White Collar

  • October 6, 2017

    Judge Unlikely To Dismiss Ex-Katten Atty Conspiracy Count

    A New York federal judge on Friday said she was not inclined to dismiss a conspiracy count against a former Katten Muchin Rosenman LLP attorney despite the fact Martin Shkreli, the leader of the alleged conspiracy, was acquitted on that charge.

  • October 6, 2017

    Convicted Ex-SAC Manager Asks Full 2nd Circ. For Rehearing

    Former SAC Capital insider trader Mathew Martoma urged the full Second Circuit on Friday to rehear his appeal after a split appeals court panel upheld his conviction for insider trading, arguing that the panel overruled its own precedent and replaced it with a test that dramatically departs from Supreme Court rulings.

  • October 6, 2017

    SEC Says Atlanta Atty Participated In $30M Ponzi Scheme

    An Atlanta attorney was an “active participant” in a Ponzi scheme that raised at least $30 million from more than a hundred investors, according to a suit filed in Georgia federal court by the U.S. Securities and Exchange Commission.

  • October 6, 2017

    Wilmington Trust Judge Rejects Bank Doc Tiff Trial Delay

    A federal judge in Delaware on Friday rejected Wilmington Trust Corp’s call to postpone Tuesday’s scheduled start of the bank’s criminal securities fraud trial due to undelivered Federal Reserve Board documents, saying the court and parties can work around delayed receipt.

  • October 6, 2017

    Greenberg Traurig's $9.8M Malpractice Suit Settlement OK'd

    A federal bankruptcy judge in Arizona signed off Thursday on Greenberg Traurig LLP’s $9.75 million settlement to resolve malpractice claims over its work done a decade ago for defunct loan originator and Ponzi scheme vehicle Mortgages Ltd., saying the agreement “reflects a reasonable and fair compromise.”

  • October 6, 2017

    Pharma Employee Admits To Health Care Benefits Fraud

    A pharmaceutical sales representative pled guilty Friday in New Jersey federal court to cheating the state health benefits program out of more than $700,000 through a scheme to submit claims for medically unnecessary prescriptions, making him the 10th person of the alleged conspiracy to plead out this year.

  • October 6, 2017

    Pharmacist In Meningitis Trial Ignored Drug Recipe, Jury Told

    A former Massachusetts pharmacist failed to follow a recipe for sterile drugs he made in 2012 that infected hundreds of people with fungal meningitis, and then gave conflicting and unfounded answers about his procedures, a federal investigator said Friday at the pharmacist’s second-degree murder trial.

  • October 6, 2017

    California Man Sentenced For Selling Counterfeit Air Bags

    A California man on Thursday was sentenced to a year and a day in prison, after pleading guilty to selling counterfeit Honda, Fiat Chrysler, Nissan, Toyota, GMC, Ford and other automakers’ air bags on eBay and other internet sales sites, the U.S. Department of Justice said.

  • October 6, 2017

    Psychic Cops To Hiding $3.5M In Exorcism Income From IRS

    A Florida woman who claimed to be a psychic pled guilty Thursday to hiding more than $3.5 million that she earned performing exorcisms on an elderly woman seeking to rid herself of demons, the U.S. Attorney’s Office for the District of Massachusetts announced.

  • October 6, 2017

    Agency To Pay $26M In Row Over Unfinished Navajo Homes

    The Navajo Housing Authority has agreed to pay $26 million to settle a dispute with the federal government over unfinished affordable housing projects from 2012, according to the agency.

  • October 6, 2017

    1st Circ. Upholds Calif. Atty's Pump-And-Dump Conviction

    The First Circuit on Friday upheld a California lawyer’s conviction over a $3 million stock pump-and-dump, upholding the denial of his acquittal motion and saying that even if under his “novel theory” co-conspirators could sell unregistered stock, he still told “admitted lies” that enabled fraud.

  • October 6, 2017

    4 Men Charged In $16M Pentagon Kickback Scheme

    Four men, including a government employee, have been charged with operating a kickback and bribery scheme that saddled the Department of Defense’s Office of Inspector General with more than $15.7 million in fraudulent payments on a telecommunications contract, according to an indictment unsealed Thursday in Virginia federal court.

  • October 6, 2017

    Accused NSA Leaker Reality Winner Denied Bail Again

    A Georgia federal judge Thursday shot down a request from a former government contractor accused of leaking national defense information to an online media outlet for release on bail pending her trial for violations of the Espionage Act, saying she poses a danger to national security and a significant flight risk.

  • October 6, 2017

    Energy Networking Site Creator Gets Year And A Day For Hack

    The creator of a Texas oil and gas industry professional networking website who sold the company for $51 million, then hacked in to steal information while launching a competitor, was sentenced to a year and a day in prison by a Manhattan federal judge on Friday.

  • October 6, 2017

    NCAA Basketball Bribe Case Calls Amateurism Into Question

    College basketball is reeling from criminal corruption charges over schemes involving sports agents and shoe company executives that flout National Collegiate Athletic Association amateurism rules, but some experts say the case raises questions over the efficacy of the amateur system as college basketball has become a billion-dollar business.

  • October 5, 2017

    Tax Court Orders Transferee To Settle $6.9M Liability Row

    The U.S. Tax Court refused to allow a convicted tax evader to withdraw his own lawsuit challenging the IRS over $6.9 million in liabilities and ruled instead, in a published opinion released Thursday, that the taxpayer must reach an agre​ement with the IRS, despite his insistence that he has already done so.

  • October 5, 2017

    Atty Ordered To Pay $13.7M In SEC Pump-And-Dump Case

    An attorney accused by the U.S. Securities and Exchange Commission of reaping millions from a penny stock pump-and-dump scheme was ordered by a California federal judge on Thursday to pay $13.7 million after he didn’t appear to contest the government’s charges.

  • October 5, 2017

    Expert Tells Of HSBC Trading Frenzy Around $3.5B Forex Deal

    A foreign currency exchange expert on Thursday told a Brooklyn federal jury of how HSBC traders on both sides of the Atlantic swarmed to trade ahead of a $3.5 billion currency trade the bank executed for Cairn Energy PLC, making millions of dollars for the bank to the detriment of the oil and gas developer.

  • October 5, 2017

    NY Real Estate Cos. Move To Limit Russian Bank Theft Inquiry

    A web of companies that own several New York City apartments urged a bankruptcy court on Wednesday to quash what they believe are overly broad subpoena requests from a trustee for an insolvent Russian bank investigating whether the real estate was purchased with funds embezzled by the bank’s former president.

  • October 5, 2017

    Feds Re-Up Bid To Ban 5 Experts In Ex-Katten Atty's Trial

    The former Katten Muchin Rosenman LLP attorney about to face trial for allegedly helping his then-client Martin Shkreli defraud the pharmaceutical company Retrophin Inc. is defying standard rules on pretrial disclosures regarding five experts, prosecutors told a New York federal court on Wednesday in defending their request for disqualification.

Expert Analysis

  • Calif. High Court Raises Conflict Issues For Public Entities

    Gregory Rolen

    The California Supreme Court recently held that independent contractors who have been entrusted with entering into transactions on a public entity’s behalf can be held criminally responsible for a conflict of interest. We should have seen this coming and been better prepared, says Gregory Rolen of Haight Brown & Bonesteel LLP.

  • Legal Considerations After SEC's Warning Shot At ICOs

    Robert Crea

    In the midst of market excitement surrounding initial coin offerings, the U.S. Securities and Exchange Commission recently issued an investigative report warning that digital tokens may be securities. When a token is a security, a variety of legal considerations come into play, including the Investment Advisers Act, anti-money laundering and taxation, say attorneys with K&L Gates LLP.

  • Best Practices For Whistleblower Internal Investigations

    Excerpt from Lexis Practice Advisor
    Jenny Cooper

    There are several issues to consider when assisting employers with investigating whistleblower complaints. Jenny Cooper of Ropes & Gray LLP addresses special issues that often crop up when an organization responds to — or internally investigates — a whistleblower’s complaint of wrongdoing.

  • Credit Unions Face Tightening Bank Secrecy Act Scrutiny

    Timothy Westrick

    Recent Bank Secrecy Act enforcement underscores credit unions’ obligations not only to adhere to the rules and regulations, but also to possess a sufficient anti-money laundering compliance program of policies, training and reporting, says former federal prosecutor Timothy Westrick of Treliant Risk Advisors.

  • 5 Tips For A Successful Legal Blog

    David Coale

    David Coale, leader of the appellate practice at Lynn Pinker Cox & Hurst LLP, shares his insights into what works — and what does not — when setting up and maintaining a legal blog.

  • Is The Hutchins Indictment Over Malware Unconstitutional?

    Alex Berengaut

    ​In a dramatic turn of events, the British security researcher who stopped the WannaCry malware attack has been indicted in the U.S. for creating and selling the Kronos malware. But it is an open question whether the indictment fails to allege a sufficient nexus between Marcus Hutchins and the U.S. for purposes of the Fifth Amendment, says Alex Berengaut of Covington & Burling LLP.

  • Series

    Judging A Book: Kopf Reviews Posner's 'Federal Judiciary'

    Judge Richard Kopf

    There is a wonderful sketch of Seventh Circuit Judge Richard Posner dressed in a black robe with arms outstretched as if they were the billowing wings of a lean vulture. He is kicking a human brain down a hallway and wearing a half-smile that looks for all the world like a sneer. That sketch is the perfect metaphor for both Judge Posner and his new book, "The Federal Judiciary: Strengths and Weaknesses," says U.S. District Judge Ri... (continued)

  • Obstruction And Why It Matters In Federal Investigations

    Lisa Krigsten

    Understanding obstruction of justice laws is vital to understanding federal government investigations both in and out of the political realm. Any company responding to a federal subpoena, or conducting an internal investigation, ignores this at its own peril, says Lisa Krigsten of Dentons.

  • Internal Investigations: 10 Ways To Be A Cyber Sleuth

    Caroline Sweeney

    Given the overwhelming complexity of today’s data environments, investigators must take advantage of a variety of technology tools to apply both tried-and-true and new analytical techniques to internal investigations. Investigators must also develop the mindset of a relentless and detailed forensic detective, says Caroline Sweeney of Dorsey & Whitney LLP.

  • A Summer Update On FCPA: Part 2

    Michael Skopets

    One factor that has likely affected the overall pace of Foreign Corrupt Practices Act enforcement under the new Trump administration — including the number and duration of open investigations — is the turnover of U.S. Securities and Exchange Commission and U.S. Department of Justice personnel, say Michael Skopets and Marc Bohn of Miller & Chevalier Chtd.