Securities

  • January 3, 2018

    Judge Questions $1.3M Avid Tech Securities Class Settlement

    A Massachusetts federal judge hesitated Wednesday to give preliminary approval to a $1.3 million settlement she said has too many hoops and too few protections for investors in a securities class action against a video-editing company prominent in film and media industries.

  • January 3, 2018

    Katten Nabs Distressed Debt Pro From Richards Kibbe

    Katten Muchin Rosenman LLP has hired a distressed debt pro from Richards Kibbe & Orbe LLP to head up its distressed debt and claims trading practice, the firm announced Wednesday.

  • January 3, 2018

    Lighting Co. Acuity Hid Negative Info, Investors Claim

    Lighting manufacturer Acuity Brands was hit with a securities suit in Delaware federal court Wednesday by investors who claim the company artificially inflated its stock price by repeatedly concealing information that would have reflected negatively on Acuity’s growth prospects. 

  • January 3, 2018

    BioCube CEO Pleads Guilty To Pump-And-Dump Scheme

    The CEO of BioCube Inc., a company supposedly developing a marijuana breath tester, on Wednesday copped to conspiracy for what prosecutors say was multimillion-dollar scheme with a Philadelphia attorney and a barred broker to falsely inflate the company’s stock.

  • January 3, 2018

    Greenberg Traurig Partner Named Interim SDNY US Attorney

    The Trump administration on Wednesday named a Greenberg Traurig shareholder as interim U.S. attorney for the Southern District of New York, while other BigLaw partners were tapped for similar positions in New Jersey and Los Angeles.

  • January 3, 2018

    Pot Exec Says Atty's Arbitration Pact Doesn't Apply To Him

    A California lawyer wants to ignore the distinction between representing a corporation and representing its officers by arguing that a retainer agreement should send a malpractice suit against him to arbitration, a onetime marijuana industry entrepreneur argued in a Tuesday filing.

  • January 3, 2018

    'Rogue FBI Agent' Didn't Taint Gambler's Trial, 2nd Circ. Told

    Manhattan federal prosecutors have urged the Second Circuit to disregard prominent gambler Billy Walters' claims that a rogue FBI agent’s leaking of grand jury information to the press tainted the insider trading case against him, saying a lower court rightly found the leaks caused no harm to Walters.

  • January 3, 2018

    InterOil Investors Misled Into OK'ing Exxon Deal, Suit Says

    A proposed class of former InterOil Corp. shareholders filed suit Tuesday in Texas federal court over the Singaporean oil and gas company’s more than $2.5 billion acquisition by Exxon Mobil Corp., saying InterOil shareholders were misled into approving the deal last year.

  • January 3, 2018

    Morgan Lewis, Manufacturing Execs Resolve Discovery Row

    Two former General Cable Corp. executives fighting fraud allegations by the U.S. Securities and Exchange Commission settled a discovery dispute on Wednesday with Morgan Lewis & Bockius LLP over whether the firm had to turn over privileged records from its investigation into their company.

  • January 3, 2018

    Former Och-Ziff Exec Charged With Investment Fraud

    A former executive of Och-Ziff Capital Management Group LLC stands accused of hiding conflicts of interest in a multimillion-dollar investment deal and faking a document after learning investigators were looking into foreign bribery by the hedge fund, according to an indictment unsealed Wednesday.

  • January 3, 2018

    Merger Suit Doesn’t Need Financial Whiz At Helm, Court Says

    A Delaware federal judge on Tuesday gave preliminary class certification to investors claiming Vanguard Natural Resources LLC hid financial data affecting its debt agreements ahead of its $539 million purchase of oil and gas exploration company LRR Energy, shooting down Vanguard’s claim that the lead plaintiff is too uninformed about the case to adequately represent the class.

  • January 3, 2018

    5th Circ. Trims Harboring Convictions For Texas Lawyer

    A Texas attorney who was ordered to serve 17 years in prison for helping his fraudster client remain a fugitive and carry out a fraudulent stock sale scheme can have some of his convictions thrown out but doesn't need to be resentenced, a Fifth Circuit panel ruled Tuesday.

  • January 3, 2018

    Alissa Starzak Talks Net Neutrality, US Army, Leap To Startup

    Cloudflare Inc.'s Alissa Starzak discusses her former role as general counsel for the U.S. Army and the lengthy confirmation process leading up to it, as well as her present work in the private sector and views of net neutrality.

  • January 3, 2018

    On MiFID Day 1, Germany And UK Deliver Latest Setback

    Britain and Germany added a hitch to the Wednesday launch of the biggest overhaul of European financial regulation in decades, granting firms a last-minute reprieve on new rules governing financial futures that lawyers say has raised competition concerns and presaged possible further tweaks to the overall package.

  • January 3, 2018

    Stanford Workers Tell 5th Circ. Underwriters Were Let Off Easy

    A group of 36 former employees of Stanford Group Cos. on Tuesday asked the Fifth Circuit to intervene in litigation over R. Allen Stanford's $7 billion Ponzi scheme, arguing a lower court wrongly allowed underwriters to walk away with $36 million of unpaid coverage without providing them any compensation or benefit.

  • January 3, 2018

    Robins Kaplan Adds Ex-Anderson Kill Litigator In NY

    Robins Kaplan LLP on Wednesday announced it has hired a New York trial lawyer as a partner from Anderson Kill PC, bringing on board an experienced commercial litigator known for his unique legal strategies and extensive courtroom work.

  • January 3, 2018

    Ex-Skadden Securities Atty Joins Allen Matkins In Calif.

    Allen Matkins Leck Gamble Mallory & Natsis LLP has brought onboard a former Skadden Arps Slate Meagher & Flom LLP attorney as a securities and corporate governance litigation partner in its San Francisco office.

  • January 3, 2018

    Chipmaker's Investors Sue To Block $6B Marvell Merger

    A putative class of Cavium shareholders hit the chipmaker with a lawsuit in California federal court Tuesday, accusing the company of filing a materially incomplete and misleading registration statement regarding its $6 billion merger with Marvell Technology Group Ltd.

  • January 3, 2018

    Petrobras To Pay Nearly $3B To End Securities Class Action

    Brazilian oil giant Petrobras said Wednesday that it has struck a tentative deal to pay $2.95 billion to resolve an investor class action over a corruption scandal that sent the prices of its securities tumbling and asked the U.S. Supreme Court to delay its decision on whether to hear the case.

  • January 2, 2018

    Funds Say Valeant Price-Gouging Probe Cost Them $80B

    Valeant Pharmaceuticals International Inc.’s alleged price-gouging scheme cost shareholders more than $80 billion once the scheme came to light, investors said in a suit filed in New Jersey district court Tuesday.

Expert Analysis

  • D&O Insurance Coverage Tips For Financial Institutions

    Robert Long

    Directors and officers insurance coverage terms can be particularly important for executives in the heavily regulated financial services industry. Fortunately, in the midst of a very competitive insurance market, new and broader coverage features have appeared, say Robert Long and Nanci Weissgold of Alston & Bird LLP.

  • Series

    40 Years Of FCPA: The Siemens Lesson — Tillerson Is Right

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    Since its whopping $800 million Foreign Corrupt Practices Act settlement in 2008, Siemens cleaned up — and it has “cleaned up” in its long-standing competition with General Electric. How? As Secretary of State Rex Tillerson reportedly told President Donald Trump, you don’t need to pay bribes to succeed in international business, says Peter Y. Solmssen, former general counsel of Siemens.

  • Series

    40 Years Of FCPA: The Rise In International Enforcement

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    The 2008 Siemens matter — then the largest sanction ever imposed in a Foreign Corrupt Practices Act enforcement action — set the stage for future cross-collaboration in global anti-corruption enforcement, say Cheryl Scarboro, former chief of the FCPA Unit at the U.S. Securities and Exchange Commission, and Diana Wielocha of Simpson Thacher & Bartlett LLP.

  • 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.