After months of testimony and years of speculation, the fate of former Enron executives Kenneth Lay and Jeffrey Skilling will soon be decided. And just as the downfall of Enron has become the symbol of the era of corporate scandal, the verdict in this case may come to exemplify the government’s success—or failure—in addressing corporate crime.
Broadening a nine-month long investigation into an insider-trading scandal involving employees of investment banks Merrill Lynch & Co. Inc. and Goldman Sachs Group Inc., federal prosecutors have nabbed a postal worker for tipping two former investment bankers about a grand jury’s accounting fraud probe of Bristol-Meyers Squibb Co.
Attorneys for former Qwest Communications chief executive Joe Nacchio are moving for a change of venue if the judge refuses to drop insider trading charges against the fallen executive, saying he cannot get a fair trial in Denver because he is “among the most reviled figures” in the city’s recent history.
In a new strategy, attorneys for former Qwest Inc. chief Joseph P. Nacchio are accusing the government’s attorneys of improperly influencing a grand jury before it indicted the fallen executive.
Another trial for former HealthSouth Corp. chief Richard M. Scrushy got underway Monday, with the U.S. Attorney’s Office hoping to jail the fallen executive over $500,000 in alleged government bribes.
A probe into allegations of kickbacks paid to lead plaintiffs by law firm Milberg Weiss Bershad Hynes & Lerach has yielded its first plea bargain, which has brought new charges to light of payment arrangements between the firm and several of its lead plaintiffs.
After two years of scrutiny by the U.S. Department of Justice into bid-rigging within the fur industry, the former vice president of Alaska Brokerage International Inc. is facing trial next week over allegations that he collaborated with others to rig bids at a Seattle fur auction in 2004.
The former chief financial officer of Patterson-UTI Energy Inc., who was accused of embezzling $77 million, has pled guilty in federal court, joining the litany of energy company executives that have been indicted for fraud.
Law firm Baker & Hostetler has been appointed by the Department of Justice to monitor Bank of New York, as part of the $38 million settlement over allegations of money laundering reached last fall.
As the number of U.S. district court cases continue to pile up against the $60 billion air cargo industry over alleged collusion into price-fixing surcharge fees, progress toward trying the cases in court is proving to be slow-going.
Former Credit Suisse First Boston investment banker Frank Quattrone may shake up his legal team in preparation for a possible retrial in his obstruction of justice case, looking to two litigators from Paul Weiss Rifkind Wharton & Garrison to lead his defense.
A federal district judge has once again pushed back the sentencing of short seller Anthony Elgindy, who was convicted 15 months ago on charges of racketeering, conspiracy and securities fraud by a Brooklyn jury.
A tense second day on the stand saw Enron Corp.’s former chairman and chief executive Kenneth Lay lash out at the media, predatory short-sellers, and former chief financial officer Andrew Fastow, saying they were responsible for the company’s colossal demise.
The biggest mistake former Enron chief Kenneth Lay ever made was hiring Andrew Fastow, and the second-biggest mistake he ever made was promoting him to chief financial officer, Lay said in his testimony yesterday.
The embattled former chief executive of Computer Associates International Inc. pled guilty Monday to obstruction of justice and securities fraud charges related to the company’s $2.2 billion accounting scandal.
A former employee of Corning Inc. who found secret documents in a garbage bin and sold them to Taiwanese PicVue Electronics Ltd. was sentenced yesterday to four years in federal prison.
The tension between former Enron chief Jeff Skilling and federal prosecutor Sean Berkowitz was not nearly as high on Wednesday as on previous days, but the remainder of the government’s cross-examination was anything but amicable.
In a partial setback for the U.S. Attorney’s Office, a federal appeals court has struck down two multi-million dollar restitution awards against defendants accused of mafia-related Wall Street manipulation, but declined to overturn their convictions.
Grilled by prosecutors for the second day in his fraud and conspiracy trial, former Enron Corp. chief executive Jeffrey Skilling lost his cool when pressed on allegations that he considered dipping into “cookie jar reserves” to strengthen the energy company’s earnings.
Because the bulk of expected witnesses in the General Reinsurance and American International Group Inc. scandal reside in the Connecticut area, U.S. District Court Judge Gerald Brice Lee has agreed to move the fraud trial of the three former executives to Connecticut from Virginia.