A House of Representatives panel approved a bill Wednesday that would raise the limit on so-called Reg A+ offerings from $50 million to $75 million, a proposal that some securities attorneys say could broaden the appeal of the novel capital-raising method if it becomes law.
Deutsche Bank extended its hunt to recover roughly $300 million owed from a judgment against Norwegian investor Alexander Vik to Delaware on Thursday, launching a Chancery Court lawsuit alleging that his offshore private equity firm used First State-organized companies to transfer funds beyond the bank’s reach.
First Bankers Trust Services Inc. has agreed to pay nearly $16 million to resolve a set of lawsuits alleging it breached its fiduciary duties under the Employee Retirement Income Security Act in purportedly letting three employee stock ownership plans overpay for their own companies’ stock, the U.S. Department of Labor said Thursday.
The U.K. Serious Fraud Office has charged two British residents who worked for Monaco-based Unaoil with conspiring to pay bribes to help a client win a contract in Iraq, and is seeking the extradition of a third man, the prosecutor's office said on Thursday.
The private equity firm that purchased ignition interlock device maker 1A Smart Start Inc. in 2015 filed suit in Delaware late Wednesday, saying the seller is trying to claim escrowed funds from the deal despite failing to achieve a favorable result in a tax dispute, as required in the escrow agreement.
An auditor who did work for Martin Shkreli-founded Retrophin Inc. on Thursday told jurors in the trial of the controversial pharmaceutical executive’s former Katten Muchin attorney that he didn’t believe there was anything wrong with a series of settlements with investors in Shkreli's MSMB hedge funds that prosecutors say were fraudulent.
The International Chamber of Commerce’s North American arbitration provider said Wednesday it plans to urge a New York federal judge to keep a dispute over whether the provider must halt arbitration between an investor and a salsa company after a Mexican court ordered it stopped.
The judge presiding over the bankruptcy case of ChinaCast Education Corp. abruptly adjourned the company's Chapter 11 plan confirmation hearing on Thursday, finding the debtor’s last-minute request for approval of a shareholder settlement and a post-petition financing adjustment troubling.
A potential $180 million dispute over property management company Riverstone National Inc.’s sale to another firm in 2014 could largely turn on the intent of a two-page letter and a shareholder group’s failure to raise its losing bid for the company, a Delaware vice chancellor said Thursday.
The Pension Benefit Guaranty Corp. asked a D.C. Circuit panel Thursday to quash a breach of fiduciary duty claim from former Delta Air Lines Inc. pilots who say the government agency intentionally miscalculated their benefits when it took on their pension commitments as part of the airline’s 2016 bankruptcy.
Lawyers who sought 30 percent of a $120 million settlement they struck with Barclays PLC for investors who accused the bank of manipulating the London Interbank Offered Rate told a New York federal judge on Wednesday that they’d accept just 20 percent of the settlement pot for now after she raised questions about the payout.
A Massachusetts federal judge on Thursday refused to trim a lawsuit alleging insider trading by two former employees of Akebia Therapeutics Inc. and Merrimack Pharmaceuticals Inc.
A California federal judge on Thursday refused for the second time to grant preliminary approval to a $6.2 million deal between MagnaChip Corp.'s majority shareholder Avenue Capital and the semiconductor products maker's common stock investors who sued for an alleged fraud scheme in which Avenue sold its shares at inflated prices.
The U.S. Securities and Exchange Commission indicated Thursday that it is close to a settlement with Jay Peak ski resort owner Ariel Quiros in its suit against him over his role in a $350 million EB-5 visa fraud suit.
Reza Zarrab remains in federal custody, the U.S. government said Thursday, after news surfaced that the Turkish-Iranian businessman accused in Manhattan federal court of scheming to dodge American sanctions against Iran had been released from a detention facility on Nov. 8.
Wanxiang Clean Energy USA LLC and the firm it spun off after buying bankrupt electric carmaker Fisker Automotive urged the Delaware bankruptcy court Thursday to throw out a lawsuit from the liquidating trust challenging an equity sale it says was designed to dilute its stake in the spinoff.
A former investment adviser defrauded a retiree out of about $1.4 million and used the money to pay off clients and family and buy a Bentley, federal prosecutors and the U.S. Securities and Exchange Commission have each alleged.
A former federal prosecutor and Squire Patton Boggs LLP attorney, who represents a client in the FIFA corruption scandal and has prosecuted New Jersey officials for public corruption, has joined Nelson Mullins Riley & Scarborough LLP.
The Senate approved Joseph Otting to lead the Office of the Comptroller of the Currency on Thursday, filling a key financial industry regulatory office in President Donald Trump’s administration.
A New York federal judge on Thursday declared a mistrial in the corruption case against New York City labor leader Norman Seabrook and Platinum Partners LP founder Murray Huberfeld, after the jury, having deliberated about 36 hours over six days, announced itself for a second time to be deadlocked.
Financial Crisis Anniversary
The Dodd-Frank Act, while imperfect, addressed what actually did cause the financial crisis: unreasonable risk-taking, low capital and high leverage, shadow banking, and much more. The evidence is overwhelming that financial reform is working, that the risk of a crash in the U.S. is greatly reduced, and that banks are highly profitable, says Dennis Kelleher, president of Better Markets Inc.
Defending depositions is challenging. The lawyer is the only shield and protector for the witness and the client. The rules of engagement are less than clear, and fraught with ethical perils. Difficult judgment calls often must be made in the heat of battle. This is where lawyers really earn their keep, says Alan Hoffman of Husch Blackwell LLP.
There is a difference between a lawyer or investigator seeking evidence to defend against allegations and correct misrepresentations, and, on the other hand, using duplicitous means to gather information and intimidate alleged victims and journalists. Client advocacy does not mean winning at all costs, says Nicole Kardell of Ifrah Law PLLC.
Recent guidance from the U.S. Securities and Exchange Commission reflects its current views and expectations regarding shareholder proposals submitted pursuant to Rule 14a-8. Here, attorneys with Mayer Brown LLP offer some practical considerations for companies as they prepare for the 2018 proxy season.
Today's climate of “alternative facts” has jurors making decisions based on beliefs, emotions and social affiliations that often go unacknowledged or underappreciated. To present their case in the most persuasive manner possible, litigators should consider adapting to their audience when it comes to four psychological factors, say consultants with Persuasion Strategies, a service of Holland & Hart LLP.
The new auditor reporting standard, recently approved by the U.S. Securities and Exchange Commission, will require more information with the stated intention of making audit reports more informative. However, the changes to the standard regarding disclosure of critical audit matters could do more harm than good, say attorneys with Stinson Leonard Street LLP.
Nothing has been more instrumental in my role as a legal recruiter than what I learned from a variety of hedge fund managers, venture capitalists and investment bankers — how to analyze a deal and make a decision quickly. It boils down to the traditional SWOT analysis, says Howard Cohl, director in Major Lindsey & Africa’s emerging markets group.
Although Kokesh concerned disgorgement, it is a potentially game-changing decision if its reasoning is extended to other sanctions previously viewed by the U.S. Securities and Exchange Commission as “equitable” or “remedial.” And in the case of an industry bar or suspension, there appears good reason to do so, says Michael Weitman of Seward & Kissel LLP.
Following the theft of data relating to about half the adult population of the United States, Kevin Coen, former securities and treasury counsel with Johnson Controls International, explores whether there is a basis to charge any of the Equifax executives with insider trading and highlights some lessons for practitioners.
Financial Crisis Anniversary
Just a decade after financial disaster struck, the Trump administration, congressional Republicans and Wall Street are wantonly ignoring the lessons of history. The unknown is not if but when financial disaster will strike again, says Phil Angelides, who was chairman of the Financial Crisis Inquiry Commission.