White Collar

  • 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 $958M 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 the government is now measuring at up to $958.4 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.

  • August 29, 2014

    In FinCEN Crackdown, Casinos Must Ante Up On Compliance

    By launching new investigations and offering up some tough talk in public speeches, the Treasury Department’s Financial Crimes Enforcement Network has recently put the casino industry on notice that more anti-money laundering enforcement is headed its way, and experts say market players should be swiftly bolstering their compliance structures to keep out of the agency's crosshairs.

  • August 28, 2014

    Suspension Lifted For Judge Cleared In Ticket-Fixing Scandal

    The Pennsylvania Supreme Court on Thursday vacated a February 2013 order memorializing a suspension for Magistrate Judge Mark Bruno after his indictment in an alleged ticket-fixing scheme in Philadelphia's Traffic Court, which ended in Bruno's acquittal in July.

  • August 28, 2014

    Trusts Want Picard's $10M Clawback Suit Tossed

    Trusts seeking to kill a $10 million clawback suit by Madoff wind-down trustee Irving Picard have reiterated their case for dismissal on grounds that Picard’s failure to allege bad faith dooms the suit, based on their reading of an April ruling by Judge Jed Rakoff.

  • August 28, 2014

    Madoff Investors Sue Picower Estate For $11B In Ponzi Losses

    Victims of Bernard Madoff's Ponzi scheme launched a putative securities class action in Florida federal court Thursday seeking $11 billion in damages from the estate of Jeffry Picower, alleging he help perpetuate and conceal the fraud.

  • August 28, 2014

    Ex-SC Lawmaker Pleads Not Guilty To Money Laundering

    A former South Carolina state legislator pled not guilty Thursday to federal money laundering and fraud charges for allegedly helping the owner of a paving company conceal assets from an insurer after the company defaulted on a $6 million contract for a highway project.

  • August 28, 2014

    Banks Are Victims In Fraudulent Loan Suit, 9th Circ. Rules

    The Ninth Circuit has affirmed orders of restitution to CitiGroup Inc. and JPMorgan Chase & Co. by a man convicted of making fraudulent property-loan applications, saying that the crimes infringed on the banks' property rights and so require restitution under the Mandatory Victim Restitution Act.

  • August 28, 2014

    TD Bank Challenges $7M Settlement With Rothstein Investor

    TD Bank NA on Tuesday objected to the enforcement of a $7 million settlement with a former investor in Scott Rothstein's $1.2 billion Ponzi scheme, saying that though they had agreed in principal on a deal, the parties had not yet hammered out an order enforcing the terms of the settlement.

  • August 28, 2014

    Man Indicted For $160M Hotel Scam Tied To Visa Program

    A Chicago businessman allegedly enticed hundreds of Chinese investors hoping for U.S. residency to pump $160 million into a sham hotel project by manipulating a U.S. visa program, keeping millions in fees for himself, according to an indictment handed down in Illinois federal court.

  • August 28, 2014

    Justices Urged To Set High Bar For Threat-Speech Convictions

    People for the Ethical Treatment of Animals and a handful of pro-life groups urged the U.S. Supreme Court on Thursday to set a strong bar for threat-speech convictions, saying a recent Third Circuit decision that ignores speakers' intent would chill the speech of activists and weaken the First Amendment.

  • August 28, 2014

    Seeking Retrial, Stock Scheme Atty Says Gov't Hid SEC Docs

    An attorney convicted of participating in former NFL player Willie Gault's scheme to inflate a heart-monitoring company's stock took another shot at a retrial Wednesday, telling a Florida federal judge that newly produced U.S. Securities and Exchange Commission documents reveal the government suppressed evidence.

  • August 28, 2014

    Pa. Atty Loses Appeal Of Unauthorized Practice Conviction

    A Pennsylvania appeals court on Tuesday upheld the conviction and sentencing of an attorney charged in Allegheny County for illegally continuing to represent two of his clients after he was disbarred in the state in January 2009.

Expert Analysis

  • 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.

  • How To Control Risk And Cost Of E-Discovery

    "If you follow the philosophy of saving everything you're just multiplying exponentially the costs and risks of litigation and investigations," says Robert Owen, partner in charge of Sutherland Asbill & Brennan LLP's New York office and president of the Electronic Discovery Institute.