White Collar

  • September 17, 2014

    Freddie Mac Sues Deloitte For $1.3B Over Taylor Bean Fraud

    The Federal Home Loan Mortgage Corp. filed a $1.3 billion suit against Deloitte & Touche LLP in Florida state court Monday, claiming the accounting giant turned a blind eye to fraud at Taylor Bean & Whitaker Mortgage Corp. and produced flawed audit reports.

  • September 17, 2014

    Holder's Whistleblower Proposal Omits Key To SEC's Success

    U.S. Attorney General Eric Holder's proposal Wednesday to dramatically increase the size of monetary awards Wall Street tipsters can receive under the Financial Institutions Reform, Recovery and Enforcement Act may bring in more leads, but some experts say an amped-up rewards program should also take a cue from the U.S. Securities and Exchange Commission, which offers anonymity to those who come forward.

  • September 17, 2014

    Ex-Goldman VP Asks 3rd Circ. To Rehear $2.3M Fee Case

    A former Goldman Sachs vice president on Tuesday asked the Third Circuit to rehear its decision reversing an order requiring Goldman Sachs Group Inc. to pay $2.3 million for his legal bills over charges for theft of high-frequency-trading code, saying the appeals court overlooked decisions contradicting its reasoning.

  • September 17, 2014

    Renewed DOJ Fraud Focus Should Worry Bank Execs

    U.S. Attorney General Eric Holder’s proposal Wednesday to raise the cap on rewards for certain financial industry whistleblowers and make a renewed effort to pursue criminal financial fraud cases should give bank executives pause as they consider the prospect of prosecutors knocking on their doors, attorneys say.

  • September 17, 2014

    NJ High Court Takes Hard Line On Attorney Bribery

    New Jersey's highest court on Wednesday gave clear warning that attorneys convicted of official bribery or extortion will be disbarred and generally foreclosed wiggle room around that penalty, rejecting mitigating circumstances in the case of Hoboken, New Jersey's onetime mayor and stripping his license to practice law.

  • September 17, 2014

    DOJ Urges FCA Attys To Aid Criminal Fraud Cases

    Federal prosecutors increasingly are mining False Claims Act lawsuits for evidence of criminal conduct by employees of health care companies and defense contractors, a high-ranking official at the U.S. Department of Justice said Wednesday at a gathering of whistleblower attorneys.

  • September 17, 2014

    DOJ To Target Individuals Over Financial Fraud, Holder Says

    The U.S. Department of Justice is building criminal cases against individuals as it continues probes into financial fraud in the foreign exchange and residential mortgage-backed securities spheres, Attorney General Eric Holder revealed Wednesday, but he said punishing individuals would be easier if U.S. laws were updated as the U.K.’s have been.

  • September 17, 2014

    Chile Eyes Jail Terms, New Fine Ceiling For Antitrust Breaches

    Chilean lawmakers are reportedly considering reforms to the country's antitrust law that would reinstate criminal penalties for individuals and replace the current fine ceiling with a percentage of revenues model.

  • September 17, 2014

    Insurer In Judge Murder Plot Charged With Faking Records

    The insurance company founder accused of plotting to kill a prominent Delaware judge was charged with creating false documents, in an indictment unsealed Tuesday in Maryland federal court that seeks to recover over $100 million in premiums customers paid as a result of artificially inflated ratings.

  • September 17, 2014

    Feds Push 7th Circ. To Imprison Beanie Babies Creator

    The creator of Beanie Babies got off easy with a sentence of probation for evading $5.5 million in taxes through a secret Swiss bank account, federal prosecutors told the Seventh Circuit Wednesday, arguing the billionaire’s charitable works don’t outweigh the crime's severity.

  • September 17, 2014

    Pa. Man Pleads Guilty To Exporting Lab Equipment To Syria

    A Pennsylvania man on Tuesday pled guilty in federal court to conspiring to illegally export laboratory equipment, including items used to detect chemical warfare agents, from the United States to Syria.

  • September 17, 2014

    Holder Calls For Higher Awards For Wall St. Whistleblowers

    U.S. Attorney General Eric Holder on Wednesday called for bigger awards to Wall Street whistleblowers than what currently are available under the 1989 law that’s helped the federal government extract multibillion-dollar penalties from banks over their role in the mortgage crisis.

  • September 16, 2014

    Ex-Execs Face New Charges Over $300M RE Ponzi Scheme

    Continuing the federal government's pursuit for justice for an alleged $300 million real estate Ponzi scheme, federal authorities entered a superseding indictment Tuesday in Miami bringing bank fraud charges against two people focused on their alleged efforts to conceal funds from the plot.

  • September 16, 2014

    Ex-Dewey Controller Reaches Partial Deal With SEC

    Former Dewey & LeBoeuf LLP controller Thomas Mullikin has reached a partial settlement with the U.S. Securities and Exchange Commission that would resolve his liability in the agency's suit over the firm's collapse while leaving open the issue of a potential disgorgement order or fine, according to Tuesday court filings.

  • September 16, 2014

    CFTC Pulls SAC Capital’s Registrations Over Criminal Action

    The U.S. Commodities Futures Trading Commission on Tuesday officially revoked the agency’s registrations for Steven A. Cohen's SAC Capital Advisors LP as part of a settlement of an administrative action brought in response to SAC’s guilty plea to securities fraud charges last year.

  • September 16, 2014

    DLA Piper Snags Ex-Kirkland & Ellis Atty For NYC Practice

    DLA Piper has announced that it added a former Kirkland & Ellis partner with experience in complex commercial disputes and corporate fraud, including the False Claims Act and the Foreign Corrupt Practices Act, to bolster its litigation practice in New York.

  • September 16, 2014

    Philly Building Collapse Defendants Face Joint Criminal Trial

    A Pennsylvania state judge ruled on Tuesday that the two defendants charged in the catastrophic 2013 Philadelphia building collapse that killed seven and injured 13 will face a joint trial.

  • September 16, 2014

    NJ AG Wants Doc In Insurer Outsourcing Case Sanctioned

    New Jersey's attorney general moved Tuesday to sanction a doctor who brought suit alleging the state is unlawfully handing insurance fraud investigations off to insurers, saying the suit is frivolous and merely an attempt by the doctor to halt investigations into his wrongdoing.

  • September 16, 2014

    NJ Lawmakers Target Spousal Privilege In Criminal Trials

    New Jersey lawmakers introduced two bills Monday to prevent the use of marital privilege to block the admission of wiretapped communications in cases of crime or fraud in a legislative effort to close a legal loophole at the state Supreme Court's suggestion.

  • September 16, 2014

    PG&E, Calif. Officials Colluded On Rate Row Judge: Emails

    California's top energy regulator on Monday recused himself from suits over a Pacific Gas and Electric Co. natural-gas rate increase and the fatal 2010 San Bruno pipeline explosion amid the release of emails showing state officials conspired with PG&E executives to assign their preferred judge in the rate-hike case.

Expert Analysis

  • Tolling Provision Is Only Worth The Language That's Written

    Daniel Wenner

    In its recent decision in U.S. v. Mergen, the Second Circuit essentially gave the government carte blanche to style tolling provisions as it sees fit, but — and this “but” is the import of Mergen — what the government drafts is what the government gets, say Daniel Wenner and Elizabeth Latif, attorneys with Day Pitney LLP and former federal prosecutors.

  • Criminal Antitrust Policy: Bigger Sticks, Smaller Carrots

    Mark Rosman

    Recent policy statements on the U.S. Department of Justice’s criminal antitrust enforcement program provide additional clarity, and significant reaffirmation, on the DOJ’s policies and practices in prosecuting breaches of the antitrust laws. But some comments may leave companies seeking more clarification, say Mark Rosman and Jeff VanHooreweghe of Wilson Sonsini Goodrich & Rosati.

  • Bandfield Confirms Aggressive FATCA Enforcement Tactics

    Miriam L. Fisher

    The scheme detailed in the U.S v. Robert Bandfield indictment follows a well-worn path of prior offshore financial frauds, but the prosecutors’ focus on the defendants’ alleged attempt to avoid compliance with the Foreign Account Tax Compliance Act sends a strong message to the global financial community, say Miriam Fisher and Brian McManus of Latham & Watkins LLP.

  • OPINION: Why Didn’t McDonnell Plead Guilty?

    Daniel Suleiman

    Given the price of defeat and the strength of the government’s evidence, why didn’t former Virginia Governor Robert McDonnell plead guilty when he had the chance? There are three common reasons why white collar criminal defendants choose to fight instead of admit guilt, says Daniel Suleiman, special counsel at Covington & Burling LLP and a former senior official in the U.S. Department of Justice Criminal Division.

  • Problems With Volume Of Commerce In Antitrust Sentencing

    Robert Connolly

    As the Sentencing Commission reviews the antitrust guidelines, we urge that consideration be given to reforming the way volume of commerce escalates an individual’s recommended prison guidelines range, say Robert Connolly and Joan Marshall, partners with GeyerGorey LLP and former Antitrust Division prosecutors.

  • OPINION: Pro Bono May Help Diversity Recruiting Efforts

    David A. Lash

    A recent Law360 article about the perennial BigLaw concern over how to recruit and retain female and ethnically diverse attorneys addressed a new approach being taken by some law firms — going beyond traditional mentoring programs by creating a sponsorship relationship. Pro bono can also play a part, say David Lash and Merle Vaughn of the Association of Pro Bono Counsel.

  • Esquenazi In Korea: Identifying Instrumentalities Abroad

    Samantha Dreilinger

    Efforts to apply the Esquenazi definition in Korea — a country where the government plays a significant yet often obscured role in several important industries — reveal that the definition leaves important questions unresolved and provides little comfort to companies trying to determine whether a potential business partner may be subject to the Foreign Corrupt Practices Act, say attorneys with Cadwalader Wickersham & Taft LLP and Kim & Chang.

  • How Research Efficiency Impacts Law Firm Profitability

    David Houlihan

    For a law firm, excess time dedicated to legal research generates waste, either in the form of artificially reduced billable hours or, particularly in flat or contingency fee projects, as overhead eroding the profitability of legal work. By measuring five factors, firms will begin to understand their own opportunities for improving profits, says David Houlihan of Blue Hill Research Inc.

  • OPINION: SEC’s Pay-To-Play Rule Should Be Upheld

    Raymond M. Sarola

    The strict liability and broad scope of the U.S. Securities and Exchange Commission’s pay-to-play rule is an important and necessary aspect of a prophylactic approach designed to prevent and deter pay-to-play activities, says Raymond Sarola of Cohen Milstein Sellers & Toll PLLC.

  • Best Business Planning Practices For Lawyers

    Jenn Topper

    Each lawyer's practice is a self-run business, even within the platform of a firm, and yet the level of entrepreneurialism within the practice of law is oftentimes marginalized, says legal industry business development specialist Jenn Topper.