Securities

  • December 11, 2017

    4th Person Cops To $3.9M Insider Trading Scheme In NJ

    A day trader admitted in New Jersey federal court on Monday to taking part in a more than $3.9 million insider trading scheme that involved violating confidentiality agreements with investment banks and short-selling securities before offerings were publicly disclosed, authorities said.

  • December 11, 2017

    Advisers Owe $7.2M For Faking Out Lender To Joplin Biopic

    An investment banking and advisory firm and its two managing members are on the hook for more than $7.2 million in damages after a Massachusetts federal judge found Friday that they had duped a lender into believing they could guarantee its loan to finance a now-abandoned Janis Joplin biopic and then lied about having themselves been tricked.

  • December 11, 2017

    Bitcoin Futures Bring Digital Currencies To Wider Market

    The launch of bitcoin futures trading will likely pave the way for broader market acceptance of cryptocurrencies as investment products, experts said Monday, volatility risks notwithstanding.

  • December 11, 2017

    SEC Sues Conn. Firm And CEO Over 'Mark-Ups,' Fees

    A Connecticut investment advisory firm and its top executive generated roughly $780,000 in undisclosed “mark-ups” and fees by sticking clients with risky securities from the firm’s proprietary brokerage account and costlier share classes of mutual funds, the U.S. Securities and Exchange Commission said in a suit filed Monday.

  • December 11, 2017

    Futility Issue Frustrates Apple Investor Suit, Calif. Panel Says

    A California appeals court ruled Monday that Apple Inc. investors who tried to update their suit against company board members over their role in a Silicon Valley recruiting scandal had to show that it would be futile to ask Apple's current board to take action, rather than the board in place when the suit was first filed.

  • December 11, 2017

    FDIC Says Judge Should Overlook Citibank Refusal To OK Suit

    The Federal Deposit Insurance Corp. on Friday urged a New York federal judge to let its cases against Citibank, U.S. Bank and Bank of New York Mellon on behalf of a failed Texas bank go ahead even though Citibank has refused to ratify the cases, saying it has fixed the legal issues that resulted in the suits’ dismissal without Citibank’s signature.

  • December 11, 2017

    Ameriprise, 2 Others To Pay $10M In SEC F-Squared Sanctions

    Ameriprise Financial Services Inc. and two other investment advisers have agreed to pay a combined $9.7 million to settle U.S. Securities and Exchange Commission claims stemming from the false advertisements that another company — the now-shuttered F-Squared Investments Inc. — had made to promote its top investment product.

  • December 11, 2017

    SEC Halts Food Review Co.’s $15M ICO For Not Registering

    The U.S. Securities and Exchange Commission on Monday said it had shut down a $15 million initial coin offering for a California-based online food review company because the digital tokens being sold to investors had not been registered with the commission.

  • December 11, 2017

    Turkish Ex-Cop's Testimony Sparks Mistrial Bid By Banker

    A former Istanbul police investigator told a Manhattan jury Monday that Mehmet Hakan Atilla, a Turkish banker facing charges of helping Iran evade U.S. sanctions, was being monitored about five years ago, but Atilla’s lawyers called his testimony irrelevant and asked for a mistrial.

  • December 11, 2017

    DOJ Says Forex Traders' Rate-Rigging Was Felt In The US

    The U.S. Department of Justice on Friday urged a New York federal court to deny a bid by three London-based foreign exchange traders to escape charges that they conspired to rig foreign exchange benchmarks, arguing that the activity had a strong enough connection to the U.S. for the case to proceed.

  • December 11, 2017

    Litvak's Appeal Argument Met With Skepticism In 2nd Circ.

    Former Jefferies Group trader Jesse Litvak seemed to face an uphill battle against his lone securities fraud conviction in the Second Circuit on Monday, with two out of three judges suggesting Litvak's lie about the price of a mortgage-backed bond supported the charge.

  • December 11, 2017

    Mizuho Picks Off Lead Plaintiff In Mt. Gox Collapse Suit

    Japanese bank Mizuho Bank Ltd. on Monday won dismissal of claims brought by one of the named plaintiffs in a proposed class action over the collapse of bitcoin exchange Mt. Gox, with an Illinois federal judge agreeing that a recent U.S. Supreme Court ruling bars him from joining the suit.

  • December 11, 2017

    Supreme Court Won't Review Lawyer's Stock Fraud Conviction

    The U.S. Supreme Court said Monday it will not hear an appeal from an attorney convicted of fraudulently inflating a medical device company’s stock by drafting press releases about nonexistent purchase orders.

  • December 11, 2017

    NJ Bitcoin Investor Accuses UK Firm Of Ponzi Scheme

    A New Jersey-based bitcoin investor on Friday launched a $9.1 million lawsuit in federal court over claims that a business in the United Kingdom ran a virtual-currency Ponzi scheme, alleging a U.K. law firm possibly aided and abetted the illicit plot.

  • December 11, 2017

    Puma Biotech Investor Class Certified In Stock Drop Case

    A California federal judge on Friday granted class certification to Puma Biotechnologies Inc. investors in a stock drop suit accusing the company of misrepresenting the effectiveness of a breast cancer treatment called neratinib.

  • December 8, 2017

    The Law Firms Of The 2017 MVPs

    Law360's MVP award goes to attorneys who have distinguished themselves from their peers in litigation, deals and other complex matters. Find the MVPs at your firm here.

  • December 8, 2017

    Law360 MVP Awards Go To Top Attorneys From 78 Firms

    The elite slate of attorneys chosen as Law360’s 2017 MVPs have distinguished themselves from their peers by securing hard-earned successes in high-stakes litigation, complex global matters and record-breaking deals.

  • December 8, 2017

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

    The last week has seen a group of shipping companies sue Oman Insurance Co. PSC, RBC Trustees lodge a claim against UBS Employee Benefits Trust, and offshore law firm Appleby bring a confidential information suit against BBC and the Guardian. Here, Law360 looks at those and other new claims in the U.K.

  • December 8, 2017

    SEC Sues Immigration Atty Over EB-5-Related Commissions

    The U.S. Securities and Exchange Commission on Friday slapped an immigration attorney and his law firm with a fraud lawsuit in California federal court, claiming that they didn’t disclose to clients that they were getting commissions related to their EB-5 visa program investments.

  • December 8, 2017

    Mellon Sues Altaba To Boost Share Rate For $1.4B In Notes

    BNY Mellon Trust sued Yahoo Inc. successor Altaba Inc. for a 15 percent rise in shares due under a $1.4 billion notes-to-shares conversion agreement in Delaware’s Chancery Court on Friday, saying Yahoo’s sale to Verizon Inc. in June triggered the increase.

Expert Analysis

  • Bringing Cayman Derivative Claims In NY Just Got Easier

    Robert Quirk

    The New York high court’s recent holding in Davis v. Scottish Re Group removes a significant practical hurdle to bringing derivative claims involving Cayman Islands corporations. With the Cayman leave-of-court rule out of the picture, shareholders need not arrive at the courthouse door already equipped with evidence to support their claim, say Rob Quirk and Stephen Younger of Patterson Belknap Webb & Tyler LLP.

  • Why Stock Prices Of Insolvent Firms Can Still Be Positive

    J.B. Heaton

    When Cumulus Media filed for Chapter 11 protection last week, its market capitalization fell to under $3 million, but $3 million is still greater than zero. Was Cumulus solvent when it filed bankruptcy? The answer is almost surely no, and it is important that lawyers have a good understanding of the reasons why, says attorney J.B. Heaton.

  • Navigating Whistleblower Protections Across The Atlantic

    Lynne Bernabei

    Both the Dodd-Frank Act in the U.S. and rules under the Financial Conduct Authority in the U.K. provide whistleblower protections for financial industry employees who report fraud and regulatory breaches. Whereas the specific protections in the U.S. and U.K. differ somewhat, many of the protection mechanisms are remarkably similar, say Lynne Bernabei and Kristen Sinisi of Bernabei & Kabat PLLC.

  • Top 10 Whistleblowing And Retaliation Events Of 2017

    Steven Pearlman

    The past year saw an aggressive approach to whistleblowing and retaliation actions by the plaintiffs bar and the U.S. Securities and Exchange Commission alike. Steven Pearlman and Edward Young of Proskauer Rose LLP examine the most impactful developments of 2017.

  • Series

    40 Years Of FCPA: Highlights From The 1st Corporate Trial

    Robert Feldman

    The Foreign Corrupt Practices Act case of U.S. v. Harris Corp. was tried in March 1991 — so long ago that pretty much only the parties and counsel remember it. With a smile, I’ve just about given up correcting people who say their case is "the only FCPA case ever to be tried,” says Robert Feldman of Quinn Emanuel Urquhart & Sullivan LLP.

  • Compliance Failures And The Resulting Risks For Directors

    Steven Haas

    The Delaware Chancery Court's recent decision in Kandell v. Niv illustrates one of the many potential pitfalls of compliance failures. Directors serving companies in heavily regulated industries should be diligent in trying to understand the regulatory environment, even though they are not expected to be experts in the law, says Steven Haas of Hunton & Williams LLP.

  • SEC Enforcement: Past, Present And Future

    Brian Rubin

    In Dan Brown’s latest best-seller "Origin," he explores where we come from and how we will evolve. The U.S. Securities and Exchange Commission's fiscal 2017 enforcement report is no "Origin," "The Da Vinci Code" or even "Inferno," but the SEC has raised "Origin"-like questions, say Brian Rubin and Gregory Amoroso of Eversheds Sutherland.

  • Series

    40 Years Of FCPA: The Strange Case That Started It All

    Burton Wiand

    At the U.S. Securities and Exchange Commission in April 1978, we filed a case against Page Airways and envisioned the trial of a precedent-setting enforcement action that would have defined Foreign Corrupt Practices Act standards at an early stage. Instead, the matter was settled under circumstances that I am sure are unique in SEC history, says Burton Wiand of Wiand Guerra King PA.

  • The Derivative Risks Of Sexual Misconduct Allegations

    Kevin LaCroix

    The recent derivative lawsuit against Twenty-First Century Fox and its $90 million settlement — likely among the 10 largest derivative settlements — show that the current, ongoing revelations of sexual misconduct represent more than just a risk for the bad actors, says Kevin LaCroix of RT ProExec.

  • 7 Best Practices For Wealth-Managing Fiduciaries

    Stuart Riemer

    The debate over who in the financial services industry should be required to act as a fiduciary has been getting more intense, but whether you are charged with managing someone else’s wealth as a trustee, an executor or a financial adviser, having the client’s needs come first is always paramount, says Stuart Riemer of Treasury Partners.