We use cookies on this site to enable your digital experience. By continuing to use this site, you are agreeing to our cookie policy. close

Securities

  • June 18, 2019

    Suspect Says US Can’t Charge Him With $2B Fraud In Africa

    A Lebanese salesman told a New York federal judge that the U.S. government has yet to show how it is related with $2 billion in allegedly fraudulent loans backed by the government of Mozambique.

  • June 18, 2019

    Berman Tabacco To Lead Housekeeper Accounting Fraud Suit

    A Pennsylvania federal judge Monday appointed Berman Tabacco as the lead counsel out of a handful of contenders seeking to represent investors in a proposed class action accusing a housekeeping company of lying about its quarterly earnings.

  • June 18, 2019

    Regulators On Same Page In Fighting Cyberrisks, Study Says

    Securities regulators around the world are on the right path in terms of applying three internationally recognized standards to mitigate ever-looming cybersecurity risks, according to a report published Tuesday by the Board of the International Organization of Securities Commission.

  • June 18, 2019

    Bernstein Litowitz Seeks $11M In Fees For $45M Waste Deal

    Bernstein Litowitz asked an Illinois federal court Monday to approve $11 million in fees for its work as lead counsel in negotiating a $45 million settlement over stockholders' claims that a solid waste hauler overstated projected earnings by ripping off customers with illegal fees.

  • June 18, 2019

    Feds' Denial On SEC Coordination Doesn't Impress Judge

    A Manhattan federal judge was unimpressed with one prosecutor's word that he did not use the U.S. Securities and Exchange Commission to gather criminal evidence against hedge fund co-founder Jason Rhodes, saying Tuesday he wants a full account of coordination between the civil agency and the criminal trial team.

  • June 17, 2019

    Attys Seek $20M For 'Historic' 12-Year 401(k) Fight With ABB

    Schlichter Bogard & Denton LLP attorneys have asked a Missouri federal judge to award them $20.8 million in fees and expenses stemming from a $55 million settlement resolving a long-running class action against ABB Inc., which accused the technology company of allowing Fidelity to charge its workers excessive 401(k) plan fees.

  • June 17, 2019

    Crypto Co. Asks Court To Set Aside Clerk's Default

    Centra Tech urged a Florida federal judge to set aside a clerk’s default in its investors’ case accusing the cryptocurrency company of fraudulently raising $32 million in an initial coin offering, arguing that restrictions in a parallel criminal case prevented the company from securing legal representation earlier.

  • June 17, 2019

    MFS Agrees To Pay $6.9M To End Self-Dealing Accusations

    MFS Investment Management and a proposed class of workers who say the company profited at their expense by investing their retirement savings in expensive, proprietary funds are looking to wrap up the dispute with a nearly $6.9 million settlement.

  • June 17, 2019

    Eventbrite Investors Tap Rosen, Glancy Prongay To Lead Suit

    Investors in Eventbrite Inc. asked a California federal judge to name as lead counsel the Rosen Law Firm and as co-lead counsel Glancy Prongay & Murray in their case accusing the events management and ticketing website of failing to reveal the bumpy integration of newly acquired Ticketfly.

  • June 17, 2019

    Crypto Trading Co. Ran $147M Ponzi Scheme, CFTC Says

    A U.K.-based company that claimed to provide customers with guaranteed profits through cryptocurrency trading stole over 22,858 bitcoins in a Ponzi scheme-like fraud worth more than $147 million, the Commodities Futures Trading Commission alleged in a complaint filed Monday.

  • June 17, 2019

    Developer Dodges Prison For Role In Hack-Based Trading Plot

    A Georgia real estate developer on Monday avoided prison for his involvement in a $30 million scheme to trade stocks based on information stolen from press release distribution companies, with a New York federal judge citing the defendant's extensive cooperation with prosecutors.

  • June 17, 2019

    Blown Deadlines Doom Fertilizer Investor Suit, Chancery Told

    Managers of crop protection venture Verdesian Life Sciences told the Delaware Chancery Court Monday that an investor suit challenging a $313 million company acquisition and other allegedly "unfavorable" acts is doomed by some "fatal flaws," including missed claim deadlines and a failure to verify the complaint.

  • June 17, 2019

    Ripple, MoneyGram Announce Partnership Worth Up To $50M

    Blockchain-based payments company Ripple and MoneyGram announced a partnership Monday, including an equity investment from Ripple worth up to $50 million, through which the publicly-traded money transfer company will use Ripple's cryptocurrency to bolster its cross-border payments services.

  • June 17, 2019

    Ex-Binary Options CEO Says Feds Scared Off Her Witnesses

    Former Israeli binary options promoter Lee Elbaz accused prosecutors of violating her Fifth Amendment rights by tipping off her would-be defense witnesses that they had been indicted — a mess she says a Maryland federal judge can fix by making prosecutors give the witnesses immunity.

  • June 17, 2019

    Investment Biz Partners' Fraud Suit Spirals Into 'Food Fight'

    A New York state judge on Monday decried how a fraud lawsuit between onetime infrastructure investment partners and law school friends devolved into a “food fight,” directing them to a referee for their discovery disputes.

  • June 17, 2019

    3 Firms Vying For Lead In Clean Fuel Stock-Drop Suit

    The Rosen Law Firm PA, Wolf Haldenstein Adler Freeman & Herz LLP and Bragar Eagel & Squire PC each asked a Florida federal court to be appointed lead counsel in a proposed class action accusing a clean energy company of artificially inflating its stock by misleading investors about securing a lucrative contract.

  • June 17, 2019

    5th Circ. Sinks $65M Stanford Insurance Scam Deal

    The Fifth Circuit on Monday vacated a $65 million deal ending claims that Lloyd's of London and other underwriters should cover losses from R. Allen Stanford's $7 billion Ponzi scheme, taking issue with a provision that barred future claims against the underwriters.

  • June 17, 2019

    Oak Investment Can't Kill $11M Suit Over 'Fraudster' Partner

    A New York state court judge on Monday cast aside a bid by venture capital fund Oak Investment Partners to escape a bankrupt e-commerce company's fraud lawsuit blaming it for the actions of a former Oak partner-turned-fugitive, ruling that issues of fact remained.

  • June 17, 2019

    Shearman Threatened With Ethics Referral In SunEdison MDL

    A federal judge in Securities Act multidistrict litigation surrounding energy giant SunEdison has threatened to report Shearman & Sterling LLP attorneys to ethics authorities after the lawyers asked the court to pull a related case from bankruptcy court, but failed to alert the district judge about a ruling in the bankruptcy case.

  • June 17, 2019

    Platinum Judge Nixes Valuation Fraud Claims At Trial

    In a blow to the government's case, the judge overseeing the Platinum Partners trial has banned prosecutors from arguing that three accused executives fraudulently overvalued the funds' illiquid assets, citing a lack of evidence.

  • June 17, 2019

    What To Expect In An SEC Digital Asset Examination

    As the U.S. Securities and Exchange Commission dedicates increasing resources to understanding and policing digital assets, attorneys have seen trends emerge in the agency’s examinations of investment advisers that recommend cryptocurrencies and tokens.

  • June 17, 2019

    Goldman Free From Pact To Feed IPO Shares To TD, Schwab

    Goldman Sachs no longer has to let Charles Schwab and TD Ameritrade market its initial public offerings to their customers for free, a Manhattan judge ruled Monday, dismissing the brokerages' bid to enforce a favorable share distribution deal.

  • June 17, 2019

    Cloud Platform Investors Sue Over Projected $20M Shortfall

    Investors in cloud-based subscription management platform Zuora Inc. have filed a proposed class action in California federal court claiming the company rushed an accounting product to new clients before it was ready and the fleeting demand for it lowered 2020 revenue projections by about $20 million.

  • June 17, 2019

    High Court Grounds Delta Pilots' Pension Appeal

    The U.S. Supreme Court on Monday declined to review a suit by a group of former Delta pilots who claimed the Pension Benefit Guaranty Corp. shortchanged their pension payments by hundreds of millions of dollars after the airline's 2005 bankruptcy.

  • June 17, 2019

    Trader Says Ex-Competitor's Spoofing Suit Brought Too Late

    Chicago-based Allston Trading LLC urged an Illinois federal judge on Friday to toss a former competitor's suit accusing it of spoofing U.S. Treasury markets by placing orders for Treasury instruments it never intended to fill, arguing now-defunct Chopper Trading LLC waited too long to bring the claims.

Expert Analysis

  • What Gov't Outsourcing Ruling Means For Investigations

    Author Photo

    A New York federal court's recent decision in U.S. v. Connolly is a warning to prosecutors against outsourcing their investigations to companies and outside counsel, but it should also be used by companies to determine the framework for internal investigations, says Rachel Maimin of Lowenstein Sandler.

  • Foreign Banks Should Remain Wary Of US Sanctions Laws

    Author Photo

    While major enforcement actions against foreign banks for U.S. sanctions violations have slowed down in the past few years, recent settlements against three foreign banks show that federal and state authorities are still enforcing sanctions laws — and the pace of enforcement will likely increase, say Andrew Zimmitti and Richard Hartunian of Manatt.

  • Getting Out Of Legal Project Management Debt

    Author Photo

    If a client does not demand the application of project management techniques at the start of a matter, or a law firm does not routinely apply them, it is highly likely that additional, avoidable work — legal project management debt — will materialize throughout the matter, says Anthony Widdop of Shearman & Sterling.

  • Employer Considerations For Gov't Probes Of Senior Execs

    Excerpt from Lexis Practice Advisor
    Author Photo

    There are various steps in-house and outside counsel should take when representing a company in a government investigation of a senior executive. Attorneys with Pierce Bainbridge and Sahn Ward share practical guidance for each part of the process.

  • Traders At Risk Of DOJ Wire Fraud Charges For Spoofing

    Author Photo

    In U.S. v. Vorley, the U.S. Department of Justice has charged two commodities traders with wire fraud, based on an alleged spoofing scheme. The DOJ's approach could greatly expand potential criminal liability for spoofing activity, say attorneys at Mayer Brown.

  • 5 Key Points From Fed's Bank Control Proposal

    Author Photo

    The Federal Reserve's proposal to revise its board of governors' historically ad hoc approach to determining when a company has a controlling influence over a bank will likely bring increased transparency, predictability and simplicity to the process, say attorneys at Troutman Sanders.

  • 6 Ways To Keep Your Jury From Zoning Out

    Author Photo

    Science suggests that at least some jurors pay attention to less than 65% of the evidence during a trial due to "task-unrelated thoughts," but there are steps attorneys can take to present information in a more engaging, cognition-friendly fashion, say Dennis Stolle and Dennis Devine of Barnes & Thornburg.

  • Defending Securities Act Claims In Texas State Court: Part 3

    Author Photo

    Litigating federal Securities Act class actions in Texas state courts is still a new frontier in the wake of the U.S. Supreme Court's 2018 Cyan decision. In the final part of this series, attorneys at Haynes and Boone discuss class certification defenses and obtaining early summary judgments.

  • Pitfalls To Avoid As Cannabis M&A Takes Off

    Author Photo

    Although 2019 is shaping up to be a banner year for mergers and acquisitions in the cannabis industry, parties must be mindful of the particular challenges of these deals, such as often contradictory regulatory regimes, significant stock price volatility and inflated valuation metrics, says John Bessonette of Kramer Levin.

  • 5 Myths In Legal Crisis Communications

    Author Photo

    Having worked at a boutique law firm, a crisis communications agency and in BigLaw, I have identified a number of common misconceptions across these disparate business models when it comes to crisis and litigation communications, says Robert Gemmill of Hogan Lovells.

  • Defending Securities Act Claims In Texas State Court: Part 2

    Author Photo

    After last year's U.S. Supreme Court ruling in Cyan, defendants are more likely to face federal Securities Act class actions in Texas state courts. Knowledge of Texas procedures can help defendants challenge a state court's jurisdiction and understand how best to handle parallel proceedings, say attorneys at Haynes and Boone.

  • How Del. High Court Sees Discussion Vs. Negotiation In M&A

    Author Photo

    Although there is still no bright-line test, last month's Delaware Supreme Court decision in Olenik v. Lodzinski clarified the difference between “preliminary discussions” and “negotiations” for purposes of the requirement set forth in the 2014 case Kahn v. M&F Worldwide, say attorneys at Fried Frank.

  • Defending Securities Act Claims In Texas State Court: Part 1

    Author Photo

    The U.S. Supreme Court's ruling in Cyan last year allowed plaintiffs to pursue class actions under the federal Securities Act in state courts. Texas has notoriously unusual procedures for obtaining early pretrial wins in securities litigation, but there are opportunities for knowledgeable practitioners, say attorneys at Haynes and Boone.

  • An Overview Of The Debate Over Litigation Finance Disclosure

    Author Photo

    In light of a New York federal court's recent decision in Benitez v. Lopez, which joins a growing body of case law denying forced disclosure of commercial litigation finance, Stephanie Spangler of Norris McLaughlin and Dai Wai Chin Feman of Parabellum Capital break down the arguments commonly raised for and against disclosure.

  • Key Tax Issues In Rollover Equity Transactions: Part 2

    Author Photo

    In the final installment of this two-part series about tax issues in rollover equity transactions, Scott Dolson of Frost Brown Todd tackles tax and net income allocation provisions in LLC operating agreements, when equity rollovers are technically compensation, and the potential tax consequences of rolling over equity-like bonus rights.

Can't find the article you're looking for? Click here to search the Securities archive.