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White Collar
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May 02, 2025
Ex-SCWorx CEO Seeks Sentencing Delay Over Restitution Row
The former chief executive of SCWorx Corp. who was convicted of securities fraud after publicizing a $670 million COVID-19 test kit contract that never materialized told a New Jersey federal court Friday that he's seeking a one-month delay in his sentencing, citing the government's statement that it would pursue more than $140 million in restitution.
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May 02, 2025
Trooper Guilty On Most Counts In Driver's License Scheme
A former Massachusetts State Police trooper was convicted Friday on most counts in a case alleging he accepted bribes in exchange for giving passing scores on commercial driver's license exams.
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May 02, 2025
Money Laundering, Tax Charges Nixed Vs. Crypto Operator
An Indiana federal judge dismissed the U.S. government's cases against a man accused of operating an unlicensed money transmitting business, laundering proceeds through cryptocurrency transactions and failing to file tax returns after finding his business was not subject to registration requirements, as the government had maintained.
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May 02, 2025
Conn. Exoneree Says Town Can't Escape $5.7M Jury Verdict
A murder exoneree who spent three decades in prison has asked a federal judge to reject a Connecticut town's attempt to escape a $5.7 million evidence fabrication award, saying a limited post-verdict review weighs in his favor and that the town's prior Second Circuit loss supports his win.
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May 02, 2025
Abbe Lowell Launches New Firm With Ex-Skadden Associates
Tapping a team of ex-BigLaw associates, some of whom publicly quit their firms in response to deals struck to avoid scrutiny from the Trump administration, prominent defense lawyer and former Winston & Strawn LLP partner Abbe David Lowell launched a new boutique Friday aimed at helping clients facing what it called "politicized investigations" by the government.
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May 02, 2025
DC Circ. Seems Unconvinced That Proxy Firms 'Solicit'
An industry group's bid to revive a U.S. Securities and Exchange Commission rule regulating proxy advisory firms seemed to meet a skeptical D.C. Circuit panel on Friday, as the judges questioned whether those firms "solicit" proxy votes.
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May 02, 2025
Convicted Ex-Sacks Weston Atty Gets Early End To Probation
A Pennsylvania federal judge has granted the request of a Philadelphia lawyer sentenced in 2023 to prison and supervised release for resolving cases behind the back of his former firm to be let out of probation early.
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May 02, 2025
Off The Bench: DC Stadium, BetMGM Victory, Transfer Rules
In this week's Off The Bench, the Washington Commanders strike a deal to build a new stadium in D.C., BetMGM fends off a consumer fraud suit targeting its gambling promotion efforts and a Rutgers University football player scores another win against the NCAA's transfer rules.
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May 02, 2025
3rd Circ. Says County Judges Need Notice To Pull Probation
The Third Circuit on Friday partly revived claims from criminal defendants who said they were jailed for alleged probation violations too hastily and too long by Allegheny County, Pennsylvania, Judges Jill Rangos, Anthony Mariani and Kelly Bigley, but the split panel declined to require more than "probable cause" for someone to be returned to jail.
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May 02, 2025
Frank Execs Trade Blame In Dueling Bids For New Trial
Frank founder Charlie Javice and former executive Olivier Amar each requested new trials on charges alleging they tricked JPMorgan Chase & Co. into buying the student aid assistance startup for $175 million, with Javice asserting that her co-defendant acted as a second prosecutor and Amar saying he was unfairly lumped into what the government called a criminal scheme.
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May 01, 2025
NY Judge Says He May Nix $110M Mango Markets Fraud Verdict
A Manhattan federal judge on Thursday suggested that he may grant all or part of a crypto trader's motion for acquittal or a new trial over allegations that he defrauded Mango Markets investors out of $110 million by manipulating the price of the exchange's native token, in a ruling that would likely center on issues involving mixed swaps or venue.
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May 01, 2025
FTC, Nevada Accuse Trading Training Biz Of $1.2B Scam
The Federal Trade Commission and Nevada on Thursday filed suit in federal court against an investment training company they alleged scammed more than $1.2 billion out of consumers, mostly young adults, by selling trading courses taught by "bogus" instructors and encouraging consumers to participate in a multi-level marketing scheme.
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May 01, 2025
Ex-Amtrak Director Steered IT Contracts For Bribes, Feds Say
Pennsylvania federal prosecutors announced Thursday that the former director of network planning and engineering for Amtrak is charged with taking bribes worth tens of thousands of dollars in exchange for steering millions of dollars in Amtrak contract work to various vendors.
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May 01, 2025
Aetna And Humana Accused Of Medicare Kickbacks And Bias
The federal government brought a bombshell False Claims Act suit Thursday against Aetna, Elevance and Humana, claiming the insurers paid hundreds of millions of dollars in illegal kickbacks to brokers in exchange for enrollments into their Medicare Advantage plans, with Humana and Aetna also accused of discriminating against disabled beneficiaries.
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May 01, 2025
2 Firms To Co-Lead Block Investor Suit Over Cash App
Cohen Milstein Sellers & Toll PLLC and Lieff Cabraser Heimann & Bernstein LLP will represent a proposed class of investors in a suit alleging Jack Dorsey's fintech company Block Inc. created a "haven for criminal and illicit activities" on its Cash App and Square payment platforms despite touting its anti-money laundering protocols.
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May 01, 2025
SEC Drops Case Against Crypto Promoter Ian Balina
The U.S. Securities and Exchange Commission moved Thursday to drop its suit over cryptocurrency influencer Ian Balina's alleged promotion of so-called SPRK tokens, about a month after Balina's attorneys said the federal regulator planned to walk away from the case.
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May 01, 2025
Ex-FirstEnergy Execs Object To Possible Sanctions Order
Two former FirstEnergy Corp. executives indicted over their alleged roles in a $1 billion bribery scandal objected Thursday to the possibility they could be sanctioned for failing to produce certain information in a civil suit brought by FirstEnergy investors, calling language in a special master's report "inappropriate" and potentially prejudicial.
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May 01, 2025
Okla. DAs Say Tribes Can't Overrule State Court Opinion
Two Oklahoma district attorneys have urged a federal court to throw out Cherokee, Chickasaw and Choctaw nation lawsuits challenging the district attorneys' attempts to prosecute tribal citizens for crimes committed in Indian Country, arguing that their complaints wrongly seek to overturn a state criminal court opinion.
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May 01, 2025
PetroSaudi Insists Pause Not Warranted In $380M Award Suit
A PetroSaudi unit continues fighting the Trump administration's bid to pause litigation to seize a $380 million arbitral award while related proceedings in Switzerland play out, saying a California federal judge has already denied its stay request once before.
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May 01, 2025
Masonry Exec Cops To $52M Amtrak Program Bribery Scheme
The owner of an Illinois-based masonry business awarded a federal contract to renovate Philadelphia's historic 30th Street Station admitted Wednesday to bribery charges in a case alleging he had his executives shower gifts on an Amtrak employee who then approved additional work that added $52 million to the project's cost.
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May 01, 2025
Civil Order Stalling Chamber Death Prosecution, Judge Hears
A prosecutor and attorneys for clinic workers charged in connection with the death of a 5-year-old boy in a hyperbaric chamber explosion expressed frustration Wednesday that they cannot get their experts into the building to investigate because of a temporary restraining order they say is interfering with the criminal cases.
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May 01, 2025
Ex-Conn. State Employee Cops To $1.8M Medicaid Scam Role
A former Connecticut government employee admitted to playing a part in a $1.8 million scheme to defraud the Constitution State's Medicaid program by fraudulently billing services for children with autism that her company never provided, acting U.S. Attorney Marc H. Silverman has announced.
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May 01, 2025
Senate Panel Delays A Vote On Martin Nomination For US Atty
The Senate Judiciary Committee on Thursday held off for now a vote to call for a hearing on Ed Martin's nomination for U.S. attorney for the District of Columbia, a move Democrats say would allow more time to review his record and, they hope, convince enough Republicans to help them block his nomination.
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May 01, 2025
Prosecutor Says He Is Immune In Suit Over $850K Hemp Bust
A Tennessee district attorney general is urging a federal court to throw out a suit alleging he maliciously prosecuted a driver transporting $850,000 worth of hemp through the state, saying he has immunity to all the claims against him.
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May 01, 2025
Raytheon, Nightwing To Pay Feds $8.4M Over Cybersecurity
Four Raytheon and Nightwing-related defense contractors have agreed to collectively pay $8.4 million to resolve a False Claims Act whistleblower lawsuit alleging that Raytheon knowingly failed to adhere to cybersecurity requirements during contracts with the U.S. Department of Defense, the U.S. Department of Justice announced on Thursday.
Expert Analysis
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Improving Comms Between Trial Attys And Tech Witnesses
In major litigation involving complex technology, attorneys should employ certain strategies to collaborate with companies' technical personnel more effectively to enhance both the attorney's understanding of the subject matter and the expert's ability to provide effective testimony in court, say attorneys at Buchalter.
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What Companies Should Consider During FCPA Pause
While waiting for updated guidance on Foreign Corrupt Practices Act criminal investigations after a Feb. 10 executive order froze FCPA enforcement, companies should consider the implications of several possible policy shifts, rather than relaxing internal oversight of questionable business practices, say attorneys at Simpson Thacher.
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How Criminal Enforcement Of Trump Tariffs May Work
While tariff enforcement has traditionally been handled as a civil matter, tariffs are central to President Donald Trump's broader economic, immigration and national security agendas — making it likely that the U.S. Department of Justice will be tasked with criminal enforcement of tariff evasion, say attorneys at BakerHostetler.
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Series
Collecting Rare Books Makes Me A Better Lawyer
My collection of rare books includes several written or owned by prominent lawyers from early U.S. history, and immersing myself in their stories helps me feel a deeper connection to my legal practice and its purpose, says Douglas Brown at Manatt Health.
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Preparing For Stricter Anti-Boycott Enforcement Under Trump
Given the complexity of U.S. anti-boycott regulations and the likelihood of stepped-up enforcement under the new administration, companies should consider adopting risk-based anti-boycott compliance programs that include training employees to recognize and assess potential boycott requests, and to report them expeditiously when necessary, say attorneys at Debevoise.
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Opinion
New DOJ Leaders Should Curb Ill-Conceived Prosecutions
First-of-their-kind cases have seemingly led to a string of overly aggressive prosecutions in recent years, so newly sworn-in leaders of the U.S. Department of Justice should consider creating reporting channels to stop unwise prosecutions before they snowball, says Jonathan Porter at Husch Blackwell.
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Opinion
Judge Should Not Have Been Reprimanded For Alito Essay
Senior U.S. District Judge Michael Ponsor's New York Times essay critiquing Supreme Court Justice Samuel Alito for potential ethical violations absolutely cannot be construed as conduct prejudicial to the administration of the business of the courts, says Ashley London at the Thomas R. Kline School of Law of Duquesne University.
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What Day 1 Bondi Memos Mean For Corporate Compliance
After Attorney General Pam Bondi’s flurry of memos last week declaring new enforcement priorities on issues ranging from foreign bribery to diversity initiatives, companies must base their compliance programs on an understanding of their own core values and principles, says Hui Chen at CDE Advisors.
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Lights, Camera, Ethics? TV Lawyers Tend To Set Bad Example
Though fictional movies and television shows portraying lawyers are fun to watch, Hollywood’s inaccurate depictions of legal ethics can desensitize attorneys to ethics violations and lead real-life clients to believe that good lawyers take a scorched-earth approach, says Nancy Rapoport at the University of Nevada, Las Vegas.
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Perspectives
Accountant-Owned Law Firms Could Blur Ethical Lines
KPMG’s recent application to open a legal practice in Arizona represents the first overture by an accounting firm to take advantage of the state’s relaxed law firm ownership rules, but enforcing and supervising the practice of law by nonattorneys could prove particularly challenging, says Seth Laver at Goldberg Segalla.
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Perspectives
DC Circ. Cellphone Ruling Upends Law Enforcement Protocol
The D.C. Circuit’s recent U.S. v. Brown decision, holding that forcibly requiring a defendant to unlock his cellphone with his fingerprint violated the Fifth Amendment, has significant implications for law enforcement, and may provide an opportunity for defense lawyers to suppress electronic evidence, says Sarah Sulkowski at Gelber & Santillo.
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AI Will Soon Transform The E-Discovery Industrial Complex
Todd Itami at Covington discusses how generative artificial intelligence will reshape the current e-discovery paradigm, replacing the blunt instrument of data handling with a laser scalpel of fully integrated enterprise solutions — after first making e-discovery processes technically and legally harder.
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Managing Transatlantic Antitrust Investigations And Litigation
As transatlantic competition regulators cooperate more closely and European antitrust investigations increasingly spark follow-up civil suits in the U.S., companies must understand how to simultaneously juggle high-stakes multigovernment investigations and manage the risks of expensive new claims across jurisdictions, say lawyers at Paul Weiss.
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Cos. Must Prepare For Heightened Trade Enforcement Risks
Recent trade enforcement cases — including criminal prosecutions for tariff evasion — as well as statements from the Trump administration make it clear that companies must assess their risk profiles, review compliance programs and communication policies, and consider protocols for responding to subpoenas, say attorneys at Miller & Chevalier.
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When Innovation Overwhelms The Rule Of Law
In an era where technology is rapidly evolving and artificial intelligence is seemingly everywhere, it’s worth asking if the law — both substantive precedent and procedural rules — can keep up with the light speed of innovation, says Reuben Guttman at Guttman Buschner.