between being too late and being too early to circumvent established procedures for review of SEC administrative proceedings, says Jonathan Richman, co-head of the securities litigation group at Proskauer Rose LLP.

  • OPINION: Paul Harvey, RIP


    After recently hearing a young trial lawyer start his opening statement with the Paul Harvey approach, I feel motivated to set out the reasons why defense lawyers should not use this technique anymore, says Dr. Ross Laguzza of R&D Strategic Solutions.

  • A New Model For Clean Energy: Community Solar Gardens

    Alidad Vakili

    Community solar gardens offer substantial cost benefits over traditional residential solar panels. Members of solar gardens may qualify for certain federal and state tax benefits if the solar garden investment is correctly structured and the size of a solar garden renders it better able to achieve economies of scale, say attorneys at K&L Gates LLP.

  • The Problems With SEC’s Cybersecurity Approach

    Brian Rubin

    A recent U.S. Securities and Exchange Commission enforcement action against the victim of a cyberattack suggests that a breach, in and of itself, is prima facie evidence that a firm’s procedures were not reasonable. This strict liability standard and post hoc rationale eliminates the need to establish any causal relationship between the alleged procedural inadequacies and the breach, say Brian Rubin and Charlie Kruly of Sutherland ... (continued)