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Asset Management
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November 26, 2024
GE Inks $362.5M Settlement In Investors' Stock Fraud Suit
General Electric Co. shareholders asked a Manhattan federal judge to greenlight a $362.5 million settlement resolving long-running litigation on the cusp of trial that alleged the industrial giant's stock price plummeted after it was revealed the company fraudulently concealed cash flow problems.
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November 26, 2024
2nd Circ. Nixes VR Capital Venezuela Fraud Suit
The Second Circuit has refused to revive VR Capital's lawsuit accusing Venezuela's state-owned oil company of fraud in connection with its issuance of some $2 billion in since-defaulted bonds, ruling Tuesday that the asset manager hadn't adequately pled its case.
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November 26, 2024
9th Circ. Reopens Teachers' Retirement Savings Interest Suit
The Ninth Circuit on Tuesday revived a class action accusing the Washington state pension agency of unlawfully skimming interest earned by thousands of teachers on their retirement accounts, ruling the trial court went too far when it ruled the educators' suit was untimely.
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November 26, 2024
California's Top Bank, Fintech Regulator To Exit At Year's End
The top banking and fintech regulator for California is departing from the state's Department of Financial Protection and Innovation in a little more than a month, an agency spokesperson told Law360 on Tuesday.
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November 26, 2024
Ropes & Gray Atty Is Kirkland's Latest Debt Finance Hire
Kirkland & Ellis LLP announced the latest of several recent additions to its debt finance group on Monday, a Ropes & Gray LLP partner with a host of multibillion-dollar deals under his belt.
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November 25, 2024
Ex-Wamco Exec Charged In 'Criminal Cherry-Picking Scheme'
Federal prosecutors have accused Ken Leech, the former chief investment officer of Western Asset Management Co., of participating in a $600 million "criminal cherry-picking scheme" in which he favored certain clients at the expense of others, according to an indictment unsealed Monday in New York federal court.
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November 25, 2024
SEC Secured Historic $8.2B Enforcement Haul In 2024
The U.S. Securities and Exchange Commission obtained $8.2 billion in civil penalties and disgorgement via successful enforcement actions in 2024, the highest amount in the history of the agency despite a significant decline in total enforcement actions, the SEC has announced.
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November 25, 2024
Gov't Defends EB-5 Rule That Hikes Up Petition Fees
The U.S. Department of Homeland Security and its U.S. Citizenship and Immigration Services agency pushed for an early win in Texas federal court against a suit challenging increases for filing fees for petitions related to USCIS' EB-5 immigrant investor program.
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November 25, 2024
Grayscale Seeks Win In Rival's $2M Unfair Practices Suit
Digital asset management firm Grayscale Investments LLC seeks a quick finding in its favor that certain securities-related conduct it is being sued over did not violate Connecticut's unfair trade practices law because the law has a securities matters carveout.
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November 25, 2024
7th Circ. Says Schwab Race Bias Suit Filed Too Late
The Seventh Circuit said a Black call center worker can't revive her suit claiming Charles Schwab blocked her from career advancements because of her race, ruling that an attorney's error led her to file the case too late, preventing the court from granting her any leeway.
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November 25, 2024
Hedge Fund-Backed SPAC Returns To Market With 3rd IPO
Inflection Point Acquisition Corp. III, the third special purpose acquisition company affiliated with executives of hedge fund Kingwood Capital Management, filed plans on Monday for a $220 million initial public offering, guided by three law firms.
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November 25, 2024
J.S. Held Acquires Forensic Accounting Firm Luttrell Wegis
J.S. Held, a global consulting firm, has acquired Lutrell Wegis LLP, a California-based forensic accounting and business valuation firm, in a move one of the new company's co-founders said will strengthen their companies' capabilities.
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November 25, 2024
Vanguard, Investors Get Initial OK On $40M Deal In Tax Suit
A Pennsylvania federal judge gave initial approval Monday to a $40 million settlement between Vanguard and investors who claimed the firm breached its fiduciary duty when it triggered a sell-off of assets that left investors with hefty tax bills.
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November 25, 2024
NC Biz Owner Settles SEC's $28M Fraud Claims
An investment firm owner has agreed to return the proceeds of an alleged $28 million Ponzi-like manufacturing debt investment scheme and pay a civil penalty to the U.S. Securities and Exchange Commission, according to an order signed by a North Carolina federal judge.
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November 25, 2024
Kirkland, Milbank Shape $3.5B Blackstone-EQT Corp. JV
EQT Corp., led by Kirkland & Ellis, will form a $3.5 billion joint venture with Blackstone Credit & Insurance to take over ownership of the Mountain Valley Pipeline and other midstream assets that EQT got in its re-acquisition of Equitrans Midstream, the partners announced Monday.
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November 25, 2024
Macy's Delays Earnings Report After $154M Employee Error
Macy's said Monday that an employee had misstated up to $154 million in delivery expenses since 2021, forcing the retailer to delay releasing its third-quarter results for the year, just ahead of the holiday shopping season.
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November 25, 2024
SDNY's Williams To Resign Before Trump Takes Office
Manhattan U.S. Attorney Damian Williams said Monday he will resign Dec. 13, clearing the way for President-elect Donald Trump's nominee, former U.S. Securities and Exchange Commission chair Jay Clayton, to run the office next year.
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November 25, 2024
5 Firms Build CA$12.1B Take-Private Of CI Financial
Canada-based asset and wealth management company CI Financial Corp. on Monday announced that it has agreed to go private through an acquisition by Mubadala Capital that boasts an enterprise value of roughly CA$12.1 billion ($8.7 billion) and was built by five law firms.
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November 22, 2024
Private Cos. Seek Pre-IPO Share Sales Amid Liquidity Crunch
Following a dearth of initial public offerings in recent years, more private companies are arranging secondary-share sales to help employees and early investors pare down equity stakes without waiting for a public listing, a trend capital markets attorneys expect will continue for the foreseeable future, even if IPOs rebound.
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November 22, 2024
Democratic SEC Member To Step Down Amid GOP Takeover
U.S. Securities and Exchange Commission member Jaime Lizárraga said Friday that he plans to step down before President-elect Donald Trump takes office, a day after SEC Chair Gary Gensler announced his plans to leave, further clearing the way for new Republican Party leadership.
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November 22, 2024
Chinese EV Maker's European Unit Eyes $410M SPAC Merger
Hudson Acquisition I Corp. and Aiways Automobile Europe GmbH said Friday they have inked an agreement to go public through a SPAC merger, with the electric vehicle maker achieving a $410 million pre-merger equity valuation.
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November 22, 2024
Software-Focused VC Firm Closes 2nd Fund At $450M
Software-focused venture capital firm Theory Ventures on Friday announced that it closed its second fund with $450 million in tow.
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November 22, 2024
Taxation With Representation: Stradley Ronon, Davis Polk
In this week's Taxation With Representation, Amcor PLC buys Berry Global Group Inc., AeroVironment buys BlueHalo, Robinhood Markets Inc. acquires TradePMR, and Comcast Corp. spins off a suite of NBCUniversal cable television networks.
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November 21, 2024
FDIC's 'Hot Money' Revamp Gets Bank, Fintech Cold Shoulder
Banking and fintech lobbyists are calling on the Federal Deposit Insurance Corp. to scrap its proposal to overhaul rules on brokered deposits, also known as "hot money," arguing the effort represents a step backward for the industry that would raise costs for everyone.
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November 21, 2024
FirstEnergy Investors Slam Ex-Execs' Info 'Bogeyman' Story
FirstEnergy shareholders have accused two former executives of the energy company of exploiting confidentiality rules by seeking to shield documents relevant to their suit over a stock plummet that followed a massive bribery scheme, telling an Ohio federal judge he should reject the executives' "informational bogeyman" story.
Expert Analysis
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Cos. Should Inventory Issues To Prep For New Congress
As the legislative and oversight agendas of the 119th Congress come into sharper focus, corporate counsel should assess and plan for areas of potential oversight risk — from tax policy changes to supply chain integrity — even as much uncertainty remains, say attorneys at WilmerHale.
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OCC Recovery Guidance Can Help Banks Bounce Back Better
The Office of the Comptroller of the Currency's recently finalized recovery guidelines add to the constellation of exercises that larger banks must undertake, while also aiding information-gathering and preparedness efforts that can help prevent — or better manage — bank failures, say attorneys at Davis Wright.
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Navigating DOJ's Patchwork Whistleblower Regime
In the past few months, the U.S. Department of Justice and several individual U.S. attorney’s offices have issued different pilot programs aimed at incentivizing individuals to blow the whistle on misconduct, but this piecemeal approach may create confusion and suboptimal outcomes, say attorneys at BakerHostetler.
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So You Want To Move Your Law Practice To Canada, Eh?
Google searches for how to move to Canada have surged in the wake of the U.S. presidential election, and if you’re an attorney considering a move to the Great White North, you’ll need to understand how the practice of law differs across the border, says David Postel at Henein Hutchison.
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A Look At Similarities Between SOX And SEC's Cyber Rule
Just as the Sarbanes-Oxley Act paved the way for greater transparency and accountability in financial reporting, the SEC's cybersecurity rule is doing much the same for cybersecurity, ensuring that companies are resilient in the face of growing cyber threats, says Padraic O'Reilly at CyberSaint.
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Class Actions At The Circuit Courts: November Lessons
In this month's review of class action appeals, Mitchell Engel at Shook Hardy discusses six federal court decisions that touch on Rule 23 of the Federal Rules of Civil Procedure, and when individual inquiries are needed to prove economic loss.
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5 Areas Congress May Investigate After GOP Election Wins
With Republicans poised to take control of Congress in addition to the executive branch next year, private companies can expect an unprecedented uptick in congressional investigations focused on five key areas, including cryptocurrency and healthcare, say attorneys at Cahill Gordon.
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Trump's 2nd Term May Be A Boost To Banking Industry
President-elect Donald Trump's personnel appointments could be instrumental in reshaping the financial regulatory landscape during his second administration, likely allowing for greater merger activity and halting or undoing some of the Biden administration's more restrictive financial services policies, say attorneys at Debevoise.
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Predicting Shareholder Activism Trends In New Trump Admin
While President-elect Donald Trump has promised tax policies, deregulation and lax antitrust enforcement — which all fuel shareholder activism — a closer look at his first administration's track record suggests that his second presidency might be a mixed bag for activist investors and companies alike, say attorneys at Sidley.
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What Trump's 2nd Presidency Could Mean For Crypto Sector
Trump's second term will bring a fundamental shift from the Biden administration's approach to crypto-asset regulation and banking supervision, with the most significant changes likely taking effect in the first two quarters of 2025 and broader policy shifts emerging over the next year, say attorneys at Cahill.
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Promoting Diversity In The Selection Of ADR Neutrals
Excerpt from Practical Guidance
Choosing neutrals from diverse backgrounds is an important step in promoting inclusion in the legal profession, and it can enhance the legitimacy and public perception of alternative dispute resolution proceedings, say attorneys at Lowenstein Sandler.
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Series
Playing Ultimate Makes Us Better Lawyers
In addition to being fun, ultimate Frisbee has improved our legal careers by emphasizing the importance of professionalism, teamwork, perseverance, enthusiasm and vulnerability, say Arunabha Bhoumik and Adam Bernstein at Regeneron.
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Dissecting New Circuit Split Over SEC's Proxy Adviser Rule
The Sixth Circuit recently upheld the U.S. Securities and Exchange Commission's partial rescission of enhanced conflict-of-interest disclosure requirements for proxy voting advice businesses, creating a circuit split over broader questions concerning the standard for assessing the legality of agency actions in general, say attorneys at Cahill Gordon.
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E-Discovery Quarterly: Recent Rulings On Metadata
Several recent rulings reflect the competing considerations that arise when parties dispute the form of production for electronically stored information, underscoring that counsel must carefully consider how to produce and request reasonably usable data, say attorneys at Sidley.
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Parsing SEC's Emerging Trend Of Section 204A Enforcement
The U.S. Securities and Exchange Commission recently settled with Sound Point Capital Management for violating Section 204A of the Investment Advisers Act, adding to a slew of charges against investment advisers that allegedly failed to safeguard material nonpublic information, say attorneys at Cozen O'Connor.