White Collar

  • March 28, 2017

    Ex-Broker Tells Walters Jury Of Large, Risky Trades

    Prominent sports gambler Billy Walters was considered to be one of the most sophisticated investors in the world despite his penchant for large and risky stock trades sometimes as high as $50 million, his former broker told a New York federal jury Tuesday in Walters’ insider trading trial.

  • March 28, 2017

    Dewey Cooperator Says He Never Told CFO Of Fraud

    The former controller for Dewey & LeBoeuf LLP on Tuesday told a Manhattan jury that he never told former Dewey Chief Financial Officer Joel Sanders that the law firm wasn’t in compliance with its lending agreements, as the retrial of Sanders and former Dewey Executive Director Stephen DiCarmine neared the two-month mark.

  • March 28, 2017

    Paxton Prosecutors Say AG Ally's Suits Reason To Move Trial

    Prosecutors in the felony securities fraud case against Texas Attorney General Ken Paxton on Monday told a Texas state judge a Paxton supporter has continued a string of vexatious litigation that they say has poisoned the jury pool and necessitates a change of venue.

  • March 28, 2017

    Ex-US Rep. Indicted In Charitable Foundation Theft Scheme

    Former Texas Republican U.S. Congressman Stephen Stockman and his former director of special projects both have been indicted for their roles in an alleged scheme that illegally funneled charitable donations to fund his campaign, and to pay personal expenses for himself and his associates, the U.S. Department of Justice announced on Tuesday.

  • March 28, 2017

    Giuliani, Mukasey Add Firepower To Iran Sanction Defense

    A wealthy Turkish businessman with alleged connections to government officials in Iran and in his home country has added former New York Mayor Rudy Giuliani and former Attorney General Michael Mukasey to his legal team as he fights charges of money laundering and breaking sanctions.

  • March 28, 2017

    Trial Date Set For 2nd Meningitis Defendant

    A Massachusetts federal judge on Tuesday set a date for the second trial over a 2012 fungal meningitis outbreak, locking down the agenda just days after the first trial resulted in a conviction on racketeering charges but an acquittal on murder charges.

  • March 28, 2017

    Judge Chides Philly DA's Atty For Making Limited Appearance

    An attorney looking to back out from representing Philadelphia's recently indicted district attorney was chided by a federal judge on Tuesday for attempting to get involved in the bribery case on a limited basis despite concerns about potential conflicts of interest and the DA’s ability to pay legal fees.

  • March 28, 2017

    NJ Trader Cops To Defrauding Investors With 'Tied Up' Funds

    A New Jersey investment manager admitted in federal court that he swindled investors out of $675,000 by misleading them about the success of his venture and spent most of the money on himself, prosecutors announced Tuesday.

  • March 28, 2017

    RBS Objects To Direct Appeal In Madoff Clawback Fight

    The Royal Bank of Scotland on Tuesday asked a New York bankruptcy court to deny a motion by a trustee for Bernie Madoff’s fraudulent investment firm for a direct Second Circuit appeal to determine if he can claw back $22 million in Ponzi scheme proceeds from the bank, saying the question needs to go through the district court.

  • March 28, 2017

    Ex-Katten Atty Says Indictment In Shkreli Case Is 'Careless'

    A former Katten Muchin Rosenman LLP attorney pushed a New York federal court Monday to strike a portion of the securities fraud indictment against him and onetime client ex-pharmaceutical head Martin Shkreli, saying prosecutors used careless language that ropes him into alleged schemes solely charged against Shkreli.

  • March 28, 2017

    McGuireWoods Adds Ex-Bank Of America, SEC Pro

    A former U.S. Securities and Exchange Commission senior counsel who won a $125 million settlement with Canadian Imperial Bank of Commerce on market timing allegations and spent 10 years representing Merrill Lynch and Bank of America in securities investigations has joined McGuireWoods LLP’s New York office.

  • March 28, 2017

    Tenn. Judge Charged With Impeding FBI Sex-For-Favors Probe

    Federal prosecutors on Tuesday arrested a general sessions judge in Tennessee under investigation by the FBI for allegedly exchanging judicial favors for sex, saying he attempted to pay a key witness thousands of dollars to recant prior statements and tried to hide his involvement in the obstruction.

  • March 28, 2017

    2nd Circ. Denies Bail For Ex-Ranking Sen. John Sampson

    The Second Circuit denied bail Tuesday for former New York State Senate Minority Leader John Sampson, hours after the former ranking Albany Democrat argued he should stay out of prison while appealing his conviction on an obstruction count and two counts of lying to federal agents investigating corruption.

  • March 28, 2017

    Judge Lops $6M From Ex-Carrillo Huettel Partners' SEC Tab

    A Manhattan federal judge said Tuesday he will lop about $6 million of disgorgement liability for two former California firm name partners' roles in a pump-and-dump scheme run by four Canadian stock promoters, subtracting that amount from a $13 million tab recommended by a magistrate judge.

  • March 28, 2017

    Ex-General Cable Execs Want SEC's Fraud Claims Nixed

    Two former General Cable Corp. executives told a Florida federal court Monday to toss parts of the U.S. Securities and Exchange Commission’s suit alleging they worked to conceal accounting errors totaling $46.7 million, saying the agency is trying to "end run" around U.S. Supreme Court precedent by deficiently asserting scheme liability claims.

  • March 28, 2017

    Investors Jumping The Gun With Judgment Bid, VW Says

    Volkswagen AG has asked a California federal judge to defer ruling on whether the automaker intentionally made false statements about its emissions standards to investors, saying the shareholders’ motion for judgment should wait until after Volkswagen’s bid to dismiss the case is decided.

  • March 28, 2017

    Senate Democrats Want Answers On Bharara's Firing

    Senate Democrats Elizabeth Warren, Richard Blumenthal and Jeff Merkley on Tuesday demanded answers from Attorney General Jeff Sessions about why Preet Bharara was fired from his position as U.S. attorney for the Southern District of New York, especially given reports that he was investigating HHS Secretary Tom Price’s stock trades.

  • March 28, 2017

    Tri-Med Investors Seek Class Cert. For Law Firm Claims

    A proposed class of Tri-Med Corp. investors have urged a Florida federal judge to grant certification regarding allegations that Stoel Rives LLP assisted in Tri-Med's $17 million Ponzi scheme, saying the scheme affected enough people to warrant certification. 

  • March 28, 2017

    Attys Shed Claims In SEC Fraud Suit Against 'Stalker' CEO

    A New York federal judge on Monday freed an attorney from U.S. Securities and Exchange Commission claims over his alleged role in helping "stalker" and private equity CEO Benjamin Wey manipulate shares, and trimmed claims for monetary gain related to the scheme against another individual.

  • March 28, 2017

    Doc's Immunity Bid In $600M Social Security Fraud Denied

    A clinical psychologist was never promised immunity before testifying about an alleged $600 million Social Security fraud scheme involving a now-retired administrative law judge and an attorney, a Kentucky federal magistrate judge said Monday in recommending the case survive his dismissal bid.

Expert Analysis

  • Are Your In-House Lawyers Happy?

    Aric Press

    What is the mood of the nation’s in-house lawyers? Aric Press — a partner at Bernero & Press LLC and former editor-in-chief of The American Lawyer — shares the findings of a recent survey of more than 800 in-house counsel.

  • How The IRS Reconstructs Income In Tax Fraud Cases

    Michael DeBlis III

    Anyone who has ever faced off against the U.S. Internal Revenue Service knows that the agency has an array of tools to determine what a taxpayer owes. Deductions, expenditures, bank deposits and other methods may be used to reconstruct a taxpayer's putative income, but certain standards of proof must be met to successfully prosecute a tax evasion case in court, says Michael DeBlis III of DeBlis Law.

  • The Bumpy Road To Protection For Internal Whistleblowers

    Ryan S. Hedges

    The crux of the whistleblower protection debate centers on whether the Dodd-Frank Act protects whistleblower reports that are made internally within a company but not to the U.S. Securities and Exchange Commission. Even if the U.S. Supreme Court chooses to limit Dodd-Frank’s anti-retaliation provisions to SEC reports, it is unclear how much employers stand to gain, say Ryan Hedges and Brooke Conner of Vedder Price PC.

  • A Straightforward Insider Trading Statute Is Overdue

    Jason P. Gottlieb

    As Judge Jed Rakoff observed in a recent speech, it would benefit prosecutors, the courts and investors to have a clearly drafted statute setting forth, to the most specific degree possible, exactly what about insider trading is illegal, and why, say Jason Gottlieb and Daniel Isaacs of Morrison Cohen LLP.

  • Google, NASA, Planes And A Stronger Legal Team

    Nicholas Cheolas

    Why did minor mechanical issues bring down two airplanes, while a catastrophic engine explosion did not bring down a third? The answers lie, in part, in research conducted by NASA in the wake of those crashes and, more recently, by Google. And those answers can help organizations build better teams to meet today’s legal industry challenges, says Nicholas Cheolas of Zelle LLP.

  • 10 Tips For Better Legal Negotiations

    Marc J. Siegel

    Like everything else, the art of negotiation starts by having a conversation. It’s about being respectful, finding common ground, knowing what you want and, most importantly, listening. A conversation between two lawyers can be complicated at best, but by employing a few techniques and tactics, it doesn’t have to be that way, says Marc Siegel of Siegel & Dolan Ltd.

  • Monthly Column

    Gray Matters: Decision Error

    Gray Matters

    Lawyers make hundreds of decisions during the course of advising a client, consummating a transaction or litigating a case. In this new column, dispute resolution experts Bob Creo and Selina Shultz explore the theory, science and practical aspects of how decisions are made in the legal community.

  • Law Schools And Law Firms: Seeking Common Ground

    Randy Gordon

    What we don’t know is whether the teaching and practice of law are undergoing massive structural changes or we’re still digging out from the worst economic collapse since the Depression. But what we do know is that the missions of the most forward-looking law schools and law firms are converging in ways that were unimaginable 10 years ago, says Randy Gordon, a partner at Gardere Wynne Sewell LLP and executive professor of law at Te... (continued)

  • D&O Insurance And The Conduct Exclusion

    Kevin M. LaCroix

    Most directors and officers insurance policies have conduct exclusions precluding coverage for fraudulent, criminal or willful misconduct, but mere allegations are insufficient to trigger this exclusion. A California state appeals court's recent decision in Heart Tronics v. Axis Insurance provides interesting insight into the operation of such an exclusion, says Kevin LaCroix of RT ProExec.

  • Not From Around Here? Trying A Case As An Out-Of-Towner

    William Oxley

    The importance of authenticity is magnified when trying a case outside your home jurisdiction. While using references to local landmarks or history can help make arguments relatable, adopting local expressions or style in an attempt to ingratiate oneself with the judge and jury almost always backfires, say William Oxley and Meghan Rohling Kelly of Dechert LLP.