Securities

  • July 21, 2017

    Investors Say SeaWorld Can't Mark Every Doc Confidential

    Investors in SeaWorld Entertainment Inc. claimed Thursday that the theme park operator is improperly shielding all of its discovery behind a confidentiality order in a suit accusing it of failing to tell shareholders that the 2013 documentary “Blackfish” caused an attendance drop at its theme parks.

  • July 21, 2017

    Chinese Students Ask To Join $89M EB-5 Scam Suit

    Three Chinese college students asked an Illinois federal judge on Thursday for permission to join the Securities and Exchange Commission’s suit against an immigration attorney accused of funneling money from the nearly $89 million he collected from EB-5 visa holders into his own pockets.

  • July 21, 2017

    CORRECTED: Ocwen Reaches $56M Deal In Investors' Suit

    Ocwen Financial Corp. announced in a filing with the U.S. Securities and Exchange Commission on Thursday that it has reached a $56 million settlement to resolve a stock-drop suit stemming from the company’s problematic servicing operations. Correction: An earlier version of this story incorrectly identified the case Ocwen was settling. The error has been corrected.

  • July 21, 2017

    UK Litigation Roundup: Here's What You Missed In London

    The last week has seen an arbitration dispute between ICBC Standard Bank and a Russo-Mongolian mining venture, Barents Re's suit against PDV Insurance, and a financial services spat between Walker Crips brokerage and ADM's U.K. investment services unit. Here, Law360 looks at those and other new claims in the U.K.

  • July 20, 2017

    Objectors Force Delay Of SunEdison Ch. 11 Plan Confirmation

    Creditors looking to force bankrupt renewable energy giant SunEdison Inc. to rework its pending Chapter 11 restructuring plan won perhaps just a short term-battle Thursday, as a New York bankruptcy judge adjourned the company's plan confirmation hearing before pending objections could be fully decided, allowing arguments to proceed into next week.

  • July 20, 2017

    Shkreli, Gov't Embroiled In Investor Evidence Fight

    Attorneys for Martin Shkreli and prosecutors in his securities fraud trial on Thursday traded barbs over a government bid to admit a slew of investor documents into evidence without calling those investors to the witness stand, which the defense claims would violate Shkreli's Sixth Amendment rights.

  • July 20, 2017

    Libor Trader Ruling Creates Cross-Border Hurdle For DOJ

    In overturning two traders' convictions for rigging a global financial benchmark, the Second Circuit handed the U.S. Department of Justice a major defeat that cross-border practitioners say creates an obstacle in joint U.S. enforcement cases.

  • July 20, 2017

    DeValerio Of Berman DeValerio Starts New Firm

    Berman DeValerio founding partner Glen DeValerio has left the firm to start a new one, taking a name synonymous with the securities and antitrust arena into new areas of law, including the trial work he recently found an affinity for.

  • July 20, 2017

    Judge Kills Securities Suit Over Kohl's Accounting Errors

    A Wisconsin federal judge shot down a long-pending suit that accused Kohl's Corp. of securities fraud on Thursday, saying the real estate accounting flubs that led the company to restate its financials were so arcane that they couldn't be summarily chalked up to corporate misconduct.

  • July 20, 2017

    NJ Couple To Pay $2.1M Settlement Over Illegal Securities

    A New Jersey couple and the companies they own have agreed to pay $2.1 million to settle allegations by the state Bureau of Securities that they sold unregistered securities on a real estate investment that failed, Attorney General Christopher S. Porrino and the state Division of Consumer Affairs announced Thursday.

  • July 20, 2017

    Ga. Trader And His 3 Firms Settle Fraud Claims With CFTC

    An Atlanta man and his three commodity pool companies have agreed to pay nearly $500,000 to settle allegations that he defrauded two dozen investors by misappropriating the bulk of their money and misrepresenting his trading performance, the Commodity Futures Trading Commission said Thursday.

  • July 20, 2017

    Gold Mining Co. Seeks Move Of $3.7M Fee Row With Jefferies

    A Canadian gold mining company asked a New York federal court on Wednesday to hear a breach-of-contract suit brought against it in that state’s trial court by investment bank Jefferies LLC over a $175 million debt refinancing that the company announced days after severing its relationship with the bank.

  • July 20, 2017

    Entitled Insider Trader Deserves Up To 8 Years, Feds Say

    Federal prosecutors asked a New York federal court on Wednesday to imprison former MSD Capital LP analyst John Afriyie for up to eight years, saying he exemplified greed and a sense of entitlement when using inside knowledge of a $15 billion private equity buyout to turn a profit.

  • July 20, 2017

    Kirkland & Ellis Lands Another Former SEC Official

    Kirkland & Ellis LLP has hired another veteran from the U.S. Securities and Exchange Commission, this time adding a new partner to its investment funds group who last served as branch chief of the agency’s Private Funds Branch.

  • July 20, 2017

    Charges Expanded For 6 In Chimera Stock Inflation Scheme

    Six of the seven individuals who were indicted earlier this year for their roles in a $6 million stock manipulation scam involving Chimera Energy Corp. had their charges expanded Wednesday when a grand jury returned a superseding indictment saying that the scam actually involved at least 12 companies and $25 million.

  • July 20, 2017

    Doc Charged With Trading Ariad Stock On Wife's Inside Info

    A Massachusetts doctor who runs a cannabis consultation practice was charged by federal prosecutors Thursday with securities fraud for allegedly making stock trades on information he got from his wife about an Ariad Pharmaceuticals Inc. cancer drug.

  • July 20, 2017

    Citigroup Says Litigation Demand Failure Dooms Case

    Attorneys for Citigroup Inc. told a Delaware judge on Thursday that a derivative suit should be tossed because the investors who brought it did not adequately show that the company’s board of directors acted in bad faith when presented with information about Citigroup subsidiaries' illegal acts.

  • July 20, 2017

    Jones Day Adds Ex-Shearman Capital Markets Pro In Calif.

    Jones Day has added to its Silicon Valley office a capital markets partner from Shearman & Sterling LLP with experience handling a wide variety of securities offerings, mergers and acquisitions, and venture capital and private equity investments in markets such as Hong Kong, Beijing and Shanghai.

  • July 20, 2017

    Feds Warn Of ‘Increasingly Unhinged’ Insider Trading Suspect

    Federal prosecutors on Thursday renewed their call for increased monitoring of a pharmaceutical executive accused of insider trading, saying the man’s behavior — including trying to bill the government for his time — was growing more alarming by the day.

  • July 20, 2017

    SEC Says Asset Manager Overvalued Renewable Energy Co.

    California-based investment adviser Enviso Capital LLC and two of its principals have settled the U.S. Securities and Exchange Commission's claims that they overstated the value of two private funds by miscalculating how much a now-failed renewable energy company was worth.

Expert Analysis

  • Rebuttal

    The Rise Of Midsize Firms

    Ronald Shechtman

    Recently, this publication featured an op-ed in which one law firm partner contended that midsize firms will be the next casualty of the legal market, due to a supposed inability to compete with BigLaw or boutique firms for business. Though we can expect to see Am Law firms continue to lead the market in megadeals and life-or-death litigations, by all indications midsize is on the rise, says Ronald Shechtman of Pryor Cashman LLP.

  • SEC’s Emerging Enforcement Priorities In The Bond Markets

    Michael Osnato Jr.

    Beginning with the 2013 charges against Jesse Litvak for misrepresentations to counterparties in the market for residential mortgage-backed securities, the U.S. Securities and Exchange Commission has aggressively pursued similar cases against bond traders. Michael Osnato Jr. and Meaghan Kelly of Simpson Thacher & Bartlett LLP survey the impact of the Litvak line of cases and offer insights into where the SEC will next deploy its an... (continued)

  • 5 Questions To Ask Yourself Before Submitting Litigation AFA

    Gregory Lantier

    Outside counsel should be able to articulate why she is proposing an alternative fee arrangement for this matter. If the client has not requested an AFA or the case is unusually difficult to budget with accuracy, this might not be the case to propose an AFA, say attorneys with WilmerHale.

  • ALJ Appointments Issue Now Primed For High Court Review

    Justin Shur

    The fact that the U.S. Securities and Exchange Commission's administrative law judges now lack the authority to preside over proceedings in some regions of the country but not others, and given the recent D.C. Circuit deadlock on the issue, the U.S. Supreme Court is overwhelmingly likely to resolve the conflict, say Justin Shur and Eric Nitz of MoloLamken LLP.

  • How Mobile Apps Can Benefit Your Practice

    Sean Cleary.jpg

    Despite the boom in mobile application development, many lawyers are still reluctant when it comes to using apps in their daily work. Attorney Sean Cleary explores the benefits and shares some recommendations for apps geared toward attorneys.

  • Rebuttal

    Defendants May Come To Regret This High Court 'Victory'

    Mark Rosen

    Although the wisdom of the U.S. Supreme Court’s decision in ANZ Securities is certainly subject to debate, commentary suggesting that the ruling is the death knell for securities class actions goes too far. A recent Law360 guest article ignores the securities litigation procedures mandated by Congress as well as the trend away from early class certification in these cases, says Mark Rosen of Barrack Rodos & Bacine.

  • Rebuttal

    The Future Of Litigation Finance Is Analytics

    Eva Shang

    In a recent Law360 guest article, Christopher Bogart of Burford Capital LLC claimed that "while theoretically well designed to find the proverbial needle in a haystack, big data and AI currently lack the ability to do so usefully in a commercial litigation financing context." But AI can manage many of the tasks that litigation financiers would otherwise perform, says Eva Shang, co-founder of Legalist Inc.

  • Series

    My Strangest Day(s) In Court: The Life Partners Bankruptcy

    Joseph Wielebinski

    The bankruptcy courtroom was filled with interested investors. They hung on every argument and every word of testimony. When Life Partners management argued that the allegedly fraudulent business model worked just fine, they cheered, recalls Joseph Wielebinski of Munsch Hardt Kopf & Harr PC.

  • Petrobras Does Little To Clarify Class Ascertainability

    Jonah Knobler

    In Petrobras, the Second Circuit purported to “clarify” its leading ascertainability decision, Brecher v. Republic of Argentina. In reality, however, it essentially rewrote Brecher, stretching it beyond recognition to revamp the law of ascertainability in the circuit, says Jonah Knobler of Patterson Belknap Webb & Tyler LLP.

  • When Del. Courts May Reject Corwin Cleansing: Some Clarity

    Gail Weinstein

    Since Corwin was decided in 2015, the Delaware courts have found that the stockholder vote was fully informed and uncoerced in every case where the defendants were seeking Corwin "cleansing" — with the only exceptions being three recent decisions. These decisions establish five categories under which Corwin cleansing may not be available, say attorneys with Fried Frank Harris Shriver & Jacobson LLP.