White Collar

  • October 12, 2017

    'Dr. Jekyll' Pharma Insider Trading Suspect Released Again

    A Boston judge decided Thursday to release a former pharmaceutical executive accused of insider trading while he awaits trial despite the court's concerns that the defendant’s “Dr. Jekyll and Mr. Hyde” tendencies might reappear.

  • October 11, 2017

    NJ Judge Challenges Theory Under Menendez Bribery Trial

    The New Jersey federal judge presiding over the bribery trial of Sen. Bob Menendez and a Florida ophthalmologist on Wednesday challenged the validity of the stream of benefits theory underlying the case in light of the U.S. Supreme Court’s landmark McDonnell decision, foreshadowing a potential blow to the government.

  • October 11, 2017

    Ex-HSBC Exec Tells Jury $3.5B Forex Deal Was Aboveboard

    A former HSBC foreign exchange executive took the witness stand Wednesday at his trial over claims that he used a $3.5 billion forex transaction to enrich the bank at the expense of Scottish oil and gas developer Cairn Energy PLC, telling a New York federal jury that there was nothing improper about the execution of the deal.

  • October 11, 2017

    Terror Liability Troubles Kennedy, Conservatives At High Court

    Conservative justices on the U.S. Supreme Court sounded skeptical Wednesday that foreign corporations could be held liable for terror financing, human rights violations and other international violations under a 1789 U.S. law.

  • October 11, 2017

    SEC Hits Mexican Homebuilder Ex-Execs With Fraud Claims

    The U.S. Securities and Exchange Commission on Wednesday accused four former senior officers with Mexican housing giant Homex of playing a role in a covering up a multibillion-dollar scheme to show the company built and sold tens of thousands of homes that never existed.

  • October 11, 2017

    Fish Magnate 'The Codfather' Must Forfeit 4 Boats, 34 Permits

    A fishing industry giant known as "The Codfather” was ordered by a Massachusetts federal court on Wednesday to forfeit four boats and 34 fishing licenses worth roughly $2.3 million, just weeks after he was sentenced to nearly four years in prison for evading taxes and fish quotas.

  • October 11, 2017

    NCAA To Examine College Basketball After Corruption Probe

    The National Collegiate Athletic Association said Wednesday it is forming a special commission chaired by former U.S. Secretary of State Condoleezza Rice to investigate the influence shoe companies, sports agents and the NBA have had on college basketball, after federal criminal charges last month exposed what prosecutors called the “dark underbelly” of the sport.

  • October 11, 2017

    SEC Wants Insider Trading Penalty 'With Sobering Message'

    The U.S. Securities and Exchange Commission on Tuesday asked a Massachusetts federal judge to impose a substantial civil penalty against the last remaining member of a "golfing group" accused of cashing in on stock tips, hoping to "send a loud and sobering message to other would-be insider traders."  

  • October 11, 2017

    Accuser Wants Hastert Forced To Give Info About Hush Money

    A man who claims former U.S. Speaker Dennis Hastert still owes him under a $3.5 million deal to keep quiet about sexual abuse asked an Illinois county judge to force Hastert to turn over information related to their alleged deal Tuesday.

  • October 11, 2017

    'Wizard Of Oz' Reference Caps $2B Tribal Payday Loan Trial

    Attorney Timothy Muir insisted Wednesday that tribal leaders were the top dogs in Scott Tucker's $2 billion payday loan empire, but the Manhattan jury tasked with deciding if Tucker and Muir built a criminal operation on the backs of tribes saw an email that said Tucker was “the man behind the curtain.”

  • October 11, 2017

    Barclays Seeks Toss Of Feds' Fraud Suit Over $31B RMBS

    Barclays PLC and federal prosecutors traded blows in papers filed in New York federal court on Tuesday over the government’s use of a law passed in the aftermath of the 1980s savings and loan crisis to seek civil penalties from the British bank for allegedly deceiving investors about the quality of $31 billion worth of residential mortgage-backed securities.

  • October 11, 2017

    SEC Says Attys Sent Fraudulent Penny Stock Opinion Letters

    The U.S. Securities and Exchange Commission sued two lawyers Wednesday, including one who was arrested and criminally charged, saying they wrote dozens of fraudulent opinion letters that enabled a ring of criminals to set up and flip public companies for use in pump-and-dump scams.

  • October 11, 2017

    Feds, SEC Accuse Snack Co. Of Defrauding Investors Of $2M

    Federal prosecutors and the U.S. Securities and Exchange Commission on Wednesday filed fraud charges against a trio of business associates accused of raising approximately $2 million for a caffeinated chocolate snack company under false pretenses, including a made-up proposed acquisition by Monster Energy.

  • October 11, 2017

    Ex-Herrick Feinstein Atty Gets 2 Years For Tax Evasion

    U.S. District Judge Jed S. Rakoff on Wednesday sentenced a former Herrick Feinstein LLP tax partner to two years in prison for tax evasion and attempting to impede an IRS investigation, saying there was "no substitute" for prison time in the case.

  • October 11, 2017

    2nd Circ. Urged To Uphold Litvak's RMBS Fraud Conviction

    The U.S. Department of Justice asked the Second Circuit on Tuesday to uphold the conviction of former Jefferies Group trader Jesse Litvak, saying a jury had ample evidence to find his lies in residential mortgage-backed securities sales would matter to reasonable investors.

  • October 11, 2017

    Convicted Ex-Simpson Thacher Tipper Gets Opening On Fine

    A New Jersey federal judge ruled Wednesday that a former clerk at Simpson Thacher & Bartlett LLP who has been convicted of insider trading is liable for related civil offenses, but set the stage for penalty talks with the U.S. Securities and Exchange Commission.

  • October 11, 2017

    Cuban Ballplayer Smugglers Seek Light Sentences

    Baseball agent Bartolo Hernandez and sports trainer Julio Estrada on Tuesday urged a Florida federal judge to hand down light sentences for their convictions for smuggling Cuban ballplayers into the United States, saying that the government wrongly seeks harsher sentences.

  • October 11, 2017

    6th Circ. Affirms Land Scout's Conviction In Coal Mining Scam

    A Sixth Circuit panel Tuesday upheld a conspiracy to commit mail and wire fraud conviction of a man who scouts rural property for coal mining potential and who performed work for a Tennessee company that, according to the panel, scammed millions from investors.

  • October 11, 2017

    Life Time Fitness Insider Trading Suspect Pleads Not Guilty

    A California man charged in an insider trading scheme stemming from the 2015 private equity buyout of Life Time Fitness Inc. pled not guilty in Illinois federal court Wednesday.

  • October 11, 2017

    FDA Expert Testifies Of Unparalleled Contamination At NECC

    A U.S. Food and Drug Administration expert told jurors Wednesday that contamination in steroid injections prepared by a New England pharmacist charged with murder over a deadly meningitis outbreak was the worst he had seen in his 27-year career.

Expert Analysis

  • New Sedona Principles Stress Information Governance

    Saffa Sleet

    The Sedona Conference Working Group's updated Sedona Principles provides a timely reminder that the legal industry needs to be thinking more seriously about the interconnectedness between e-discovery and information governance, says Saffa Sleet of FTI Consulting Inc.

  • Statement Of Reasons Trumps Erroneous Presentence Report

    Alan Ellis

    Have you ever encountered sentencing judges reluctant to direct the probation officer to make corrections to the final presentence report? The same thing — and sometimes even better — can be accomplished by asking the judge to issue a statement of reasons, says criminal defense attorney Alan Ellis.

  • 5 Takeaways From The Largest FCPA Resolution

    Abdus Samad Pardesi

    Beyond the stark lesson of the costs associated with bribing foreign officials, there are several key takeaways from Telia’s recent $965 million Foreign Corrupt Practices Act penalty, including the Trump administration’s continuing commitment to enforcing the FCPA and extracting significant settlements, say attorneys with Kirkland & Ellis LLP.

  • Opinion

    For More Value And Diversity In Outside Counsel, Go Small

    Sara Kropf

    Albert Einstein famously said, “The definition of insanity is doing the same thing over and over again, but expecting different results.” That maxim applies to large companies that seek more value and diversity from their outside counsel by expecting big firms to change. There’s a simple solution to this problem, according to attorneys Margaret Cassidy, Sara Kropf and Ellen D. Marcus.

  • Wey: When Search Warrants Go Wrong

    Daniel Wenner

    The Wey prosecution in the Southern District of New York is a useful example of how government searches that appear to be proper based on the trappings of propriety — a warrant, an affidavit, good faith — can actually be far from it, says Daniel Wenner of Day Pitney LLP.

  • What To Expect In Forex Fraud Trial Of Ex-HSBC Exec

    Scott Schirick

    The prosecution of HSBC’s former global head of foreign exchange spot trading — whose trial began on Monday in the Eastern District of New York — will test whether the government can turn sharp dealing and deception in the unregulated institutional spot forex market into criminal fraud, says Scott Schirick of Pryor Cashman LLP​.

  • Why Kokesh Really Matters

    Matthew Martens

    In the aftermath of Kokesh, the U.S. Securities and Exchange Commission has continued filing enforcement actions in federal district courts seeking disgorgement, as if the import of the decision is only that disgorgement is subject to a five-year statute of limitations. This overlooks two far more significant ramifications of Kokesh for SEC enforcement practice, say attorneys with WilmerHale.

  • The Role Legal Finance Can Play In Firm Year-End Collections

    Travis Lenkner

    Payment collection delays have caused law firms to seek new options, one of which is litigation finance. In this context, litigation finance can offer alternative avenues to firms as they approach the end of a fiscal year or partnership distribution dates, says Travis Lenkner of Burford Capital LLC.

  • 'Per-Doc' Pricing Can Improve Document Review

    file folder

    Imagine going to a restaurant and ordering your steak medium-rare. The steak arrives burned. You expect the kitchen to bring you another one properly done, right? And you don’t expect to pay for two steaks, do you? Paying a vendor for document review should be no different, says Lisa Prowse, an attorney and vice president at e-discovery firm BIA Inc.

  • When A SOX Whistleblower Claim Applies Extraterritorially

     Matthew LaGarde

    The recent decision from the U.S. Department of Labor's Administrative Review Board in Blanchard v. Exelis Systems is important because it makes clear that, so long as the misconduct reported by the employee affects the United States in “some significant way,” the Sarbanes-Oxley Act will apply extraterritorially, says Matthew LaGarde of Katz Marshall & Banks LLP.