AstraZeneca PLC agreed Tuesday to pay $5.5 million to the U.S. Securities and Exchange Commission to settle claims it violated the Foreign Corrupt Practices Act through improper payments by overseas sales staff to state-controlled health care providers in China and Russia.
A $1.7 million settlement of a shareholder class action challenging the 2011 acquisition of Platinum Energy Resources Inc. by Pacific International Group Holdings LLC received approval Tuesday by a Delaware chancery court judge, who also approved the payment of legal fees and expenses from the settlement fund.
The U.S. Securities and Exchange Commission granted a $22.4 million award to a former Monsanto Co. financial executive for reporting alleged accounting fraud around the agribusiness giant's Roundup weed killer, a lawyer for the whistleblower said on Tuesday.
The U.S. Securities and Exchange Commission's charges last week against 71 municipalities that self-disclosed violations in their bond offerings may have been low-hanging fruit that will help the agency boost enforcement numbers after a slow year, but experts said the actions are likely the first of many in what is now a firmly regulated market.
The U.S. Commodity Futures Trading Commission won the remaining claims in its fraud suit against a pair of companies and their CEO whom it accused of fleecing investors by claiming to deal in precious metals when in fact they dealt in derivatives contracts, landing a trading injunction and $2.1 million in restitution.
A Japanese bank must face some liability for financial losses arising from the closure of the Mt. Gox Bitcoin exchange, an Illinois federal judge ruled Friday, finding that the proposed class of customers sufficiently showed that the bank’s improper conduct led to its unjust enrichment.
A Delaware Chancery judge on Friday refused to dismiss derivative and individual claims against Basho Technologies Inc. related to a 2014 financing transaction, saying the corporate behavior alleged in a former executive's complaint was so abusive that normally effective defenses don’t hold up under scrutiny.
A New York federal judge on Friday tossed a racketeering suit brought by an investor accusing a real estate investment management firm and its principals of duping him into investing in risky loans that collapsed in the financial crisis, saying the claims were time-barred.
An Anchor BanCorp Wisconsin Inc. investor asked a Wisconsin federal court on Friday to end his class action accusing executives of structuring a $461 million sale to benefit themselves and shortchange investors in light of a Seventh Circuit decision earlier this month that curbs certain disclosure-only settlements.
AXA Equitable Life Insurance Co. beat two consolidated class actions challenging its allegedly excessive mutual fund management fees Friday when a New Jersey federal judge found the investors’ effort to prove the board members exercised poor oversight over the fees was marred by questionable testimony.
A Pennsylvania federal judge threw out a proposed securities fraud class action against medical device maker Globus Medical Inc. and four of its executives Thursday, finding the suit did not adequately allege that 2014 earnings projections fraudulently included revenue from a contract the defendants secretly planned to terminate.
A class attorney balked Friday at a proposed record-breaking $3.35 million incentive fee for one shareholder’s help in winning a $35.5 million award in a Delaware Chancery Court challenge to the Occam Networks Inc. merger with Calix Inc., suggesting instead a still-record $1 million.
McDermott Will & Emery LLP on Thursday beat a suit in Ohio federal court accusing it of committing malpractice by failing to tell defunct scrapbooking giant Antioch Co. LLC to sue its directors for breach of fiduciary duty in connection with a 2003 deal that sold the company to its employees, saying the suit would have failed anyway.
A Texas federal judge on Thursday tossed a class action by an investor in Harvest Natural Resources Inc. claiming the company misled investors about its financial health to keep its stock afloat, chalking up the oil field operator’s alleged deception to simple human error rather than a conspiracy to defraud shareholders.
Aveo Pharmaceuticals Inc.'s board has agreed to reform itself and the company's internal policies following an investor's derivative suit claiming it lied about the success of a clinical trial for a kidney cancer medication, according to a preliminary settlement submitted Thursday to a Massachusetts federal court.
PricewaterhouseCoopers LLP has reached a midtrial settlement of claims brought by the trustee for Taylor Bean & Whitaker Mortgage Corp. that the accounting giant allegedly made possible a $5.5 billion fraud at the bankrupt mortgage lender, an attorney for the trustee said Friday.
Attorneys for a shareholder class that reached a $62 million settlement with Avon Products Inc. last year over claims that it hid violations of the Foreign Corrupt Practices Act will get $11.2 million in attorneys’ fees under final terms approved by a New York federal judge on Thursday.
A Delaware Chancery Court threw out a complaint from shareholders challenging the $3.5 billion Auspex Pharmaceuticals Inc. all-cash merger with Teva Pharmaceuticals Industries Ltd., finding Thursday that the investors failed to show the deal was steered by self-interested Auspex officers.
A financial adviser convicted of running an 8-year, $4.2 million Ponzi scheme was sentenced to five years in prison Thursday after several of her victims spoke about how she selected elderly and ill people to defraud.
A Florida federal judge gave preliminary approval Wednesday to a $20 million settlement of class action litigation accusing personal finance publisher Bankrate of fleecing investors by fraudulently boosting claimed revenues, inflating its stock price and creating artificial demand for a 2014 share offering.
In many cases, self-reporting to the U.S. Securities and Exchange Commission will yield substantial benefits. However, once a company decides to self-report and cooperate, it should be prepared to present evidence of a thorough internal investigation, remedial efforts and improvements to internal processes implemented as a result of misconduct, say Junaid Zubairi and Brooke Conner of Vedder Price PC.
A recent Law360 guest article asks whether by signing a mediation confidentiality agreement a lawyer surrenders the power to protect his client against inappropriate mediation conduct. The short response to this concern is that parties to a mediation should refuse to execute such an agreement that removes all future recourse against the mediator, no matter how egregious the mediator’s actions, says William Ruskin of Gordon Rees Scu... (continued)
Recent activity by the U.S. Department of Justice and the Federal Trade Commission make clear that enforcement of Section 8 of the Clayton Act — the prohibition against interlocks between competitors — is alive and well. Board members and officers must be on alert, say attorneys with Goodwin Procter LLP.
The pre-sentencing conduct and sentence of Owen Li, former manager of Canarsie Capital, demonstrate the value of white collar fraudsters accepting responsibility instead of pretending they’re not caught, says Daniel Wenner of Day Pitney LLP.
As technology has advanced, the ways in which attorneys communicate with clients, potential clients, former clients and the public has created new and ill-defined issues relating to whether an attorney-client relationship exists. Attorneys Elizabeth Fitch and Theodore Schaer discuss the often nebulous yet hazardous concepts that could lead to malpractice issues.
While the impact of the January 2016 Delaware decision in Trulia is profound, rumors that it represented the demise of M&A litigation were greatly exaggerated. Deal litigation continues, albeit in different forums, with different claims, and subject to different risk mitigation tactics, say Daniel Wolf and David Feirstein of Kirkland & Ellis LLP.
The Second Circuit recently held in Aluminum Warehousing that consumers that are used as tools to manipulate a defendant’s market can pursue damage claims suffered from manipulation in that market. However, the court went on to hold, consumers that suffered the consequences of a defendant’s unlawful conduct in another market cannot. This seems a bridge too far, says James Robertson Martin of Zelle LLP.
By understanding four common reasons why law firm business development initiatives fail, we can more accurately define success, avoid pitfalls, and improve return on investment, says Adam Donovan, senior manager of patent business strategy at Fish & Richardson PC.
Key Energy had adopted a code of conduct, a Foreign Corrupt Practices Act and anti-corruption policy, and a procurement policy, but made no effort to ensure that these policies were enforced in Mexico. Companies continue to fall short on the compliance front by relying on local country managers, says Michael Volkov, a former federal prosecutor.
In their July 29 response to our Law360 article critiquing the stock-price approach to assessing reverse-payment settlements, advocates of the “smoking gun” viewpoint described our position as "incorrect in theory, empirically and legally.” We disagree with this sweeping assertion, say members of Analysis Group Inc.