White Collar

  • February 26, 2015

    Judge Unseals Warrant That Drove Chiasson's Arrest

    A New York federal judge has unsealed the 2010 search warrant that led to the arrest of Anthony Chiasson, whose subsequent insider-trading conviction was recently overturned by the Second Circuit.

  • February 26, 2015

    Feds Seek Forfeiture Of Picasso Found By Customs

    Federal attorneys on Thursday launched a lawsuit seeking the forfeiture of a century-old Pablo Picasso painting belonging to the French government, which was reported stolen from a museum storeroom in Paris in 2001 and detained by U.S. Customs and Border Protection in December.

  • February 26, 2015

    Rick Perry Asks Appellate Court To Dump Felony Charges

    Former Gov. Rick Perry is asking a Texas appellate court to dismiss felony abuse-of-office charges against him, saying in a brief filed Wednesday night it would be “constitutionally offensive” to defer resolution of the case until after a trial.

  • February 26, 2015

    Group Targets DHS' Criminal Screening Program In FOIA Suit

    The Electronic Privacy Information Center asked a D.C. federal court on Thursday to order the U.S. Department of Homeland Security to release documents the organization had requested under the Freedom of Information Act related to the agency’s Future Attributes Screening Technology program.

  • February 26, 2015

    Feds Blast Ex-NJ Democratic Leader For Greed As Trial Opens

    Prosecutors opened the racketeering trial of a former New Jersey Democratic powerbroker on Thursday by accusing the attorney of leveraging his political clout to illicitly profit from government contracts and extort $1.7 million from a developer of the unfinished Xanadu project at the Meadowlands.

  • February 26, 2015

    Bharara Sued Over Insider Trading Raid On Hedge Fund

    A co-founder of Level Global Investors LP sued Manhattan U.S. Attorney Preet Bharara in federal court Thursday, claiming that prosecutors falsely implicated him in an insider trading scheme to justify a fateful 2010 raid on the hedge fund.

  • February 26, 2015

    Ex-Willkie Atty’s Personal Emails Sought In Swipe Fee MDL

    Personal emails between a former Willkie Farr & Gallagher LLP partner and a plaintiffs attorney should be made available to determine if the conversations compromised the integrity of the multibillion-dollar MasterCard Inc. and Visa Inc. swipe fee settlement, an attorney for Home Depot Inc. told a New York federal judge Thursday.

  • February 26, 2015

    Texas Lawyer Sued For Ethics Violations In Bankruptcy Suit

    The Texas State Bar Commission for Lawyer Discipline has accused a former partner with Houston-based law firm now known as Orlando & Orlando LLP of ethics violations for signing his client’s signature to documents without his knowledge, the second legal action taken against attorney Calvin C. Braun stemming from a 2010 Chapter 11 suit.

  • February 26, 2015

    Businessman Requests Probation In $23M Veterans Fraud

    A Nebraska businessman who pled guilty to swindling the federal government out of $23.4 million in construction contracts intended to go to service-disabled veterans should not go to prison because he performed the work, a sentencing memorandum filed on Wednesday in an Iowa federal court said.

  • February 26, 2015

    Ex-McGinn Smith Brokers Punished In $125M Scheme

    The U.S. Securities and Exchange Commission on Wednesday punished nine former McGinn Smith & Co. brokers in connection with an alleged $125 million investment scheme.

  • February 26, 2015

    Faegre Baker Daniels Lands Former Federal Prosecutor

    Faegre Baker Daniels announced Thursday that it has added former federal prosecutor as a partner to focus on white collar criminal defense and health care fraud out of the firm's Washington, D.C., and Chicago offices.

  • February 26, 2015

    Ex-Logica Manager Pleads Guilty To Insider Trading

    The U.K. Financial Conduct Authority said Thursday that a former manager at the multinational IT firm Logica PLC has pled guilty to reaping more than £30,000 ($46,215) through insider dealing before the company's acquisition by a Canadian rival.

  • February 26, 2015

    Senate Judiciary Committee OKs Lynch For Attorney General

    The Senate Judiciary Committee on Thursday narrowly approved the nomination of Loretta Lynch for U.S. attorney general, amid a continuing debate over recent immigration-related executive actions and her approach to “too big to jail” banks.

  • February 26, 2015

    HSBC Hit With Suit Over Money Laundering For Drug Cartel

    HSBC Bank USA NA on Wednesday was hit with more claims of money laundering in a proposed class action brought by four plaintiffs who say money stolen from them by Los Angeles street gangs was then laundered through the bank and funneled to a Mexican drug cartel.

  • February 26, 2015

    Ex-Milbank Atty Gets 15 Months For Investment Fraud

    A disbarred lawyer who once worked as an associate at Milbank Tweed Hadley & McCloy LLP was sentenced in New York federal court Thursday to 15 months in prison for defrauding investors in a Philadelphia real estate venture.

  • February 26, 2015

    Ex-Pratt Engineer Faces 20 Yrs For Iran Trade Secret Scheme

    A former Pratt & Whitney engineer faces up to 20 years in prison after pleading guilty Wednesday to attempting to ship stolen proprietary information about jet engines and the U.S. Air Force’s F-35 Joint Strike Fighter program to Iran, according to documents filed in Connecticut federal district court.

  • February 26, 2015

    Biofuel Execs Can’t Waive Atty-Client Privilege, US Says

    The U.S. on Wednesday urged an Indiana federal court to block any attempts by indicted biofuels executives to waive attorney-client privilege in an upcoming trial over an alleged $100 million biofuel tax credits scam, claiming that their refusal to discuss the matter impacts pretrial preparations.

  • February 26, 2015

    Judge Gets 2 Years, Must Pay $3M For Gov't Program Scam

    A former Nevada family court judge will spend more than two years in prison and pay $2.9 million to victims for his role in a decadelong investment scam in which co-conspirators sold nonexistent water rights to more than 50 victims under the pretense of a secret government program that also doesn’t exist, prosecutors said Wednesday.

  • February 26, 2015

    NY AG To Push Whistleblower Rewards Program

    New York Attorney General Eric Schneiderman on Thursday unveiled plans for legislation to create a program to reward and protect whistleblowers who report information about financial frauds to the state’s top cop.

  • February 25, 2015

    DOJ Counters Google's Opposition To Search Warrant Change

    The U.S. Department of Justice on Tuesday defended its push to amend procedural rules to allow courts to issue search warrants for access to electronic data located outside their jurisdiction, saying that widespread opposition to the change voiced by Google Inc., the Pennsylvania Bar Association and others was misguided.

Expert Analysis

  • Yates: A Welcome End To Prosecutorial 'Fishing' Expedition

    Diana Lloyd

    In this week's ruling in Yates v. U.S., the U.S. Supreme Court reinforced the principle that the language of a statute must be analyzed in an appropriate context and, more importantly, put a damper on prosecutors’ dangerous trend toward applying certain statutes to criminalize behavior beyond what one would reasonably understand to be prohibited, says Diana Lloyd of Choate Hall & Stewart LLP.

  • Lenity And Deference On A Collision Course

    Michael Y. Kieval

    It is clear that at least two U.S. Supreme Court justices are willing to address the issue of deference to the agency interpretation of criminal or hybrid statutes. It is less clear whether the court is interested in curbing the use of administrative adjudication to make law. Both of these trends carry particular importance for the financial services industry, say attorneys with Weiner Brodsky Kider PC.

  • Recent Lessons In Anti-Money Laundering Compliance

    Emily P. Gordy

    Chief compliance office liability continues to be one of the hottest topics in the regulatory community. Two recent enforcement actions against anti-money laundering compliance officers not only highlight the issue but also offer a number of lessons for any current or prospective AMLCO, say Emily Gordy and Renée Kramer of Shulman Rogers Gandal Pordy & Ecker PA.

  • UN Africa Report Reveals Startling Illicit Financial Flows

    Stephanie Keene

    A new, comprehensive report concludes that Africa loses more than $50 billion every year to illicit financial flows. African states are likely to devote increasing resources to the passing of new legislation concerning trade mispricing, transfer pricing and financial transparency obligations in the future, says Stephanie Keene of Covington & Burling LLP.

  • Sheldon Silver May Be Able To Beat This

    Edward J. Loya Jr.

    As difficult as the corruption case against former New York State Assembly Speaker Sheldon Silver might seem, a closer review suggests that Silver and his lawyers may have a shot at a successful defense — particularly in light of the fact that the government at this stage cannot present the testimony of a single witness who has pled guilty to participating in the alleged unlawful “schemes,” says Edward J. Loya Jr., counsel at Venab... (continued)

  • 2nd Circ. Lays Out New Rules For Restitution

    Harry Sandick

    The Second Circuit's recent ruling in U.S. v. Cuti seems to place a notable limitation on the ability of a victim of white collar crime to recover expenses incurred in the course of investigating and reporting the defendant’s criminal activity. This decision does not take into account how internal investigations are typically conducted when the allegations concern wrongdoing by senior management, say attorneys with Patterson Belkna... (continued)

  • Cyberthreat Spawns New Era Of Public-Private Collaboration

    Judith Germano

    The government and private sector already are innovating in the forms of collaboration necessary to address the cybersecurity threat. The challenge moving forward will be to institutionalize and expand these means of working together, says Judith Germano, a professor at NYU School of Law.

  • Takeaways From Pa. State Treasurer Extortion Case

    Ted Planzos

    The behavior of former Pennsylvania treasurer Robert McCord, who recently pled guilty to federal extortion charges for attempting to shake down campaign donors, is certainly not representative of the majority of elected officeholders. Nonetheless, this case illustrates the vigilance candidates and their supporters must display when it comes to avoiding any appearance of impropriety, say Ted Planzos and Beth Beacham of Clark Hill PLC.

  • 7th Circ.'s Reading Of 'Referral' Under AKS Is Expansive

    Laurence J. Freedman

    The Seventh Circuit’s decision in U.S v. Patel has vastly expanded the definition of “referral” under the Anti-Kickback Statute. While it is too early to predict whether other courts will follow this precedent, health care professionals should nevertheless take steps to protect themselves in business arrangements with health care providers to whom they refer, or for whom they certify the need for services, say attorneys at Mintz Le... (continued)

  • A Troubling Disregard For FCPA's Business Nexus Element

    Philip Urofsky

    The U.S. Securities and Exchange Commission’s charges against Layne Christensen Co. demonstrate that the government continues to treat the “business nexus element” of the Foreign Corrupt Practices Act as a seemingly unnecessary feature, and appear to contradict United States v. Kay, where the Fifth Circuit held that bribes made in exchange for a reduction in tax liability or customs duties did not per se violate the statute, say Ph... (continued)