White Collar

  • September 2, 2014

    Rothstein Trustee Gets Judge's Nod For Up To $37M Payout

    A Florida bankruptcy judge on Tuesday signed off on a deal that would allow the trustee charged with liquidating Ponzi schemer Scott Rothstein’s law firm to pay out $34 million to $37 million to the firm's creditors, nudging forward a settlement that will make the scheme’s victims whole.

  • September 2, 2014

    Hi-Tech Execs Ordered To Jail For Contempt Of Recall Order

    Two directors of Hi-Tech Pharmaceuticals Inc. were ordered jailed Tuesday when a judge found that the recall of their weight loss product, part of a $40 million sanctions package, was ineffective enough to merit contempt of court — but the judge also had harsh words for the Federal Trade Commission's “inaction.”

  • September 2, 2014

    Ex-Mayor Says Miami Lakes Has No Business In His Appeal

    Former Miami Lakes, Florida, Mayor Michael A. Pizzi, who was recently acquitted of federal bribery and extortion charges and is seeking a Florida Supreme Court decision ordering Gov. Rick Scott to revoke his suspension from office, on Tuesday fought back against the town's attempt to have a say in his appeal.

  • September 2, 2014

    Gov't Fights Ex-Alstom Exec's Bid To Toss FCPA Charges

    U.S. prosecutors have asked a judge not to dismiss charges against a former executive of French power company Alstom Holdings SA over the company's alleged bribes to secure a $188 million contract in Indonesia, arguing in a recent court filing that the motion was premature.

  • September 2, 2014

    Simpson Thacher Nabs DOJ's Criminal-Fraud Chief

    The Department of Justice's criminal-fraud head will rejoin Simpson Thacher & Bartlett next week after a tenure leading prosecutions and investigations that led to a $108 million settlement with Hewlett-Packard and a $384 million deal with Alcoa.

  • September 2, 2014

    SAC's Cohen Sees SEC Case Delayed Again

    A U.S. Securities and Exchange Commission judge on Tuesday agreed to continue to delay an administrative proceeding against SAC Capital's Steven A. Cohen at the request of Manhattan U.S. Attorney Preet Bharara.

  • September 2, 2014

    NY's Rep. Grimm Set To Face Tax Evasion Trial After Midterms

    U.S. Rep. Michael G. Grimm, a New York Republican facing a slew of tax evasion charges, won't face trial until Dec. 1, after the midterm elections, according to a document from a Tuesday scheduling conference in New York federal court.

  • September 2, 2014

    Credit Suisse Reportedly Probing Trader Misconduct

    Credit Suisse Group AG is conducting an internal investigation into allegations of trader misconduct on its European equities desk, according to Tuesday news reports.

  • September 2, 2014

    LA Says Hotel Log Views Exempt From Facial Privacy Claims

    Los Angeles again has asked the U.S. Supreme Court to review a Ninth Circuit decision striking down the city's law allowing warrantless searches of hotel registries, arguing that the high court needs to clarify when Fourth Amendment facial challenges are permitted against such laws.

  • September 2, 2014

    SC AG Says Tax Records Are Fair Game In Criminal Cases

    Tax returns and other tax related information can be disclosed in South Carolina criminal cases without violating a state law that prohibits the disclosure of records that are filed with the state Department of Revenue, according to a letter released by the South Carolina Office of the Attorney General.

  • August 29, 2014

    Order On Microsoft Customer Emails Warrant Back In Play

    A New York federal judge lifted a stay on an order that Microsoft Corp. produce customer emails stored on a company server located overseas, ruling Friday that the order, which stems from a narcotics trafficking probe, wasn't final and therefore wasn't subject to appellate review.

  • August 29, 2014

    Madoff Trustee Seeks Repleadings In Bankruptcy Suits

    The bankruptcy trustee for Bernard Madoff’s investment fund asked a New York bankruptcy judge on Thursday for time to replead cases against Credit Suisse Group AG and others in light of new standards handed down from the district court.

  • August 29, 2014

    Ex-Arthrocare CEO Gets 20 Years In $756M Fraud Case

    A Texas federal judge on Friday sentenced the former CEO of Arthrocare Corp. to 20 years in prison and the company's ex-CFO to 10 years after they were convicted of perpetrating a securities fraud that is now estimated at about $756 million, according to authorities. 

  • August 29, 2014

    Texas High Court Won't Overturn Fraudster's Disbarment

    The Texas Supreme Court on Friday again rejected a bid by a disbarred lawyer to reinstate his law license after he was convicted in a fraud scheme involving a medical device company and sentenced to 20 years in prison.

  • August 29, 2014

    Eckert Seamans Pushes To Stay In 'Kids-For-Cash' Fight

    Eckert Seamans Cherin & Mellott LLC struck back Wednesday against a motion seeking the firm's disqualification from defending a Pennsylvania businessman accused of concealing his involvement in Luzerne County's “kids for cash” scandal to induce a business partner to invest in juvenile detention facilities.

  • August 29, 2014

    Ex-Mutual Benefits CEO Gets 20 Years For $837M Fraud

    Ailing former Mutual Benefits Corp. CEO Joel Steinger received a 20-year sentence Friday in Miami federal court for masterminding an $837 million insurance investment scam that the prosecutor said ranks among the country's worst frauds, alongside Bernie Madoff's and Scott Rothstein's Ponzi schemes.

  • August 29, 2014

    SEC Judge Shouldn't Delay Steinberg's Industry Ban: Attys

    A U.S. Securities and Exchange Commission judge should waste no time in banning hedge fund manager Michael Steinberg from the securities industry over his insider trading conviction, despite a looming Second Circuit decision that could eventually set him free, enforcement attorneys said this week.

  • August 29, 2014

    Ex-Rothstein Firm CFO Gets 5 Years For Aiding $1.2B Scheme

    The former chief financial officer of convicted Ponzi schemer Scott Rothstein's law firm, Rothstein Rosenfeldt Adler PA, was sentenced Friday to five years in prison for knowingly diverting investor money in support of the $1.2 billion scheme and floating checks to make the firm's finances seem legitimate.

  • August 29, 2014

    Gibson Dunn Bills Disputed By Mining Co. SouthGobi

    Mining company SouthGobi Resources Ltd. filed suit on Thursday against Gibson Dunn in California court, seeking a ruling that it doesn't owe the firm anything for allegedly unauthorized services Gibson Dunn attorneys provided a SouthGobi lawyer in connection with a criminal investigation in Mongolia.

  • August 29, 2014

    Revolving-Door Roundup: DLA Piper, Akin Gump, Covington

    August saw a number of big names move back and forth between the government and BigLaw, and no firm played a bigger role in that movement than DLA Piper. Of the nine attorneys who crossed the public-private divide, three of them now call DLA Piper home.

Expert Analysis

  • 3rd Circ. Curtails Review For Error At Sentencing

    Daniel Wenner

    Appealing a sentence based on procedural error just got harder in the Third Circuit. Following U.S. v. Flores-Mejia, to avoid plain-error review, defense counsel must be vigilant during sentencing hearings to point out to the district court all possible procedural errors after the sentence is imposed, says Daniel Wenner of Day Pitney LLP.

  • 5 Reasons Large Companies Are Turning To Boutique Firms

    David M. Levine

    The departure of attorneys from large firms is a trend that has increased as a result of the Great Recession and its aftermath, and boutique firm partners who previously worked at large firms understand the potential large-firm pitfalls, say attorneys with Levine Kellogg Lehman Schneider & Grossman LLP.

  • High Court Should Review Scope Of Crime-Fraud Exception

    Matthew D. Lee

    Given the significant differences among the circuits in examining the crime-fraud exception, and the Third Circuit’s recent erosion of the attorney-client privilege, U.S. Supreme Court review is necessary to ensure the consistent treatment of litigants and to protect the privilege, say attorneys with Blank Rome LLP.

  • Barko Muzzled, But Attorney-Client Info Remains At Risk

    Andrew Irwin

    There can be no assurance that the D.C. Circuit’s decision in Barko v. Halliburton Co. will lead courts in other jurisdictions to reach similar results — particularly in jurisdictions outside the U.S. where multinational corporations may well face efforts to compel disclosure of attorney-client information, say attorneys with Steptoe & Johnson LLP.

  • Del.’s Adoption Of Garner — And Practical Ways To Respond

    Bruce A. Ericson

    A Delaware Supreme Court decision in a Wal-Mart shareholder suit connected to alleged bribery may breathe new life into the Garner doctrine and serves as a reminder of the fragility of the attorney-client privilege, say Bruce Ericson and Dorothy Kaslow of Pillsbury Winthrop Shaw Pittman LLP.

  • A 2014 US-UK Criminal Competition Law Roundup

    Trupti Reddy

    Recent developments indicate that the regulatory mood in the United States and U.K. is increasingly shifting toward going after not only companies involved in cartel activity, but also individuals working at those companies, say Trupti Reddy and Chime Metok Dorjee of Edwards Wildman Palmer UK LLP.

  • Medical Directors At Risk Under Anti-Kickback Statute

    Steve Grimes

    Over the years, the scope of prohibited conduct covered by the Anti-Kickback Statute has expanded, giving the federal government extraordinary power to investigate and prosecute those suspected of putting their own financial well-being ahead of their patients’ care, say Steve Grimes and Dan Rubinstein of Winston & Strawn LLP.

  • Fresenius Opens Door To FCA Tax Breaks

    Lawrence Hill

    Fresenius Medical Care Holdings Inc. v. U.S, recently decided by the First Circuit, opens the door for corporations to seek deductions for the double damages portion of False Claims Act awards in the absence of a tax characterization agreement, say attorneys with Shearman & Sterling LLP.

  • Recent FTAIA Cases Leave Important Questions Unresolved

    Jeffrey Jacobovitz

    In the last five months, three circuit courts have interpreted the Foreign Trade Antitrust Improvements Act, with some staking out differing positions on important aspects — namely, the requirement that foreign anti-competitive conduct have a direct effect on U.S. commerce in order to fall outside the FTAIA's general exemption for foreign conduct, say Jeffrey Jacobovitz and David Hobson of Arnall Golden Gregory LLP.

  • AKS Unlikely To Be Raised Over Pharma Discount Sales

    Stephanie Trunk

    A recently issued opinion from the U.S. Department of Health and Human Services' Office of Inspector General assented to a drug manufacturer’s online discount program for branded drugs, making discount and referral arrangements less likely to raise concerns when they avoid federal reimbursement systems, say Stephanie Trunk and Brian Schneider of Arent Fox LLP.