Securities

  • November 16, 2017

    House Panel Approves Bill Lifting Reg A+ IPO Limit To $75M

    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.

  • November 16, 2017

    Deutsche Bank Takes Hunt For Billionaire Vik To Delaware

    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.

  • November 16, 2017

    DOL, First Bankers Strike $16M Deal Settling 3 ERISA Suits

    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.

  • November 16, 2017

    UK Prosecutors Name 3 Individuals In Unaoil Bribery Probe

    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.

  • November 16, 2017

    Ignition Interlock Co. Seller Is Withholding Escrow, Buyer Says

    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.

  • November 16, 2017

    Shkreli Auditor Says Investor Settlements Seemed Legit

    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.

  • November 16, 2017

    ICC Provider Says Salsa Co.'s Suit Belongs In Federal Court

    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.

  • November 16, 2017

    ChinaCast Ch. 11 Confirmation Delayed Over Filing Issues

    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.

  • November 16, 2017

    Del. Court Says Riverstone Letter Key In $180M Suit

    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.

  • November 16, 2017

    PBGC Blasts Pilots' Fiduciary Breach Claims At DC Circ.

    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.

  • November 16, 2017

    $120M Barclays Deal Attys Reduce Fee Request By $8M

    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.

  • November 16, 2017

    Pharma Trading Suspects Denied Bid To Trim Suit

    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.

  • November 16, 2017

    Avenue Capital $6M MagnaChip Fraud Deal Tossed Again

    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.

  • November 16, 2017

    SEC Nears Deal With Jay Peak Owner In $350M EB-5 Suit

    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.

  • November 16, 2017

    Zarrab Out Of Federal Lockup But Still In US Custody

    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.

  • November 16, 2017

    Fisker Buyer Urges Del. Bankruptcy Court To Toss Stock Suit

    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.

  • November 16, 2017

    Prosecutors, SEC Say Investor Conned $1.4M From Retiree

    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.

  • November 16, 2017

    Ex-Squire Patton Boggs Atty, Prosecutor Joins Nelson Mullins

    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.

  • November 16, 2017

    Senate Confirms Otting As Comptroller Of The Currency

    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.

  • November 16, 2017

    Mistrial For Labor Boss, Hedge Funder In Union Graft Case

    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.

Expert Analysis

  • Financial Crisis Anniversary

    Dodd-Frank And Deregulation: Some Lessons From History

    Dennis Kelleher.jpg

    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.

  • Being There: Defending Depositions

    Alan Hoffman

    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.

  • Opinion

    The Legal Fallout For Harvey Weinstein’s Hired Hands

    Nicole Kardell

    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.

  • Inside SEC's Latest Guidance On Shareholder Proposals

    Laura Richman

    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.

  • Jury Persuasion In An 'Alt-Fact' World

    Shelley Spiecker

    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.

  • Steps To Take As SEC Approves Audit Reporting Changes

    Stephen Quinlivan

    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.

  • Applying The Investors' Playbook To Legal Career Planning

    Howard Cohl

    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.

  • Can The 'Remedial' Bar Survive Kokesh?

    Michael Weitman

    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.

  • Populist Pitchforks Come Out: Insider Trading And Equifax

    Coen.jpg

    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

    Putting Our Nation’s Economy At Risk Again

    Phil Angelides

    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.