White Collar

  • July 28, 2014

    Law360's SEC Survival Guide: Approaching The Agency

    The moment a company realizes it may have a securities law violation on its hands is crucial, especially for its attorneys. They must promptly take control and start preparing their client to contact the last person any CEO wants to call: an enforcement official at the U.S. Securities and Exchange Commission. This is the first in a four-part series on making the best of an SEC investigation.

  • July 28, 2014

    Flow Traders Software Theft Case Headed For Trial

    A New York judge on Monday found grand jury proceedings against a former trader for a Flow Traders BV affiliate and an associate of his were legally sound, setting the stage for a trial on charges that they schemed to steal the Dutch trading house’s proprietary software and set up their own shop.

  • July 28, 2014

    Vascular Solutions Settles Ex-Sales Rep's FCA Suit

    Vascular Solutions Inc. will pay $520,000 to resolve a whistleblower's False Claims Act suit accusing the company of inducing physicians to bill federal health programs like Medicare for an unapproved treatment of varicose veins, the U.S. Department of Justice said Monday.

  • July 28, 2014

    Seller Of Bomber Plans To China Can't Shed 32-Year Sentence

    A Hawaii engineer who spent two decades building stealth bombers and other classified projects at Northrop Grumman Corp. lost his bid to overturn a conviction and 32-year sentence for selling military secrets to China, the Ninth Circuit ruled Monday.

  • July 28, 2014

    Ex-Credit Suisse Trader Seeks Leniency For Mortgage Fraud

    A former Credit Suisse AG trader who pled guilty to helping the bank hide mortgage bond losses before the financial crisis has asked a New York federal judge for a sentence of time served, claiming he was acting under orders from superiors, according to a Friday court filing.

  • July 28, 2014

    Camelot Boss Can't Ax DA's $9M Investor Theft Action

    A New York judge on Monday shot down a challenge to the indictment of the managing director of private equity firm The Camelot Group for allegedly stealing about $9.3 million in investor funds, finding the grand jury proceedings were legally sound.

  • July 28, 2014

    Police Seize $140M In Nomura Assets Over Derivatives Deals

    Italian financial-crimes police have seized $140 million from Nomura International PLC and four former employees they said Monday helped cheat the government of Sicily out of €175 million ($235 million) through fraud that included charging exorbitant interest rates on complex securities deals.

  • July 28, 2014

    Harbinger COO Admits Wrongdoing In SEC Settlement

    A former Harbinger Capital Partners LLC executive has admitted wrongdoing in connection with his role in the hedge fund's $113 million loan scandal, the U.S. Securities and Exchange Commission said Monday, giving the agency a three-for-three record on admissions of wrongdoing in the closely watched Harbinger cases.

  • July 28, 2014

    Blackwater Guards Claim Government Suppressed Evidence

    Attorneys for four former Blackwater Worldwide security guards blasted prosecutors on Monday for allegedly withholding photographs that could support claims that the convoy took on fire before killing 14 Iraqis in a Baghdad traffic circle, telling a D.C. federal judge that the move prejudiced the jury against the guards.

  • July 28, 2014

    Smith & Wesson To Pay $2M To Settle FCPA Charges

    Gunmaker Smith & Wesson Holding Corp. will pay $2 million to settle U.S. Securities and Exchange Commission charges that it violated the Foreign Corrupt Practices Act when employees and others made or authorized payments to foreign officials while trying to win contracts in Pakistan and elsewhere, the agency said Monday.

  • July 28, 2014

    US Seeks 5 Years For Ex-Evercore Banker's Insider Trades

    New York federal prosecutors are seeking up to nearly five years in prison for a former Evercore Group LLC investment banker who admitted to trading on inside information about clients, according to a Friday court filing.

  • July 28, 2014

    Lloyds To Pay $370M In US, UK Libor-Rigging Deal

    Lloyds Banking Group PLC on Monday agreed to pay approximately $370 million to settle claims from U.S. and U.K. authorities that its traders manipulated the London Interbank Offered Rate in several different denominations both during and after the global financial crisis.

  • July 27, 2014

    House Panel Won't Budge In Face Of SEC Subpoena

    A U.S. House of Representatives committee in New York federal court Friday stood its ground against a U.S. Securities and Exchange Commission subpoena for documents in connection with a health care insider trading probe, calling it a "fool's errand" with no legal backing.

  • July 25, 2014

    Ex-Ford Engineer Investigated For Recording Devices At HQ

    A mechanical engineer recently fired by Ford Motor Co. is reportedly at the center of a federal investigation for allegedly planting listening devices around the company's headquarters to monitor meetings, raising concerns the devices had been planted to steal trade secrets.

  • July 25, 2014

    Feds Level RICO Charges Against Calif. Sen. Yee

    Federal prosecutors tacked on heavier charges to California state Senator Leland Yee’s indictment Friday, adding violations of the Racketeering Influenced and Corrupt Organizations Act to accusations that Yee engaged in corrupt schemes with alleged Chinatown gangster Raymond “Shrimp Boy” Chow, according to court records.

  • July 25, 2014

    Ex-NJ Water Official Cops To Hiding Contamination

    A former high-ranking official with a New Jersey water agency pled guilty on Friday to participating in a scheme to rig water quality tests and hide contamination by a probable carcinogen, Acting Attorney General John Hoffman said.

  • July 25, 2014

    Spanier Can't Sue Pa. AG, Says Federal Judge

    A Pennsylvania federal judge on Friday tossed former Pennsylvania State University President Graham Spanier's suit against the state attorney general that aimed to halt the state's prosecution in the Penn State cover up, saying his allegations that prosecutors acted in bad faith do not warrant federal intervention.

  • July 25, 2014

    Law360's Guide To Surviving An SEC Investigation

    For many companies, confronting an investigation by the U.S. Securities and Exchange Commission is a lot like confronting a commercial lawsuit — both cost money, suck up valuable resources and threaten reputational damage. But, as a panel of Law360 experts advise, dealing with the government like you would a corporate adversary might land you in even bigger trouble. Beginning tomorrow, Law360 will run a four-part series on making the best of an SEC investigation.

  • July 25, 2014

    Stock Trader Gets 1.5 Years For Microsoft Inside Trades

    A Seattle stock trader who pled guilty to trading on inside information from a friend at Microsoft Corp., including news of the company’s impending 18 percent stake in Barnes & Noble Inc.'s e-reader business, was sentenced on Friday to one and a half years in prison.

  • July 25, 2014

    GSK Investigating Alleged Misconduct By Former Syria Ops

    GlaxoSmithKline PLC said Friday that it is investigating allegations of misconduct by the company's former consumer operations and related distributors in Syria, after receiving a whistleblower's email detailing the claims. 

Expert Analysis

  • UK Bribery Act Turns 3 — Not A Time For Complacency

    Raymond Sweigart

    Despite the announcements and commentary that the U.K. Bribery Act of 2010 heralded a new and aggressive face toward corporate corruption, there have as yet been no corporate prosecutions brought under the act. But it would be perilous in the extreme to think it is business as usual when it comes to prosecuting corruption, says Raymond Sweigart of Pillsbury Winthrop Shaw Pittman LLP.

  • Tips For Recovery Under Mandatory Victims Restitution Act

    Paul Monnin

    The Mandatory Victims Restitution Act is a valuable tool to recover the expenses of a costly, yet necessary, internal investigation into a former employee’s criminal wrongdoing. Anticipate and plan for a necessity showing under the MVRA as a potential criminal matter is being investigated and after government cooperation has commenced, say Paul Monnin and Zachary LeVasseur of DLA Piper LLP.

  • 3 Takeaways From BofA's $16.5M Settlement With OFAC

    Michael V. Dobson

    Bank of America’s roughly $16.5 million settlement with the Office of Foreign Assets Control for alleged violation of OFAC sanctions is a treasure trove of sanctions compliance guidance, and carries important lessons for those preparing to submit voluntary self-disclosures, says Michael Dobson Jr. of Kelley Drye & Warren LLP.

  • 6 Years In, Why Haven't FRE 502(d) Orders Caught On?

    John A. Rosans

    In this e-discovery era, why aren't more litigants using Federal Rule of Evidence 502(d) orders and affording themselves basic protection of their most sensitive information? Or, if they are moving for such orders, why are they doing it wrong? asks John Rosans of Katten Muchin Rosenman LLP.

  • Rakoff's Foreign Fund Clawback Ruling Has Limitations

    Raniero D’Aversa

    Judge Jed Rakoff’s recent ruling in the case of Madoff Securities gives comfort to foreign investors that the proceeds of their indirect investments in U.S. companies will not likely be clawed back, but it does not come without certain warnings and limitations — especially considering a contradictory Ninth Circuit ruling issued a mere three days prior to Rakoff’s decision, say attorneys with Orrick Herrington & Sutcliffe LLP.

  • Government Seeks To Outsource Criminal Enforcement

    Nathan Hochman

    The prosecution of FedEx Corp. for allegedly failing to heed signs that illegal Internet pharmacies were using its facilities represents a significant expansion of the U.S. Department of Justice’s efforts to outsource law enforcement to private third parties and then go after these third parties when they fail to meet an undefined standard of compliance, rather than focus on the criminals, say attorneys with Bingham McCutchen LLP.

  • Trial-Ready In 180 Days: Prepare For SDNY's Rocket Docket

    Isaac S. Greaney

    A growing trend in the Southern District of New York akin to a sua sponte rocket docket can provide defendants with an opportunity to set the tone of discovery and shift the burden and risks of the schedule to their adversaries, say Isaac Greaney and Jackie Lu of Sidley Austin LLP.

  • When You Are Responsible For Your Book Of Business

    Jennifer Topper

    Finding prospective clients and retaining them has little to do with your legal training and expertise, and yet you have no practice without successful client acquisition and retention. There is no reason you cannot apply your basic legal training to successful sales efforts hinging upon your practice strength and experience, says independent law firm consultant Jennifer Topper.

  • An Inventive Way To Remove Pure State Court Claims

    Michael E. Blumenfeld

    Nondiverse state court defendants facing purely state law claims that seek to secure federal jurisdiction should determine whether a good faith basis exists to pursue a third-party action against a federal actor in order to trigger the representative U.S. Attorney’s certification and remove such claims under the Westfall Act, say Michael Blumenfeld and Jonathan Singer of Miles & Stockbridge PC.

  • Beyond Citigroup: A Look At Corporate Settlements

    Kirsten Mayer

    A decision in Better Markets Inc. v. United States Department of Justice may provide more clarity on the scope of Executive Branch discretion in resolving corporate cases and whether there is any role for “public interest” litigation in such matters, say attorneys with Ropes & Gray LLP.