Securities

  • July 18, 2017

    NY Bankruptcy Judge Strikes MF Global Insurer's $15M Bond

    Defunct brokerage MF Global’s excess insurer Allied World must post a new $15 million bond as part of its attempt to arbitrate a coverage dispute in Bermuda, a New York bankruptcy judge said Monday, finding the current bond should be stricken for flouting state insurance law.

  • July 18, 2017

    FCA Chief Warns EU Brexit Strategy Could Undermine City

    The chief executive of Britain’s financial regulator hit out at European regulators on Tuesday for using Brexit to single out and potentially destabilize the U.K.’s financial sector.

  • July 17, 2017

    Shkreli Investor Irked By Loss, But Then Cashed In Big

    An investor in Martin Shkreli-run hedge funds told the Brooklyn federal jury hearing securities fraud allegations against the pharma bad boy Monday that he saw his investment value plunge and was denied the promised opportunity to recoup his cash, but like others ended up in the black with the stock of drug company Retrophin Inc.

  • July 17, 2017

    DC Circ. Gives Investors 2nd Chance At Fannie Claims

    A panel of the D.C. Circuit that earlier this year rejected challenges to the federal government’s control of housing financiers Fannie Mae and Freddie Mac amended its decision on Monday to give two investors another chance with some of their claims.

  • July 17, 2017

    9th Circ. Urged To Revive Las Vegas Sands Shareholder Suit

    Shareholders in Las Vegas Sands Corp. have urged the Ninth Circuit to revive their class action accusing the casino operator of misleading investors about its development pipeline, arguing that a Nevada federal court was too quick to let the company off the hook.

  • July 17, 2017

    $1B Paragon Ch. 11 Gets Last-Minute Delay In Rig Handoffs

    Hoping to make its more than $1 billion Chapter 11 reorganization effective this week, Paragon Offshore PLC secured Delaware bankruptcy court approval Monday for a delayed transfer of drilling rig leases to its U.K. successor.

  • July 17, 2017

    Gilead Backs Chancery In Appeal Of $50M Merger Bonus Suit

    Pharmaceutical firm Gilead Sciences Inc. filed an answering brief Monday to the Delaware Supreme Court defending the decision of the state’s Chancery Court after a trial over a $50 million merger bonus payment sought by acquisition target Calistoga Pharmaceuticals Inc.

  • July 17, 2017

    Chancery-Ordered TransPerfect Mediation Hits Impasse

    The Delaware Chancery Court-ordered mediation aimed at resolving years of vitriolic litigation over legal translation firm TransPerfect has reached an impasse, court records indicated Sunday, with the case still on track for the company to be sold by a court-appointed custodian over fierce objections from its co-founder.

  • July 17, 2017

    Ex-TelexFree Director Settles In SEC Suit Over Alleged Scam

    A Boston federal judge on Monday ordered a Massachusetts man to pay $25,000 in disgorgement and interest to end the U.S. Securities and Exchange Commission's claims against him over his role in TelexFree LLC's alleged pyramid scheme targeting immigrants in Brazilian and Dominican communities.

  • July 17, 2017

    11th Circ. Says Fed. Workers Can’t Sue Over Ponzi Scheme

    The Eleventh Circuit on Monday ruled a group of federal employees who lost $30 million in a Ponzi scheme can’t sue the government for hiring the schemer who gave them advice, finding sovereign immunity applies because the workers’ claims were based on misrepresentations.

  • July 17, 2017

    BNP Paribas To Pay $246M More For Bad Forex Compliance

    The Federal Reserve said Monday that French financial giant BNP Paribas SA would pay $246 million for lax oversight of its foreign exchange traders, the second major penalty the bank has agreed to pay for misconduct that could land one BNP Paribas trader in prison.

  • July 17, 2017

    Activist Investor Trian Readies P&G Proxy Fight

    Activist hedge fund Trian revealed a $3.3 billion stake Monday in Procter & Gamble along with plans to secure a seat for Nelson Peltz, Trian's CEO and founder, on the consumer goods company’s board of directors, contending his presence will improve turnaround efforts.

  • July 17, 2017

    Lenders Say Lehman Mortgage Row Not For Bankruptcy Court

    Several mortgage originators that Lehman accuses of selling the faulty mortgages that led the failed investment bank to pay more than $1.2 billion in settlements argued Friday that Lehman’s claims are state law complaints that do not belong in New York bankruptcy court.

  • July 17, 2017

    5th Circ. Tosses 'Lame' Objection To Crestwood Merger Deal

    The Fifth Circuit on Monday dismissed claims that attorneys were the only ones to benefit from a zero-dollar settlement reached just before two Crestwood master limited partnerships combined into a single entity, saying a unitholder offered "lame" reasons as to why he had failed to file a timely objection.

  • July 17, 2017

    SEC Says NYSE Can’t Let Market Makers Trade Pre-Close

    The U.S. Securities and Exchange Commission on Friday disapproved a New York Stock Exchange proposal to allow designated market makers to make trades that would establish a new high or low price in the last 10 minutes of trading, saying the exchange hadn’t addressed the risk that market makers would engage in manipulative activity.

  • July 17, 2017

    Vocke Law Group Adds 2 Attorneys To Stamford Office

    Complex commercial litigation boutique Vocke Law Group LLP has hired a new partner from Grais & Ellsworth LLP and a new associate, both based in its Stamford, Connecticut, head office, as the newly minted firm continues to round out its roster.

  • July 17, 2017

    Calif. Panel Affirms Dismissal Of Twitter Stock Row

    A California appeals court panel affirmed the dismissal of a stockholder suit against Twitter Inc., agreeing that the investors made no claims that the micro-blogging platform made intentionally false claims about when it would release its quarterly earnings.

  • July 17, 2017

    Trader Eyed For Libor Fraud Set To Keep Paul Hastings Team

    A former Deutsche Bank AG trader accused of rigging the London Interbank Offered Rate will waive any conflict that may exist between his Paul Hastings LLP counsel and another megabank, Morgan Stanley, according to a letter published Friday.

  • July 17, 2017

    UK Forex Traders Plead Not Guilty To US Rigging Charges

    Three British former foreign exchange traders who waived extradition from the United Kingdom pled not guilty in a New York federal court Monday to conspiring to fix the price of U.S. dollars and euros in the foreign currency exchange spot market.

  • July 17, 2017

    Banks Say Bond-Rig Claims Are Too Narrow, Vague To Survive

    Some of the world's top banks asked a New York federal court on Friday to kill a potential class action that accuses them of rigging the $960 billion market for so-called SSA bonds, saying the case has little to do with the U.S. and is built around a mere "handful" of bonds that the plaintiffs might not have even traded.

Expert Analysis

  • 2 FINRA Rules Ripe For Review And Clarification

    Richard Kerr

    The Financial Industry Regulatory Authority is requesting comments on the effectiveness and efficiency of its rules on outside business activities of registered persons and private securities transactions of an associated person. Both rules aim to protect investors from potentially problematic activities, but many firms struggle with the language of the rules, say attorneys with K&L Gates LLP.

  • How Discovery Has Changed Under New Federal Rules

    Brandee Kowalzyk

    In December 2015, an amendment to Rule 26 of the Federal Rules of Civil Procedure was implemented with the intent of putting reasonable limits on civil discovery. The many subsequent cases that have applied the amended rules provide guideposts for litigants and practitioners, say Brandee Kowalzyk and Christopher Polston of Nelson Mullins LLP.

  • The Stakes In High Court's Dodd-Frank Whistleblower Case

    Alexis Ronickher

    The U.S. Supreme Court’s decision in Digital Realty Trust v. Somers will resolve a nearly two-year-old circuit split regarding the Dodd-Frank Act’s whistleblower protections. Both whistleblowers and publicly traded companies will lose if the Supreme Court holds that Dodd-Frank does not protect internal whistleblowers, say Alexis Ronickher and Matthew LaGarde of Katz Marshall & Banks LLP.

  • Weekly Column

    Innovating For Wise Juries: Pre-Voir Dire Questions

    Stephen Susman

    The simple practice of asking jurors important and substantive questions early can help make trial by jury a more reliable form of dispute resolution, say Stephen Susman, Richard Lorren Jolly and Dr. Roy Futterman of the NYU School of Law Civil Jury Project.

  • Martin Shkreli Goes On Trial — What To Expect

    Bennett Gershman

    Jury selection in the securities fraud trial of Martin Shkreli has begun, with prospective jurors hurling inflammatory rhetoric at him, calling him a “snake” and “the most hated man in America.” It seems almost inconceivable that Shkreli will testify, says former prosecutor Bennett Gershman now at Pace Law School.

  • Rules Of The Road For Accessing Capital In Europe

    Peter Astleford

    Despite the advances of the European single market, there remains a confusing combination of EU and nation-specific rules governing the sale of fund products in Europe. Attorneys with Dechert LLP answer some commonly asked questions and explain how to sell alternative investment funds in the European Economic Area.

  • FINRA Continues To Step Up Focus On Senior Investors

    Bruce Bettigole

    The Financial Industry Regulatory Authority recently introduced new sanction guidelines that allow FINRA staff to consider the vulnerability of customers in determining appropriate sanction levels. These guidelines are only one of many recent FINRA publications related to the protection of senior investors, say Bruce Bettigole and Sarah Razaq Sallis of Eversheds Sutherland.

  • An Interview With Floyd Abrams

    Randy Maniloff

    It was a privilege to spend a half-hour on the phone with the nation's foremost First Amendment lawyer. Floyd Abrams and I discussed his career, his new book and what he sees in his free-speech crystal ball. And he was a very good sport when I asked if it is constitutionally protected to yell inside a movie theater: “Citizens United is a terrible decision and should be set on fire,” says Randy Maniloff of White and Williams LLP.

  • Bucking Tradition: NewLaw And The Coming Millennials

    Jill Dessalines

    Recent surveys show that law firms won't be able to rely on the flood of associates their business model demands as long as they require them to dedicate all day, most nights, every weekend and all holidays to firm business, says Jill Dessalines, founder of Strategic Advice for Successful Lawyers and former assistant GC at McKesson Corp.

  • State AGs Responding To Trump Policies: 3 Areas To Watch

    Michael Rossetti

    The federal government’s unfolding enforcement priorities have galvanized state attorneys general into action. We expect this trend to continue, say attorneys with Akin Gump Strauss Hauer & Feld LLP.