Securities

  • April 25, 2024

    Former Fuel Co. GC, CEO Must Pay $750K In SEC Fraud Suit

    The former general counsel and CEO of an Arizona fuel company accused of conspiring to defraud investors out of $30 million have reached consent orders with the U.S. Securities and Exchange Commission and agreed to pay nearly $750,000 in fines, disgorgement and restitution.

  • April 25, 2024

    WWE Shareholders Combine Chancery TKO Merger Suits

    Delaware's Court of Chancery will decide this summer whether teams led by Block & Leviton, Bernstein Litowitz or Robbins Geller will represent World Wrestling Entertainment Inc. stockholders in a consolidated class suit against founder Vincent McMahon and others over the company's $21 billion merger with the Endeavor Group.

  • April 25, 2024

    Ga. Fund Manager Stole Millions And Fled Country, SEC Says

    An Atlanta financier was hit with a U.S. Securities and Exchange Commission civil suit Wednesday alleging he ripped off investors in his nearly $10 million hedge fund, stealing millions to enrich himself while falsifying records of the fund's purported success.

  • April 24, 2024

    Ex-Autonomy GC Tells Jurors He Wanted To Be 'Helpful' To HP

    Autonomy's former U.S. general counsel conceded Wednesday in the criminal trial of former CEO Michael Lynch that he told an HP lawyer he wanted to be as "helpful" as possible to the company as it was investigating Autonomy-related issues that popped up after the Silicon Valley giant purchased the British company, and that he was told he could face liability for his work at Autonomy.

  • April 24, 2024

    Bid To Sanction DOJ Denied In Novel Insider Trading Case

    A California federal judge on Tuesday refused to grant an indicted former healthcare CEO's bid to sanction the government in a case accusing him of a novel form of insider trading, saying the CEO failed to show that he was prejudiced by the government interviewing a potential witness without counsel present. 

  • April 24, 2024

    Kwok Jurors To Be Anonymous Amid Harassment Concerns

    Jurors who will decide the criminal fraud and racketeering case against exiled Chinese billionaire Ho Wan Kwok will be anonymous and partially sequestered, a New York federal judge said on Wednesday, ruing that if their identities are revealed they could face the same harassment that befell Kwok's bankruptcy trustee.

  • April 24, 2024

    Hedge Fund Says Credit Suisse Misled On Bonds' Health

    U.S.-based hedge fund Appaloosa LP is accusing the former Credit Suisse in New Jersey federal court of misleading investors about its financial health before $17 billion of its bonds were wiped out in a merger with its Swiss competitor UBS.

  • April 24, 2024

    Crypto Mixer Execs Arrested Over $2B In Illicit Transactions

    New York federal prosecutors announced Wednesday that they have arrested the co-founders of crypto mixing service Samourai Wallet over their operation of a crypto service that authorities say executed over $2 billion in unlawful transactions.

  • April 24, 2024

    Instagram Star Gets 7 Years For Multiple Fraud Schemes

    A Brooklyn federal judge on Wednesday imposed a seven-year prison term on a former Instagram influencer who admitted to defrauding members of his Muslim community and others out of over $8 million via a bogus investment fund and Bitcoin theft, saying the crime probably should be featured on the television show "American Greed."

  • April 24, 2024

    Texas Appeals Panel Partially Reverses Atty's Fee Victory

    An Austin, Texas, trial lawyer who defeated a breach of fiduciary duty claim brought after he represented one half of a business partnership that went sour has had part of his victory overturned, with a Texas appellate court Wednesday determining that the trial court overstepped when also throwing out a fee claim against the attorney.

  • April 24, 2024

    NGM Biopharma Investor Seeks Stock Appraisal In Del.

    An NGM Biopharmaceuticals Inc. stockholder has sued for court appraisal of his stock in Delaware's Court of Chancery after the company closed on a $1.55 per share cash tender offer with an affiliate of venture fund The Column Group on Feb. 25.

  • April 24, 2024

    Trump Media Exec Urges GOP To Probe Stock 'Manipulation'

    Devin Nunes, CEO of Trump Media Technology & Group Corp., is urging key House Republicans to investigate "anomalous trading" involving shares of the company that owns former President Donald Trump's social media platform, marking Nunes' latest effort to call attention to alleged signs of manipulation, according to a regulatory filing Wednesday.

  • April 24, 2024

    Chancery Lets $344M Carlyle Tax-Payout Suit Move Ahead

    A vice chancellor of the Delaware Court of Chancery on Wednesday refused to toss most claims in a stockholder suit led by a Pittsburgh pension fund targeting a $344 million tax-asset buyout at The Carlyle Group Inc., though she did trim the suit by a single count.

  • April 24, 2024

    Forex Trader Must Pay $11.8M For Ponzi-Like Scheme

    A Michigan federal judge on Tuesday said a purported forex commodity pool operator and its agent must pay more than $11.8 million in penalties and restitution for bilking participants in a Ponzi-like scheme, after the defendants ignored a Commodity Futures Trading Commission suit.

  • April 24, 2024

    Metals Firm To Pay $66M Over Retirement Coin Scam

    A California federal judge has ordered a metals trading firm to pay $66 million and each of its owners to pay between $1 million and $3 million to settle claims that they defrauded hundreds of investors by convincing them to sell their retirement securities to buy gold and silver coins at inflated prices.

  • April 24, 2024

    Investors Can't Hit Reset In 737 Max Fraud Suit, Boeing Says

    Investors claiming Boeing wiped out billions in stock value by misrepresenting the 737 Max's safety shouldn't be allowed to "effectively hit the reset button" and pursue an amended complaint that relies on statements already deemed inactionable, the aerospace giant argued Wednesday.

  • April 24, 2024

    Binance Founder Should Get 3 Years, Not Probation, Feds Say

    Federal prosecutors asked a Washington federal judge to sentence Binance founder Changpeng Zhao to three years over his failure to implement an effective anti-money laundering program at his crypto exchange, but the founder said jail time isn't necessary since he's already paid "massive" fines and comparable cases haven't resulted in prison sentences.

  • April 24, 2024

    Pegasystems Cuts $35M Deal To End Investor Suit

    Pegasystems Inc. has agreed to pay $35 million to settle a shareholder suit in Massachusetts federal court alleging the software company failed to properly disclose a rival's trade secret litigation that led to a $2 billion verdict.

  • April 24, 2024

    Investors Say Macquarie No Magic Bullet For Citi In Fraud Suit

    Citigroup investors fighting for another chance to sue the bank over allegations that it concealed risk management failures that led to a $400 million regulatory fine told a New York federal judge Tuesday that the U.S. Supreme Court's recent decision to limit corporate disclosure lawsuits is not terminal to their case.

  • April 24, 2024

    Boston Pension Doubles Down On Bid To Lead NYCB Suit

    Boston's municipal pension plan and its attorneys from Labaton Keller Sucharow LLP stood firm on their bid to lead a proposed securities class action against New York Community Bancorp, saying their chief rival for lead status bought their shares too late and is too sketchy to be a potential plaintiff.

  • April 24, 2024

    Seyfarth Picks Up BCLP Corporate Finance Pro In Atlanta

    Seyfarth Shaw LLP is expanding its corporate team with a Bryan Cave Leighton Paisner LLP finance specialist as a partner in its Atlanta office, the firm said Wednesday.

  • April 24, 2024

    Tesla Must Put Musk's Potential Payday In Trust, Investors Say

    Class attorneys for Tesla stockholders have asked Delaware's chancellor to seize or shelter in a trust tens of billions in company stock sidelined by a ruling that struck down CEO Elon Musk's 10-year compensation plan in January, pending a fast-track hearing.

  • April 24, 2024

    Faegre Drinker Adds Perkins Coie Investment Partner In DC

    Faegre Drinker Biddle & Reath LLP has hired a longtime Perkins Coie LLP investment management attorney in Washington, D.C., the 10th person from that firm to make a lateral move to a new opportunity in the past two months.

  • April 24, 2024

    Feds Nab Latest OneCoin Plea On $35M Laundering Charge

    An eighth defendant has been charged by federal prosecutors over the global OneCoin cryptocurrency scam and has pled guilty to laundering about $35 million in illicit proceeds through bank accounts he controlled in China and Hong Kong.

  • April 24, 2024

    NY Medical Clinic Investor Sues In Del. To Inspect Corp. Books

    A shareholder of Juno Care Systems Inc. sued in Delaware's Court of Chancery on Wednesday for books and records, saying it needed them to investigate whether the board and officers of the medical clinic operator had breached their fiduciary duties to shareholders or wasted corporate assets.

Expert Analysis

  • Series

    Serving As A Sheriff's Deputy Made Me A Better Lawyer

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    Skills developed during my work as a reserve deputy — where there was a need to always be prepared, decisive and articulate — transferred to my practice as an intellectual property litigator, and my experience taught me that clients often appreciate and relate to the desire to participate in extracurricular activities, says Michael Friedland at Friedland Cianfrani.

  • Fears About The End Of Chevron Deference Are Overblown

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    While some are concerned about repercussions if the U.S. Supreme Court brings an end to Chevron deference in the Loper and Relentless cases this term, agencies and attorneys would survive just fine under the doctrines that have already begun to replace it, say Daniel Wolff and Henry Leung at Crowell & Moring.

  • Opinion

    The SEC Is Engaging In Regulation By Destruction

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    The U.S. Securities and Exchange Commission's recent use of regulation by enforcement against digital assets indicates it's more interested in causing harm to crypto companies than providing guidance to the markets or protecting investors, says J.W. Verret at George Mason University.

  • Series

    NJ Banking Brief: All The Notable Legal Updates In Q1

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    Early 2024 developments in New Jersey financial regulations include new bills that propose regulating some cryptocurrency as securities and protecting banks that serve the cannabis industry, as well as the signing of a data privacy law that could change banks’ responsibility to vet vendors and borrowers, say attorneys at Chiesa Shahinian.

  • Former Minn. Chief Justice Instructs On Writing Better Briefs

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    Former Minnesota Supreme Court Chief Justice Lorie Gildea, now at Greenberg Traurig, offers strategies on writing more effective appellate briefs from her time on the bench.

  • ShapeShift Fine Epitomizes SEC's Crypto Policy, And Its Flaws

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    A recent U.S. Securities and Exchange Commission order imposing a fine on former cryptocurrency exchange ShapeShift for failing to register as a securities dealer showcases the SEC's regulation-by-enforcement approach, but the dissent by two commissioners raises valid concerns that the agency's embrace of ambiguity over clarity risks hampering the growth of the crypto economy, says Keith Blackman at Bracewell.

  • 2nd Circ. Adviser Liability Ruling May Shape SEC Enforcement

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    The Second Circuit’s recent decision in U.S. Securities and Exchange Commission v. Rashid, applying basic negligence principles to reverse a finding of investment adviser liability, provides a road map for future fraud enforcement proceedings, says Elisha Kobre at Bradley Arant.

  • Stay Interviews Are Key To Retaining Legal Talent

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    Even as the economy shifts and layoffs continue, law firms still want to retain their top attorneys, and so-called stay interviews — informal conversations with employees to identify potential issues before they lead to turnover — can be a crucial tool for improving retention and morale, say Tina Cohen Nicol and Kate Reder Sheikh at Major Lindsey.

  • New Concerns, Same Tune At This Year's SIFMA Conference

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    At this year's Securities Industry and Financial Markets Association conference on legal developments affecting the financial services industry, government regulators’ emphasis on whistleblowing and AI washing represented a new refrain in an increasingly familiar chorus calling for prompt and thorough corporate cooperation, say attorneys at Fried Frank.

  • And Now A Word From The Panel: Benefits Of MDL Transfers

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    A recent order from the Judicial Panel on Multidistrict Litigation highlights a critical part of the panel's work — moving cases into an existing MDL — and serves as a reminder that common arguments against such transfers don't outweigh the benefits of coordinating discovery and utilizing lead counsel, says Alan Rothman at Sidley Austin.

  • 8 Tips As GCs Prep For New SEC Climate Disclosure Rules

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    The U.S. Securities and Exchange Commission's recently adopted rules governing climate-related disclosures represent a major change to the existing public company disclosure regime, so in-house counsel should begin to evaluate existing systems and resources related to emissions data, and identify the changes that will need to be made, say attorneys at Bracewell.

  • An Overview Of Key Financing Documents In Venture Capital

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    The Delaware Chancery Court’s recent Moelis decision highlights the importance of structuring corporate governance around investor demand, meaning early-stage companies seeking venture funding through sales of preferred stock should understand the legal documents needed to do so successfully, say Daniel Bell-Garcia and Tristan Kaisharis at Winstead.

  • Reducing Risk While DOJ Plans New Whistleblower Rewards

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    In light of the Department of Justice's newly announced plan to create a comprehensive whistleblower reward program to fill the gaps in the current patchwork of federal incentives, companies should mitigate their risk of external claims now by implementing internal systems where employees can confidently and anonymously report concerns, say Caleb Hayes-Deats and Walter Hawes at MoloLamken.

  • Series

    Spray Painting Makes Me A Better Lawyer

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    My experiences as an abstract spray paint artist have made me a better litigator, demonstrating — in more ways than one — how fluidity and flexibility are necessary parts of a successful legal practice, says Erick Sandlin at Bracewell.

  • How Activision Ruling Favors M&A Formalities Over Practice

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    The Delaware Chancery Court’s recent nod to a proposed class action, alleging shareholder notice violations in Activision Blizzard’s sale to Microsoft, puts practitioners on notice that customary merger and acquisition market practices do not offer protection from potential liability, say John Stigi and Eugene Choi at Sheppard Mullin.

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