Asset Management

  • August 17, 2017

    Feds Urge Nix Of Ex-Hunton Atty's New Trial, Acquittal Bids

    Federal prosecutors urged a New York federal court on Wednesday to deny former Hunton & Williams LLP patent lawyer Robert Schulman's bids for acquittal and a new trial, saying his new arguments about the government's supposed failure to prove a single insider trading conspiracy between him, his investment adviser and a friend of the adviser are "meritless."

  • August 17, 2017

    Lehman Attys Tout Progress As 9th Ch. 11 Anniversary Nears

    As the ninth anniversary of Lehman Brothers’ historic collapse approaches, attorneys overseeing the wind-down of the former banking giant reported Thursday that over the past year, the estates have doled out $7 billion to creditors and wrapped up all bankruptcy court claims brought against Lehman Brothers Inc.

  • August 17, 2017

    Insider Trading Case Aided By New Tech, Hobbled By Newman

    Federal prosecutors and the U.S. Securities and Exchange Commission on Tuesday announced their largest insider trading case in years against a former Bank of America employee and six associates, and experts say the charges illustrate the power of the SEC's new data analysis tools as well as the continuing influence of the Second Circuit's Newman decision.

  • August 17, 2017

    8th Circ. Says Ritchie's Suit Should Be Stayed, Not Tossed

    An Eighth Circuit panel on Thursday said a Minnesota federal court wasn’t out of bounds refusing to hear a suit brought against BMO Harris Bank NA by one of the creditors to Thomas Petters in his $3.7 billion Ponzi scheme, but the suit should have been stayed rather than dismissed.

  • August 17, 2017

    Chinese Investment Co. Snags MassMutual Unit For $1.7B

    MassMutual International LLC has agreed to sell its Hong Kong-based subsidiary to a Chinese financial services company for $1.01 billion in cash and roughly $664.6 million worth of stock, the insurance holding company announced Thursday.

  • August 17, 2017

    SEC Suit Against Atty-Investor In Legal Receivables Trimmed

    An administrative law judge on Wednesday trimmed a U.S. Securities and Exchange Commission complaint accusing a New Jersey attorney and his hedge fund of using investors’ funds for risky investments in legal receivables, ruling that claims that they inflated the value of the investments “amount to nothing.”

  • August 17, 2017

    PE Fund, AGs Reach $192M Deal Over Corinthian Colleges

    The attorneys general of 13 states reached a $192 million settlement with Aequitas Management LLC on Thursday over claims the private equity fund schemed with defunct Corinthian Colleges Inc. to skirt government lending rules and keep federal loans flowing to the vulnerable students the for-profit school operator allegedly preyed on.

  • August 17, 2017

    Acadia Shareholders, Execs Slash Stakes In Health Care Co.

    Behavioral health care company Acadia on Wednesday announced that four of its top executives and a handful of shareholders were cutting their stakes and selling off a combined 2.8 million shares in the company in an underwritten public offering.

  • August 17, 2017

    SEC Tosses Fund Manager 'Death Put' Scheme

    A Securities and Exchange Commission in-house judge on Wednesday dismissed enforcement staff's claims that a New York hedge fund manager defrauded bond issuers by recruiting terminally ill patients to profit on early redemptions, praising the manager's integrity and suggesting he fairly exploited a Wall Street loophole.

  • August 17, 2017

    Asset Manager To Pay $275K For Mischarging Fund It Advised

    Investment adviser Capital Dynamics Inc. has agreed to pay $275,000 to resolve allegations by the U.S. Securities and Exchange Commission that it violated federal securities laws by billing a solar power fund it managed $1.3 million in legal, hiring and consulting costs that it should have paid itself.

  • August 17, 2017

    Edison Int'l To Pay At Least $7.5M In Prolonged ERISA Row

    A California federal judge on Wednesday said that Edison International was liable for breaching its fiduciary obligations under the Employee Retirement Income Security Act to workers who claimed that the utility chose unnecessarily expensive retirement plans, accepting an agreement that leaves Edison on the hook for at least $7.5 million in damages.

  • August 17, 2017

    Pension Funds Say Banks Blocked Stock Loan Competition

    A group of public pension funds on Thursday sued Bank of America Corp., JPMorgan Chase & Co., Goldman Sachs Group Inc. and two other big banks alleging that they colluded to prevent modernization of the $1.7 trillion stock loan market to prevent losing out on massive fees.

  • August 16, 2017

    11th Circ. Asked To Revive Suit Over $50M Defamation Case

    Fashion executive Peter Nygard asked the Eleventh Circuit on Tuesday to revive his suit alleging a racketeering conspiracy to pay witnesses in fellow billionaire Louis Bacon's $50 million defamation suit against him, saying the trial judge made numerous errors in ruling the case should be tried in the Bahamas.

  • August 16, 2017

    Compliance Adviser Settles SEC Case For $30K, Suspension

    A North Carolina compliance consultant has struck a deal to resolve U.S. Securities and Exchange Commission allegations that his work as chief compliance officer for two investment advisory firms led to their failure to file timely and accurate disclosure reports, the agency said Tuesday.

  • August 16, 2017

    Judge Affirms Feds' $15M Infusion Into GM Litigation Trust

    Old GM's unsecured creditors were right to accept a $15 million loan from Uncle Sam to pursue a $1.5 billion avoidance action over a prebankruptcy loan that was left unsecured thanks to a paralegal's mistake, a New York federal court said as it overruled one creditor's objection to the agreement.

  • August 16, 2017

    Feds Say Ex-BofA VP, Others Made $5M From Insider Trading

    Manhattan federal prosecutors on Wednesday said seven people have been charged for their roles in a $5 million insider trading scheme, in which a former Bank of America vice president is accused of doling out confidential merger information he obtained from the bank.

  • August 16, 2017

    DOL Has No Authority For Fiduciary Rule, DC Circ. Told

    The National Association for Fixed Annuities urged the D.C. Circuit on Tuesday to revive the group's challenge to the U.S. Department of Labor’s fiduciary rule for retirement account advisers, saying the regulation threatens to upend the fixed annuities industry and exceeds the agency’s authority.

  • August 16, 2017

    Brothers Stole $855K From Investors, SEC Says

    Two brothers stole upwards of $855,000 from investors who thought they were investing in penny stock companies, investment funds and blue chip companies, the U.S. Securities and Exchange Commission recently alleged in a New York federal suit.

  • August 16, 2017

    Broker Asks 9th Circ. To Revive Barclays Dark Pool Suit

    Broker-dealer Great Pacific Securities asked the Ninth Circuit on Monday to revive a proposed class action alleging Barclays Capital Inc. misled its traditional customers about their exposure to high-frequency traders in its dark pool, saying the complaint had enough to show firms relied on Barclays’ ads about the pool.

  • August 16, 2017

    Latham Steers Mexican Energy SPAC's Landmark $650M IPO

    Latham & Watkins LLP said Tuesday it advised private equity-backed Vista Oil & Gas, an energy-focused special purpose acquisition company, in raising $650 million through Mexico's first initial public offering of a SPAC.

Expert Analysis

  • 5 Questions To Ask Before Entering Joint-Representation AFA

    Natalie Hanlon Leh

    One growing trend is for clients to enter into alternative fee arrangements in which one law firm represents multiple parties who “share” fees and costs in a related matter. This way parties can more efficiently manage a matter and reduce their individual legal fees. But joint representation is not without its own risks and challenges, say attorneys with WilmerHale.

  • Legal Incubators Can Help New Lawyers And Society

    Martin Pritikin

    Legal incubators serve as an important bridge to practice and a crucial step toward aligning the incentives of new lawyers with the needs of their clients. They may even pose a threat to the traditional law school model itself, and that's not necessarily a bad thing, says Martin Pritikin, dean of Concord Law School at Kaplan University.

  • How To Prioritize Your Law Firm's Crisis Response Plan

    Michelle Samuels

    If the media is going to cover your law firm’s crisis, they are going to cover it with or without your firm’s input. But your involvement can help shape the story and improve your firm’s image in the public eye, says Michelle Samuels, vice president of public relations at Jaffe.

  • Weekly Column

    Innovating For Wise Juries: Closing Argument

    Stephen Susman

    In the final article in this series on proposed innovations to the American jury trial, Stephen Susman, Richard Lorren Jolly and Dr. Roy Futterman of the NYU School of Law Civil Jury Project sum up the improvements they believe the U.S. jury system desperately needs.

  • A Light Regulatory Touch On Initial Coin Offerings

    Nicolas Morgan

    A recent report by the U.S. Securities and Exchange Commission makes clear that the commission intends to assert jurisdiction over some initial coin offerings, but it does not necessarily suggest that the agency will classify all cryptocurrencies or ICOs as securities. The SEC’s cautious approach may be just what’s called for on this rapidly evolving topic, say attorneys with Paul Hastings LLP.

  • 5 Questions All AFAs Should Answer Clearly

    Gregory Lantier

    While no particular form is required to establish a durable alternative fee arrangement, there are terms that should, for the benefit of both client and outside attorney, be expressly set forth in the agreement itself, but are often overlooked, say attorneys with WilmerHale.

  • Why The CFTC’s New Use Of NPAs Is Significant

    Rachel Cannon

    With its first-ever use of nonprosecution agreements in a spoofing case against Citigroup, the U.S. Commodity Futures Trading Commission is not sending smoke signals about its new enforcement strategy, but rather, is shouting through a bullhorn that it is shifting gears, say Rachel Cannon and Kristina Liu of Dentons.

  • Cybersecurity Risks In The Courtroom

    Daniel Garrie

    As cybercriminals continue to look for easy targets, the court system will surely enter their crosshairs. If judges and court personnel do not maintain proper data security and cyber hygiene, confidential litigant information can fall into the hands of a wide variety of bad actors, say Daniel Garrie of JAMS, David Cass of IBM Cloud, Joey Johnson of Premise Health Inc. and Richard Rushing of Motorola Mobility LLC.

  • Be Careful What You Share With Your Local Regulator

    Nick Morgan

    The U.S. Securities and Exchange Commission's recent $2.5 million award to a government tipster marks the first time it deemed a government employee eligible for a whistleblower payout. This determination raises significant policy and practical concerns about a government employee’s ability to provide information and documents to the SEC, say attorneys with Paul Hastings LLP.

  • Monthly Column

    Gray Matters: Clients Are Not Really 'Emotional'

    Gray Matters

    When you look at your client through the "survival circuit" lens, what first appeared as an emotional mess is now valuable information about what is important to them, what needs have to be met to settle the case, or what further clarity your client requires before moving forward, say dispute resolution experts Selina Shultz and Robert Creo.