White Collar

  • May 27, 2015

    Menendez Play For DC Trial Could Yield Friendlier Jury

    U.S. Sen. Robert Menendez's bid to move his corruption trial from New Jersey to Washington, D.C., which prosecutors bashed in a recent court filing, could be a play for a more sympathetic and politically neutral jury with less-concentrated exposure to negative pretrial publicity.

  • May 27, 2015

    Global Soccer Case Kicks Off On Loretta Lynch's Home Field

    The historic soccer bribery case launched Wednesday could touch any number of international locales. But to the extent it washes up in America, it will flow through Brooklyn, a fact that did not go unnoticed Wednesday as experts saw a sign that bigger prosecutions may be bound for U.S. Attorney General Loretta E. Lynch's former turf.

  • May 27, 2015

    Martoma Plays Newman Card Again In Quest For New Trial

    Mathew Martoma, the imprisoned former SAC Capital Advisors LP manager, told the Second Circuit on Tuesday that he at least deserves a second shot at trying the insider trading case he lost last year, as the government claims against him were flatlined by the appeals court’s landmark Newman decision.

  • May 27, 2015

    US Says Convicted Guards Owe Iraqis Funeral Expenses

    Federal prosecutors asked a D.C. federal judge Tuesday to require four former Blackwater Worldwide security guards to pay for funeral costs and other expenses of victims in a deadly 2007 shooting in Iraq.

  • May 27, 2015

    SEC Says $180M Penalty For Ponzi Feeder More Than Fair

    The U.S. Securities and Exchange Commission on Tuesday refuted convicted investment fund manager George Levin's arguments for a reduction from its requested $180 million judgment against him, saying it is not even seeking the full disgorgement it is entitled to pursue.

  • May 27, 2015

    Ex-Madoff Trader Who Aided US Probe Avoids Prison

    A former trader at Bernie Madoff's securities firm, who cooperated with the government’s investigation into the largest Ponzi scheme in U.S. history, became the third former employee in two weeks to avoid prison time Wednesday in New York federal court.

  • May 27, 2015

    Indictments In Helicopter Contract Fraud Case Dismissed

    A North Carolina federal judge tossed fraud indictments against the owners of a helicopter maintenance contractor and a U.S. Marine Corps contracting officer’s representative Tuesday, saying the government didn’t allege the three actually broke the law.

  • May 27, 2015

    NY AG Schneiderman Outlines Sweeping Ethics Reform Bill

    New York Attorney General Eric T. Schneiderman said Wednesday he will submit a sweeping ethics bill to the state legislature to strengthen the attorney general’s office, ban outside income for lawmakers and reform campaign finance rules, promising legislation that “gets to the root of corruption.”

  • May 27, 2015

    BDO To Pay $40M to Put Stanford Ponzi Suit In Rearview

    The auditor long alleged to be complicit in Robert Allen Stanford’s $7 billion Ponzi scheme has agreed to a $40 million settlement with the official Stanford investor committee, though the it continues to assert it had nothing to do with the racket.

  • May 27, 2015

    FBI Won't Treat Data Breach Victims As Targets, Official Says

    A top official in the FBI's cybersecurity division said Wednesday that the bureau has begun to treat breached companies like traditional crime victims rather than negligent data custodians, citing the use of trauma specialists and other victim resources deployed in the aftermath of the 2014 North Korean cyber attack on Sony Corp.'s networks.

  • May 27, 2015

    FCC Suspends Telecom Co. From Lifeline After $20M Fraud

    The Federal Communications Commission on Tuesday moved to suspend and debar an Oklahoma wireless telephone company convicted of swindling nearly $20 million from the Lifeline program that provides subsidies to make phones more affordable to low-income Americans.

  • May 27, 2015

    NY Judge Nixes Deal In Full Tilt Poker RICO Class Actions

    A New York magistrate judge on Tuesday rejected a proposed settlement and refused to certify three putative Racketeer Influenced Corrupt Organizations Act class actions alleging Full Tilt Poker conspired to defraud account holders of millions, saying the deal denies due process to certain class members.

  • May 27, 2015

    Massive Global Soccer Bust Called 'The World Cup Of Fraud'

    U.S. authorities on Wednesday unveiled a racketeering case against top-level international soccer, charging executives at FIFA, the sport's global organizer, with taking $151 million in bribes to back tournament marketing contract applicants and warning more charges are likely in store in an ongoing investigation.

  • May 26, 2015

    Ernst & Young Sat On Wal-Mart Bribery Claims, Group Claims

    A Wal-Mart Stores Inc. shareholder advisory group last week asked regulators to investigate whether Ernst & Young LLP knew about potential allegations against the retail giant’s Mexican branch years before the company disclosed the allegations to U.S. authorities.

  • May 26, 2015

    Skype Under Fire From Belgian Gov’t After Blocking Wiretap

    A Belgian prosecutor’s office north of Brussels has levied charges against Skype for failing to comply with a wiretap request in a separate criminal investigation, a court spokesman said Tuesday, setting up yet another European court showdown over Internet companies’ obligations to law enforcement.

  • May 26, 2015

    Medicare Fraudster Gets 7 Years For $3.3M Scam

    The former owner of a Los-Angeles-based medical supply company was sentenced Tuesday in California federal court to seven years in prison and $1.7 million in restitution for his role in submitting $3.3 million in fraudulent Medicare equipment claims.

  • May 26, 2015

    Ex-Freedom Prez Moves To DQ Entire US Attorneys' Office

    The former president of Freedom Industries Inc. is once again questioning his ability to receive a fair trial in southern West Virginia, telling a federal judge that responses he received from the prosecutors overseeing his criminal case indicate that the entire U.S. attorneys’ office should be disqualified for bias.

  • May 26, 2015

    Atty Gets 18 Months For Stock Manipulation Scheme

    A microcap securities attorney received an 18-month prison sentence in New Jersey on Tuesday for conspiring to puff up the stock of social media and energy companies to reap illicit profits, including one alleged scheme in which two Canadian stock promoters also face criminal charges.

  • May 26, 2015

    Philly Hotel Top Brass Accused Of Defrauding UPenn Of $3M

    Two top employees at a Sheraton Hotel in Philadelphia were accused Tuesday of defrauding the University of Pennsylvania of more than $3 million through false billings.

  • May 26, 2015

    Quinn Taps Ex-Kirkland White Collar Pro For Shanghai Office

    Quinn Emanuel Urquhart & Sullivan LLP announced Tuesday that it is moving into Shanghai with the addition of a former prosecutor and Asia-based government enforcement and investigations specialist who joins the firm from Kirkland & Ellis LLP.

Expert Analysis

  • SEC Focus On Administrative Proceedings: Midyear Checkup

    Sara Gilley

    Enforcement activity in the first half of 2015 indicates that the U.S. Securities and Exchange Commission is on track for another strong year of new enforcement actions filed, with the vast majority of its enforcement cases being brought as administrative proceedings. This shift could prove burdensome for financial fraud defendants, say analysts at Cornerstone Research.

  • Anti-Corruption Enforcement Is Escalating Worldwide

    Richard C. Smith

    The first half of 2015 has seen a flurry of anti-corruption enforcement activity in the U.S. and abroad. As countries battle corruption within their own borders, their increasingly aggressive approach signals a likely increase in intergovernmental cooperation and coordination of enforcement efforts across borders, say attorneys with Norton Rose Fulbright.

  • 1 Small Provision For Barclays, 1 Big Step For Compliance

    Mark Rosman

    Last week's Barclays PLC plea deal represents the first time that the Antitrust Division of the U.S. Department of Justice has awarded a company sentencing credit for implementing an effective compliance program after the start of an investigation, say attorneys with Wilson Sonsini Goodrich & Rosati PC.

  • The Illusory Value Of Requiring Individual Breach Notices

    Joshua Lee

    Although the Consumer Privacy Protection Act — the latest proposed federal response to the problem of criminal data theft — takes a progressive approach to notice with many welcome reforms, legislators, consumers and businesses affected by the law should ask whether individual notice requirements really achieve enough good to justify their costs, says Joshua Lee of Irell & Manella LLP.

  • Digging Through The New Federal Rules Of Civil Procedure

    Leeron Morad

    Last month, behind the scenes, the U.S. Supreme Court quietly approved changes to the Federal Rules of Civil Procedure. Though the ultimate impact of the amendments remains to be seen, they will affect discovery and document production proceedings for both litigants and practitioners, say Leeron Morad and Andrew Bramhall of Quinn Emanuel Urquhart & Sullivan LLP.

  • What Was Wrong With BHP Billiton's Compliance Program

    Lisa Prager

    Assistant Attorney General Leslie Caldwell recently reiterated a common theme from enforcement agencies — having a written compliance program on paper is not sufficient. The U.S. Securities and Exchange Commission's settlement with BHP Billiton Ltd. for Foreign Corrupt Practices Act violations is the quintessential case in point, say attorneys with Schulte Roth & Zabel LLP.

  • What’s Missing From The SEC’s Forum Selection Guidance

    Thomas A. Hanusik

    In its recent guidance on forum selection, the U.S. Securities and Exchange Commission missed a golden opportunity — instead of addressing the legitimate and widespread criticism of its increasing use of the administrative forum, the SEC dodged the key issues and failed to make the forum selection process fairer to defendants, say attorneys with Crowell & Moring LLP.

  • DOJ Is Trying To Show Benefits Of Corporate Cooperation

    Ryan Rohlfsen

    Recent Foreign Corrupt Practices Act cases and commentary from U.S. Department of Justice officials illustrate possible costs, benefits and pitfalls in the disclosure and cooperation calculation, say Ryan Rohlfsen and David Nordsieck of Ropes & Gray LLP.

  • 10 Corporate Culture Lessons From Deutsche Bank

    Betsy P. Collins

    Regulators blamed Deutsche Bank's Libor-related misconduct on the culture within the bank, whose unsecured and permissive business model allowed egregious and pervasive misconduct to thrive. Fixing a broken corporate culture is hard and painful, and regaining a lost reputation for integrity is virtually impossible, say Betsy Collins and Mignon Lunsford of Burr & Forman LLP.

  • US V. Vassiliev — Some Foreign Bribery Is Beyond US Reach

    Drew Harker

    A California federal court's recent decision in U.S. v. Vassiliev limiting the reach of U.S. anti-bribery laws, not including the Foreign Corrupt Practices Act, confirms that the courts will rein in expansive enforcement efforts if extraterritoriality requirements for jurisdiction are lacking, say attorneys with Arnold & Porter LLP.