The U.S. Securities and Exchange Commission said Wednesday that it is bringing aboard a JPMorgan Chase & Co. executive to head up the agency division overseeing broker-dealers, transfer agents, alternative trading systems and self-regulatory organizations like stock exchanges and the Financial Industry Regulatory Authority.
The jury selected for the in the conspiracy trial of former Katten Muchin Rosenman LLP attorney Evan Greebel will not be allowed to hear that "pharma bro” Martin Shkreli was acquitted of allegedly conspiring with Greebel to defraud Retrophin Inc., a Brooklyn federal judge ruled Thursday.
Residential mortgage-backed securities trustees and Lehman Brothers Holdings Inc. squared off in New York bankruptcy court Thursday on the value of claims submitted in the wake of the financial crisis, with the trustees arguing that their “straightforward breach of contract claims” are worth $11.4 billion, while the shuttered bank argued they’re worth $2.38 billion or less.
A New York state judge ruled largely against two developers of an open-air mall who were sued by investors over $250 million that the investors say they're owed, finding on Wednesday that the developers owe damages based on the investors’ formula but saying the amount would be resolved in a battle of experts.
The acting head of the Office of the Comptroller of the Currency, a key U.S. banking regulator, pushed back Thursday on what he said were “exaggerated” concerns that a proposed special-purpose charter for financial technology firms could be a “slippery slope” toward intermingling banking and commerce inappropriately.
The Second Circuit declined on Thursday to revive an insider trading suit against an investor in Men’s Wearhouse Inc. for allegedly making $17 million in forbidden “short-swing” profits, saying a U.S. Supreme Court case made clear that the suit was properly dismissed.
An intervening decision by Missouri’s highest court has spelled an end to a suit from a former employee of American Century Cos. Inc. that alleges the investment firm repurchased restricted shares from him in retaliation for his testimony on a rival’s behalf in an arbitration battle involving his erstwhile employer, the Eighth Circuit found on Thursday.
Wells Fargo & Co. hit back at arguments by a proposed class of shareholders that the success of another suit against the bank gives them a leg up, telling a California federal judge on Wednesday that the other case was wrongly decided and just different enough to be of no legal use to the investors.
A private equity fund sitting on a $66 million class action judgment against now-bankrupt ChinaCast Education Corp. may be able to sue the debtors’ insurers for payment without stepping on the toes of the company or other creditors, a New York bankruptcy judge observed Wednesday, encouraging the sparring parties to negotiate.
As a Credit Suisse AG unit sought to upset a nearly $288 million judgment that held the bank liable for alleged bad faith in the refinancing of a Las Vegas luxury real estate property, a Texas appellate panel on Wednesday questioned whether the bank had a duty to review a property appraisal.
A California federal judge on Tuesday ordered a Kentucky man and his day-trading company to pay nearly $1.7 million to the U.S. Securities and Exchange Commission as part of an agreement to resolve claims that they lied to investors in a futures trading scheme.
The U.S. Securities and Exchange Commission asked a Virginia federal judge on Wednesday to grant it a win by default in a case against a fugitive who allegedly fleeced investors out of $1.4 million with his supposedly loss-proof foreign exchange trading software.
Singapore real estate investment trust ESR-REIT has reached a deal to buy various warehouses, factories and dormitories in Singapore from water treatment firm Hyflux Membrane Manufacturing (S) Pte. Ltd. for SG$95 million ($70 million), according to an announcement from ESR on Wednesday.
Manhattan federal prosecutors on Wednesday painted a sinister picture of Trevon Gross, the New Jersey pastor convicted of scheming to co-opt a small bank for shady bitcoin transactions, but their effort to put Gross behind bars, possibly for 15 years, clashed conspicuously with a defense request for a sentence without prison time.
Investors tweaked their class certification bid Tuesday in their suit against Bank of New York Mellon Corp. over $1.12 billion in residential mortgage-backed securities, adding a time constraint to the class definition after a New York federal judge denied their first attempt for being too vague.
A Second Circuit panel on Wednesday torpedoed a former Faruqi & Faruqi LLP partner’s bid for a cut of $4 million the firm had earned on a settlement for a client she'd brought in, ruling that a New York federal judge hadn’t erred in concluding her oral compensation agreement with the firm wasn’t enforceable under state law.
Deutsche Asset Management is said to have picked up a California warehouse for $27.2 million, Maxx Properties has reportedly scored a $41.3 million loan for a Phoenix multifamily purchase and Jamestown is said to have picked up a Florida grocery-anchored shopping center for $34.25 million.
Investment manager Investcorp said Wednesday it will acquire Kee Safety Ltd., a U.K.-based supplier of guardrail and other safety products, from private equity firms Dunedin LLP and Lloyds Development Capital Ltd. for $370 million (£280 million) as Investcorp aggressively pursues a new growth strategy.
Interest rate swap trading company MarkitServ Ltd. has settled allegations it has a monopoly on the processing service industry brought by financial technology company TrueEx LLC, according to a filing in New York federal court Tuesday.
Sullivan & Cromwell LLP represented data center REIT CyrusOne Inc. in connection with its $100 million equity investment, announced Wednesday, in Chinese data center operator GDS Holdings Ltd., which had counsel from Simpson Thacher & Bartlett LLP.
Today's law firm chief financial officer should be involved in many areas beyond traditional financial management, including operations, risk management and information technology. He or she can support strategic planning throughout the process, from development of the plan to its implementation, measurement and eventual evolution, say Tyler Quinn and Marc Feigelson of Kaufman Rossin PA.
Clients are beginning to expect and demand that their external lawyers provide advice tailored to the client's industry. Aside from this, law firms should want to move toward a sector approach because industry-focused groups are a natural place for cross-practice collaboration to flourish, say Heidi Gardner and Anusia Gillespie of Harvard Law School.
The U.S. Securities and Exchange Commission recently started regularly using Rule 17a-8 under the Securities and Exchange Act as a tool to enforce anti-money laundering deficiencies with broker-dealers. These enforcement actions offer a number of key takeaways that may help broker-dealers enhance their AML compliance program, says Jesse Morton of Stout Risius Ross LLC.
In their new book, "The Judge: 26 Machiavellian Lessons," do Ronald Collins and David Skover prove their thesis that hypocrisy is the key to judicial greatness? Some of the examples they present are hard to dispute, says Judge Alex Kozinski of the Ninth Circuit.
Bitcoin has taken two significant steps toward legitimacy since the Winklevoss and SolidX exchange-traded fund applications were rejected by the U.S. Securities and Exchange Commission earlier this year. As bitcoin trading proliferates, it is likely that the SEC will change its stance and approve a bitcoin ETF, say attorneys with Morvillo LLP.
Financial Crisis Anniversary
After nearly a decade of recession-accelerated change in the legal industry, “merit-based” compensation has largely come to mean measuring attorney success using some combination of origination and working attorney hours metrics. However, there are signs that the real impact of the recession is still around the corner, and that building a book isn’t enough, says Peter Zeughauser of Zeughauser Group.
Attorneys understand the importance of fiduciary duty when providing legal counsel to their clients. But the U.S. Department of Labor's new rule on conflicts of interest makes it important to act as a fiduciary in other situations as well, such as when serving as a trustee or as the executor of an estate, says Stuart Riemer of Treasury Partners.
While it lends more than $100 million each year to our nation’s college students — including law students — the U.S. Department of Education surprisingly limits loan counseling to one-time entrance counseling for first-time student borrowers. Is this rational? asks Christopher Chapman, president of AccessLex Institute, a nonprofit focused on access to legal education.
New regulations approved by the Federal Reserve and the Federal Deposit Insurance Corp. will fundamentally change the playing field for end users or buy-side counterparties that engage in certain types of financial agreements with the world’s largest financial institutions. Here, attorneys with Arnold & Porter Kaye Scholer LLP break down the issues that parties to qualified financial contracts should consider as the rules go into effect.
With a clear circuit split, unavoidable constitutional issues and both sides seeking review, it’s probable that the U.S. Supreme Court will take up the case of Raymond J. Lucia, which challenges the U.S. Securities and Exchange Commission's administrative proceedings. The court's decision, even if narrow, may resonate throughout the administrative state, says Thomas Potter III of Burr & Forman LLP.