Banking

  • December 22, 2005

    Judge Tosses SEC Wash Trade Case

    A judge has thrown out a lawsuit brought by the Securities and Exchange Commission against a former executive of an online trading company, ruling that contrary to Commission allegations, he was unaware that the trades he was making were illegal.

  • December 22, 2005

    Hedge Fund To Pay $38M In Spitzer Probe

    New York Attorney General Eliot Spitzer’s market timing investigation has yielded yet another multi-million dollar settlement, with two Texas hedge funds agreeing to pay $37.7 million to settle allegations of market timing and late trading.

  • December 21, 2005

    SEC Takes Swipe At Hedge Fund

    The Securities and Exchange Commission filed an emergency enforcement action Wednesday to prevent an allegedly fraudulent hedge fund from continuing to spend its customer’s investments for personal use.

  • December 20, 2005

    Investor Asks SEC To Dismantle $2.4B Sovereign Deal

    The largest shareholder of Sovereign Bancorp Inc. is petitioning regulators to halt a $2.4 billion deal between Sovereign and a major Spanish bank, claiming the New York Stock Exchange will be in violation of its own rules if it prevents shareholders from voting on the deal.

  • December 20, 2005

    In Blow To Parmalat, BofA Named As Plaintiff

    Bank of America has been admitted as a civil plaintiff in the Italian fraud trial of dairy and juice company Parmalat Inc. The surprising turnaround allows the lender to portray itself as victim after being accused of fraud in the food giant’s collapse.

  • December 20, 2005

    ABN Amro To Pay $80M In Money Laundering Probe

    In one of the highest penalties ever imposed on a bank, federal prosecutors have fined Dutch bank ABN Amro Bank NV $80 million for money-laundering and violating federal restrictions on deals with Iran and Libya.

  • December 19, 2005

    Merrill, Wells Fargo Slapped With $19.5M In Fines

    The National Association of Securities Dealers has taken action against three investment banks accused of suitability and supervisory violations, levying $19.5 million in fines in a continuing investigation into improper mutual fund sales practices.

  • December 19, 2005

    Telecom Exchange Sues Rival Over Trading Technology

    Electronic telecommunications exchange firm Arbinet-thexchange Inc. sued rival World-Link Telecom Inc. Monday, asserting its patents for electronic trading of telecommunications capacity.

  • December 19, 2005

    Howard Stern Accountant Pleads Guilty

    A fallen executive from the accounting firm of radio personality Howard Stern’s pled guilty Monday to illegally trading Sirius Satellite Radio Inc.’s stock before the popular host announced that he would move to the fast-growing media company.

  • December 16, 2005

    Bear Stearns To Pay $250M In Market Timing Case

    Global investment bank Bear Stearns has agreed to pay $250 million to settle allegations of improper trading practices, becoming the latest Wall Street firm to pay fines related to the market timing scandal that rocked the mutual fund industry in 2003.

  • December 15, 2005

    SEC Targets 3 More Hollinger Execs In Fraud Probe

    The Securities and Exchange Commission has set its sights on three more officials of crumbling media company Hollinger Inc., notifying three directors of the company’s audit committee that they may be sued for their failure to stop the massive fraud allegedly orchestrated by top executives.

  • December 14, 2005

    SEC Can Overturn NASD Decisions, Court Rules

    The Securities and Exchange Commission has the power to overturn fines imposed by the National Association of Securities Dealers, according to a ruling handed down by a three-judge panel of the U.S. Court of Appeals for the District of Columbia Circuit.

  • December 14, 2005

    NYSE Cleared In Pension Funds' Fraud Case

    When the New York Stock Exchange is performing duties on behalf of the Securities and Exchange Commission, it is exempt from fraud litigation, according to a federal judge who dismissed Tuesday the NYSE as a defendant in a lawsuit brought by pension funds.

  • December 12, 2005

    Sovereign Shareholder Sues To Stop $3.6B Deal

    Sovereign Bancorp Inc.'s largest shareholder, Relational Investors LLC, has filed a lawsuit to stop a $3.6 billion deal between the bank, Spain's Banco Santander Central Hispano SA and Independence Community Bank Corp.

  • December 13, 2005

    Bear Stearns & Co. Sues To Halt $960M Settlement

    Wall Street powerhouse Bear Stearns & Co. is suing to block a $960 million investor class action settlement reached by healthcare firm McKesson Corp., which Bear Stearns advised prior to a disastrous merger in 1999.

  • December 12, 2005

    Morgan Stanley Appeals $1.5B Perelman Verdict

    Morgan Stanley has appealed the $1.45 billion award won by financier Ronald Perelman earlier this year in a dispute over Perelman’s sale of camping-gear company to Sunbeam Corp. in 1998.

  • December 12, 2005

    Cendant To Pay $32.5M In Class Action Settlement

    Real estate company Cendant Corp. continues to feel the effects of its 1998 accounting fraud scandal, agreeing to pay $32.5 million to settle a shareholder lawsuit stemming from a stock drop caused by the disclosure of the fraud.

  • December 12, 2005

    CIBC Fined In SEC's "Pay-To-Play" Investigation

    The Securities and Exchange Commission settled its probe into broker-dealer CIBC World Markets Corp. Monday, slapping the Canadian company with stiff fines to end its investigation into so-called “pay-to-play” violations related to a political campaign by former California governor Grey Davis.

  • December 12, 2005

    Scottish Re Subpoenaed In Reinsurance Probe

    The Securities and Exchange Commission’s probe into the lucrative reinsurance industry has expanded to include holding company Scottish Re Group Ltd. The firm said Monday it had been served with a subpoena related to an investigation launched by the regulatory agency earlier this year.

  • December 9, 2005

    SEC Goes To Court To Defend Hedge Fund Rule

    A challenge to its proposed regulation of hedge funds has landed the Securities and Exchange Commission in court, where it will defend a rule that will require hedge fund managers to register with the Commission and subject themselves to inspection and regulation.