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White Collar
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May 21, 2025
Apologetic NJ Atty Gets 21 Months For $350K COVID Fraud
A New Jersey attorney sentenced to 21 months in federal prison on Wednesday for claiming he was a business in order to receive nearly $350,000 earmarked for small businesses amid the COVID-19 pandemic apologized to the court for the "embarrassment" he caused to the legal profession.
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May 21, 2025
Ex-Alvarez & Marsal CPA Sentenced To 20 Months In Tax Case
A former accountant at consulting firm Alvarez & Marsal has been sentenced to 20 months in prison and ordered to pay the Internal Revenue Service over $2 million for willfully not reporting his income and falsifying the returns in his mortgage application, according to a D.C. federal court.
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May 21, 2025
11th Circ. Lets Man Seek Rare Writ To Fight $21M Restitution
A former payroll director serving time for defrauding hospitals in an employment tax scheme can challenge his $21 million restitution by pursuing a rare legal remedy, the Eleventh Circuit ruled, saying the fact that he's in custody doesn't make him ineligible to apply.
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May 21, 2025
Gov't Violated Court Order With Removals, Judge Says
A Massachusetts federal judge on Wednesday found that the government violated his order requiring due process protections for individuals facing removal to countries where they have no ties and may face harm, after a group of migrants were put on a plane bound for war-torn South Sudan with just hours' notice.
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May 21, 2025
Atty Has Bail Revoked For Continuing Embezzlement After Arrest
A Massachusetts magistrate judge on Wednesday revoked bail for an attorney who pled guilty to embezzling more than $3 million from several companies and two family members with special needs and dementia, after prosecutors said he was still siphoning funds from victims' accounts after being charged.
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May 21, 2025
Feds Say Atty Behind Embassy Attack Can't Avoid Restitution
A Florida attorney who claimed he was unable to pay restitution for felony convictions after he detonated explosives in San Antonio and outside the Chinese Embassy in Washington, D.C., cannot avoid the $325,000 bill, federal prosecutors told a D.C. federal court.
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May 21, 2025
CFTC Faces Leadership Void As 3rd Commissioner Plans Exit
U.S. Commodity Futures Trading Commission member Kristin Johnson has become the third agency member to announce her upcoming departure within the space of a week, potentially leaving the market regulator with a single voting member as it awaits the appointment of a new chair.
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May 21, 2025
Nadine Menendez Taps Cozen O'Connor To Fight Conviction
Former Sen. Bob Menendez's wife, Nadine Menendez, has added Cozen O'Connor as co-counsel as she fights to overturn her conviction on bribery charges, according to a filing in New York federal court.
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May 20, 2025
19-Year-Old Mass. Student Admits To PowerSchool Hacking
A 19-year-old student at Assumption University in Worcester, Massachusetts, has pled guilty to hacking into the networks of two companies, including education software and cloud storage company PowerSchool Group LLC, and extorting them for ransoms, the U.S. Department of Justice announced Tuesday.
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May 20, 2025
Mass. Atty Admits Stealing From Relatives With Special Needs
A Massachusetts attorney Monday pled guilty to embezzling more than $3 million from several companies for which he was working as a bookkeeper as well as from two family members with special needs and dementia, according to a plea agreement filed in Bay State federal court.
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May 20, 2025
SEC Chair Says Staff Exits Have Left Holes In Agency
U.S. Securities and Exchange Commission Chair Paul Atkins told Congress Tuesday that the agency has lost hundreds of employees in recent months due to voluntary buyouts and early retirement incentives, and that some now-missing expertise will need to be replaced.
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May 20, 2025
Pennsylvania Biz Owner Cops To COVID Fraud Schemes
A Pennsylvania business owner on Tuesday admitted to running fraud schemes targeting government business pandemic relief programs that could result in a maximum $3.25 million fine, according to the U.S. attorney's office in Philadelphia.
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May 20, 2025
SafeMoon CEO's Crypto Talk 'Riddled With Lies,' Jury Told
A Brooklyn federal jury was set to deliberate charges accusing a U.S. Army veteran from Utah of conspiring to loot crypto company SafeMoon, after federal prosecutors on Tuesday walked jurors through what they called powerful evidence of the former CEO's guilt.
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May 20, 2025
Sales Exec Admits Role In $70M Brain Scan Kickback Scheme
A former operations and regional sales manager for a mobile medical diagnostic company has agreed to plead guilty to taking part in a $70.6 million conspiracy to pay kickbacks to doctors who ordered unnecessary brain scans, Massachusetts federal prosecutors announced Tuesday.
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May 20, 2025
Connecticut House Passes Psilocybin Decriminalization Bill
Connecticut's House of Representatives on Monday narrowly approved a bill to decriminalize possession of small amounts of psilocybin, the active ingredient in psychoactive mushrooms, sending the bill to the state Senate.
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May 20, 2025
Split 4th Circ. Finds Testimony Sufficed For Bad Advice Claim
A divided Fourth Circuit panel on Tuesday ordered the government to offer a North Carolina man another shot at a plea deal he rejected, finding his defense attorney's bad advice caused him to pass over the bargain and get saddled with a longer sentence.
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May 20, 2025
Trump Case May Bolster Wis. Judge's Pitch For Immunity
The Wisconsin judge accused of obstructing federal immigration authorities' arrest of an unauthorized migrant in her courtroom has a strong argument that judicial immunity protects her after the U.S. Supreme Court's presidential immunity ruling, some experts say, while others say judicial immunity does not extend to criminal prosecutions.
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May 20, 2025
Attys For Alleged Fox Hacker 'Deeply Regret' Fake AI Citations
Two attorneys apologized to a Florida federal judge on Monday for filing a motion to dismiss charges against their client — alleged Fox News video hacker Timothy Burke — that contained fake legal citations generated by artificial intelligence.
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May 20, 2025
Apple Can't Get Quick Pause Of App Store Order At 9th Circ.
The Ninth Circuit agreed Monday to expedite briefing in Apple's appeal challenging a lower court's new injunction mandating certain App Store policy changes, but the panel declined to rule on Apple's emergency request to pause the injunction as Apple and Epic Games brief the hotly contested dispute.
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May 20, 2025
Nursing Homes Facing 'Corporate Death Penalty' Owe $15.4M
The companies behind two Pittsburgh-area nursing homes convicted of falsifying staffing records were ordered Tuesday to pay a total of $15.35 million in restitution to the federal government, though the corporations' attorney told the judge that they had already received a "corporate death penalty" for their conviction.
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May 20, 2025
National Security Pro Joins Arnold & Porter White Collar Team
A former deputy assistant attorney general has left the U.S. Department of Justice to become a partner in Arnold & Porter Kaye Scholer LLP's white collar defense and investigations and national security practices in New York, the firm announced Tuesday.
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May 19, 2025
Ex-OneTaste Staffer Says Sexual Labor Was Part Of The Job
A former OneTaste sales employee and "coach" testified Monday in the trial of two former executives, saying she was directed to engage in sexual activity while working a grueling schedule for the sex-themed wellness company, one of multiple ex-staffers to say they suffered psychological harm from their time at OneTaste.
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May 19, 2025
Goldstein Assails 'Radical' DOJ Case, Probe Of 'Sexual Habits'
In his most forceful attack on tax evasion charges that have roiled the U.S. Supreme Court bar, indicted appellate icon Thomas C. Goldstein is accusing the U.S. Department of Justice of embracing "breathtaking" legal theories and revealing prurient information about him "to bias the grand jury."
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May 19, 2025
Feds To Use FCA To Go After Antisemitism, DEI Policies
The U.S. Department of Justice announced Monday that it will use the False Claims Act to go after any recipients of federal funds that the agency determines promote diversity, equity and inclusion policies, and allow antisemitism to thrive.
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May 19, 2025
Diamond Dealer Sentenced In $13M Fla. Fraud Case
A Florida federal judge sentenced a Pennsylvania man to more than six years in prison after he admitted to defrauding more than 100 victims out of $13 million in connection with a diamond investment Ponzi scheme.
Expert Analysis
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Managing Anti-Corporate Juror Views Revealed By CEO Killing
After the shooting of UnitedHealthcare CEO Brian Thompson laid bare deep-seated anti-corporate sentiments among the public, companies in numerous industries will have to navigate the influence of related juror biases on litigation dynamics, say Jorge Monroy and Keith Pounds at IMS Legal Strategies.
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Terraform Case May Be Bellwether For Crypto Enforcement
The prosecution of crypto company Terraform Labs and its CEO, Do Kwon, offers a unique test of the line between lawful and unlawful conduct in digital transactions, and the Trump administration’s posture toward the case will provide clues about its cryptocurrency enforcement agenda in the years to come, say attorneys at Brooks Pierce.
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What's Next For Russia Sanctions After Task Force Disbanded
Attorney General Pam Bondi’s recent disbanding of Task Force KleptoCapture, which was initially aimed at seizing Russian oligarchs’ funds and assets, is unlikely to mean the end of Russia sanctions enforcement and other economic countermeasures, as the architecture for criminal enforcement remains in place, say attorneys at BakerHostetler.
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How Law Firms Can Counteract The Loneliness Epidemic
The legal industry is facing an urgent epidemic of loneliness, affecting lawyer well-being, productivity, retention and profitability, and law firm leaders should take concrete steps to encourage the development of genuine workplace connections, says Michelle Gomez at Littler and Gwen Mellor Romans at Herald Talent.
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What Remedies Under New Admin's SEC Could Look Like
The U.S. Securities and Exchange Commission is likely to substantially narrow the remedies it pursues over the next few years, driven by the mounting challenges it faces in court, as well as the views of its incoming chair and fellow Republican commissioners on injunctions, penalties and disgorgement, say attorneys at Milbank.
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Texas Fraud Case Shows Dangers Of Faulty Crypto Reporting
The recent sentencing of a man who failed to properly report capital gains from bitcoin sales is a reminder that special attention must be given to the IRS' reporting requirements in order to stay out of the government's crosshairs, says Saverio Romeo at Fox Rothschild.
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5 Keys To Building Stronger Attorney-Client Relationships
Attorneys are often focused on being seen as the expert, but bonding with clients and prospects by sharing a few key personal details provides the basis for a caring, trusted and profoundly deeper business relationship, says Deb Feder at Feder Development.
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Suggestions For CFTC Enforcement's New Leadership
The recent change in leadership at the U.S. Commodity Futures Trading Commission presents an opportunity to reflect on past practices and consider opportunities for improvement at the commission's Enforcement Division, including in observing precedent and providing greater enforcement transparency, say attorneys at Clifford Chance.
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What SDNY Judge Can And Can't Do In Adams Case
The federal judge in the Southern District of New York overseeing the criminal case against New York City Mayor Eric Adams deferred making a decision on the government's motion to dismiss the indictment, and while he does have limited authority to deny the motion, that would ultimately be a futile gesture, says Ethan Greenberg at Anderson Kill.
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Drug Kickback Ruling Will Make FCA Liability Harder To Prove
The First Circuit's ruling in U.S. v. Regeneron Pharmaceuticals, requiring the government to prove but-for causation to establish False Claims Act liability based on violations of the Anti-Kickback Statute, raises the bar for FCA enforcement and deepens a circuit split that the U.S. Supreme Court may need to resolve, say attorneys at Baker Donelson.
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Assessing PE Risk After Mass. False Claims Act Amendments
A law recently passed in Massachusetts amends the commonwealth's False Claims Act by dramatically expanding potential liability for private equity firms and investors, underscoring the importance of robust diligence and risk assessments for private equity firms conducting transactions in the commonwealth, say attorneys at Gibson Dunn.
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A Path Forward For Cos. Amid Trump's Anti-DEIA Efforts
Given the Trump administration’s recent efforts targeting corporate diversity, equity, inclusion and accessibility programs — including threatening possible criminal prosecution — companies should carefully tailor their DEIA initiatives to comply with both the letter and the spirit of antidiscrimination law, say attorneys at Pillsbury.
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The Current And Future State Of Bank-Fintech Partnerships
Though the Consumer Financial Protection Bureau under President Donald Trump seems likely to cultivate an environment friendlier to the financial services industry, bank-fintech partnerships should stay devoted to proactive compliance and be ready to adapt to regulatory shifts that may intensify scrutiny from enforcers, say attorneys at Greenberg Traurig.
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Evidence Rule May Expand Use Of Out-Of-Court Statements
A proposed amendment to Federal Rule of Evidence 801(d)(1)(A) would broaden the definition of nonhearsay, reflects a more pragmatic approach to regulating the admissibility of out-of-court statements by declarant-witnesses, and could help level the playing field between prosecutors and criminal defendants, say attorneys at Hangley Aronchick.
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Series
Racing Corvettes Makes Me A Better Lawyer
The skills I use when racing Corvettes have enhanced my legal practice in several ways, because driving, like practicing law, requires precision, awareness and a good set of brakes — complete with the wisdom to know how and when to use them, says Kat Mateo at Olshan Frome.