White Collar

  • November 26, 2014

    2 Years On, FCA Battles Test Caronia Ruling's Reach

    Two years after the Second Circuit’s Caronia ruling gave free speech cover to off-label drug promotion, the U.S. Department of Justice has become shrewder about bringing False Claims Act cases involving dicey marketing, and imminent rulings are poised to shape the decision’s reach, experts say.

  • November 26, 2014

    Revolving-Door Roundup: Gibson Dunn, Holland & Knight, Irell

    November was a relatively slow month for attorneys moving between the public and private sectors, with only four job-hoppers, in comparison to last month's dozen and a half. But the crop still included stars like a top lawyer for the state of New Jersey and a leading aide to New York Gov. Andrew Cuomo.​

  • November 26, 2014

    SEC Will Hear SAC Trader Steinberg's Appeal Of Industry Ban

    The U.S. Securities and Exchange Commission on Wednesday granted former SAC Capital Advisors LP trader Michael Steinberg’s request to hear his appeal of an in-house judge’s decision to ban him from the securities industry following his insider trading conviction last year.

  • November 26, 2014

    Fund Dropped From Suit Over $3.5B Petters Ponzi Scheme

    A hedge fund operated by a man accused of funneling hundreds of milllions of dollars to convicted Ponzi schemer Thomas Petters is being dropped as a defendant in a class action alleging damages from the $3.5 billion scheme.

  • November 26, 2014

    3rd Circ. Affirms Freeh's Right To Remove Libel Suit

    The Third Circuit on Tuesday confirmed that attorney and former FBI Director Louis Freeh, whose firm issued a sharply critical report on an alleged cover-up of sex abuse at Penn State University, has the right to remove a forthcoming libel suit to federal court.

  • November 26, 2014

    DHB Investors Reach $37M Deal To Fund Ch. 11 Plan

    The bankruptcy estate of military body armor maker DHB Industries Inc., felled by a massive insider-trading fraud, unveiled a settlement Tuesday with victimized company investors that hands them $37 million in disputed funds in exchange for their financing a liquidation plan.

  • November 26, 2014

    Texas Investigator Accused Of Stealing $200K In Comic Books

    A former investigator with the Harris County District Attorney’s Office stole more than $200,000 worth of rare comic books from the subject of a 2012 embezzlement case, according to an indictment filed Wednesday in a Houston state court.

  • November 26, 2014

    Spyware App Creator Sentenced In Groundbreaking Va. Case

    A Pakistani man was sentenced in Virginia federal court on Tuesday to time served for selling a spyware app that could secretly monitor calls, texts and videos on smartphones, in a case that prosecutors called the first of its kind.

  • November 26, 2014

    Fla. Stock Scheme Atty Sees Post-Trial Motions Rejected

    A Florida federal judge on Tuesday rejected a slew of post-trial motions lodged by attorney Mitchell J. Stein, convicted of participating in former NFL player Willie Gault's scheme to inflate heart-monitoring company Signalife Inc.'s stock, as prosecutors told the court Stein should serve 25 years in prison.

  • November 26, 2014

    Corrupt Philly Municipal Court Judge Disbarred

    Former Philadelphia Municipal Court Judge Joseph Waters, who pled guilty in September to federal corruption charges for intervening in two cases on behalf of campaign contributors, was disbarred on Tuesday by the Pennsylvania Supreme Court.

  • November 25, 2014

    9th Circ. Reinstates Ex-Miss Montana's Fraud Conviction

    The Ninth Circuit has reinstated the mail fraud conviction of a former Miss Montana in connection with insurance coverage for a $15,000-per-month temporary house rental, saying Monday that her representations as to her standard of living constituted “material misrepresentations” to insurance company Chubb Corp.

  • November 25, 2014

    Greenberg Traurig Nabs Federal Prosecutor In Miami

    Former Assistant U.S. Attorney Jared “Jed” E. Dwyer has joined Greenberg Traurig LLP's litigation and white collar criminal defense practice groups in its Miami office, the firm announced Tuesday.

  • November 25, 2014

    Judge Recommends $5.7M Penalty In Corporate Hijacking Suit

    A New York federal magistrate judge is recommending new civil penalties of $5.72 million against two men who prosecutors have said helped perpetrate “corporate hijackings” by fabricating business documents used in an international investment fraud and money laundering scheme.

  • November 25, 2014

    Ex-Pa. Judge Disbarred After Plea Deal In Bribery Case

    The Pennsylvania Supreme Court on Tuesday accepted a statement from a former Luzerne County judge who agreed to resign from the state’s bar after pleading guilty to charges that he appointed an attorney’s handpicked arbitrator in an insurance dispute in exchange for a bribe.

  • November 25, 2014

    Philly Atty Meehan Charged In Underage Prostitution Probe

    A former name partner with the Philadelphia-based firm formerly known as Bishop Dorfman Lazaroff Meehan was charged on Tuesday for allegedly sexually assaulting a 14-year-old girl who was forced into prostitution by a couple in the city’s Germantown neighborhood in 2012.

  • November 25, 2014

    Mutual Benefits CEO Hit With $645M Penalty In Fraud Case

    A Florida federal judge on Monday ordered former Mutual Benefits Corp.'s CEO to pay $645 million in restitution for masterminding an $837 million insurance investment scam, described by a federal prosecutor as among the country's worst frauds ever.

  • November 25, 2014

    Automotive Co. Continental Will Pay $4M For Fixing Prices

    Continental Automotive Electronics LLC has agreed to plead guilty and pay a $4 million criminal fine for its role in a conspiracy to rig bids of instrument panel clusters installed in Korean vehicles made and sold in the U.S., the U.S. Department of Justice announced on Monday.

  • November 24, 2014

    Ex-ArthroCare CEO Wants Retrial Over $756M Fraud Scheme

    Convicted former ArthroCare Corp. CEO Michael Baker is asking a Texas federal court to grant him a new trial, saying his conviction for an estimated $756 million earnings-fraud scheme was tainted by a deal-breaking mistake during the jury selection process.

  • November 24, 2014

    Seven Indicted In $5M Brooklyn Pharmacy Medicaid Scam

    New York authorities said Monday they have indicted seven people, including a convicted and deported scammer, in connection with a $5 million scheme to overbill Medicaid by paying pharmacy customers for prescriptions and then billing for the drugs even though they were never dispensed.

  • November 24, 2014

    Deepwater Fraudster Deserves Harsh Sentence: 6th Circ.

    The Sixth Circuit on Monday affirmed the 15-year prison sentence of a former Detroit mayoral candidate who was convicted of filing a fake $2.58 million claim for damages suffered in the Deepwater Horizon oil spill, saying the upward variation in his sentence was warranted.

Expert Analysis

  • Reminder: FCPA Charges Can Focus On Improper Gifts Alone

    Philip Urofsky

    The government’s tendency to mention improper gifts as mere "icing on the cake" to more serious allegations of cash bribes does not mean that prosecutors will not bring enforcement actions for gifts alone, as shown by the U.S. Securities and Exchange Commission's recent Foreign Corrupt Practices Act action against two former employees of defense contractor FLIR Systems Inc., say Philip Urofsky and Kyle Noonan of Shearman & Sterling LLP.

  • Remembering Doar: Justice As A 4-Letter Word

    Kevin J. Curnin

    John Doar ran the U.S. Justice Department's Civil Rights Division at perhaps the most chaotic and pivotal time in its history. His passing earlier this month is an occasion for lawyers everywhere to marvel at just how impactful one attorney can be. He didn’t just preside at a historic time, he calmly and coolly shaped it, says Kevin Curnin of the Association of Pro Bono Counsel.

  • DOJ Is Moving Away From The Halliburton Opinion

    Charles Duross

    The U.S. Department of Justice recently issued its second Foreign Corrupt Practices Act opinion release of 2014. The DOJ's conclusion that the acquisition of a company does not create FCPA liability where none existed before is both unsurprising and entirely consistent with the FCPA resource guide, but perhaps more interesting than what the DOJ said is what the DOJ did not mention — the Halliburton opinion, say attorneys with Morri... (continued)

  • Differentiate Your Litigation Practice With Data Security

    Jennifer Topper

    Despite the significant tilt toward technology in how litigation is now conducted, many senior lawyers still delegate tech-related issues to e-discovery specialists or associates at their firms. This is a missed opportunity not just for client development, but also for shaping the way the firm and lawyer are seen in the eyes of corporate counsel, says legal industry business development specialist Jenn Topper.

  • Voluntary Disclosure: The Continuing FCPA Debate

    Michael Volkov

    In the absence of a defined benefit that a company can earn from voluntary disclosure, Foreign Corrupt Practices Act practitioners are left to guess the exact benefit or range of outcomes that could result. Some have dusted off an old proposal to address this issue — adoption of a corporate leniency program similar to that used by the Antitrust Division. The proposal has no merit, says Michael Volkov of The Volkov Law Group LLC.

  • Does Dodd-Frank Protect Foreign Whistleblowers?

    Matthew K. Edling

    In Liu v. Siemens, the Second Circuit upheld a ruling from the Southern District of New York, concluding that Congress did not envision the Dodd-Frank Act protecting foreign whistleblowers. Neither Liu court, however, attempted to reconcile this conclusion with the fact that Dodd-Frank governs violations of the Foreign Corrupt Practices Act — a definitively extraterritorial law, say Matthew Edling and Ben Fuchs of Cotchett Pitre & McCarthy LLP.

  • Novartis FCA Case Reaffirms Importance Of Company Policies

    Michael Loucks

    To the extent other courts adopt the New York federal court's analysis in U.S. v. Novartis Pharmaceuticals Corporation, the collateral consequence of an employee breach of internal policy or industry code of ethics and a corporate failure to appropriately sanction those employees could yield adverse consequences in the event of follow-on federal False Claims Act litigation, say attorneys with Skadden Arps Slate Meagher & Flom LLP.

  • The Print Room: How To Spend Less And Get More

    Senthil Rajakrishnan

    Our estimates indicate that some law firms spend up to $8,000 per attorney each year on print-related costs. Although we live in a digital world, hard copy printing will remain an important part of business for years to come. Changing technology, however, offers opportunities to improve efficiencies and save money, say Senthil Rajakrishnan and Ryan Mittman of HBR Consulting LLC.

  • Dewey Partner Clawback Ruling May Hurt New York Law Firms

    Evan C. Hollander

    Unless the recent ruling in the Dewey & LeBoeuf LLP bankruptcy case is overturned on appeal or the New York Legislature amends the state’s fraudulent transfer and partnership laws, partners of New York firms will bear greater risk if their firms fail than will members of many non-New York partnerships. This risk factor might even affect decisions by prospective lateral partners about which firms to join, say attorneys with Arnold & Porter LLP.

  • Takeaways From Report On Global Anti-Bribery Enforcement

    Sean Hecker

    While Transparency International’s 10th annual progress report on global enforcement of the Organization for Economic Cooperation and Development’s Anti-Bribery Convention is a useful reminder of the still-nascent stage of many cross-border anti-bribery regimes, compliance professionals should not rely too heavily on the country-by-country assessments, say attorneys with Debevoise & Plimpton LLP.