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Capital Markets
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January 21, 2025
Trump Names Interim Top Prosecutors In Manhattan, Brooklyn
President Donald Trump named two high-ranking prosecutors to be interim U.S. attorneys in the Southern and Eastern districts of New York while his long-term picks for the posts await Senate confirmation, spokespeople for the offices confirmed Tuesday.
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January 21, 2025
Bacon Giant Smithfields Leads 3 IPOs Primed To Exceed $1B
Bacon maker Smithfields Foods Inc. led a trio of companies unveiling price ranges for initial public offerings Tuesday that could raise $1.3 billion combined over the next week, with 10 law firms guiding the IPOs in various capacities.
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January 21, 2025
Crypto Firm To Plead Guilty In Market Manipulation Case
A financial services firm based in the United Arab Emirates has agreed to plead guilty to a fraudulent "wash trading" scheme and will stop working in the U.S. cryptocurrency industry as part of a deal announced Tuesday by Boston federal prosecutors.
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January 21, 2025
New SEC Task Force Eyes 'Sensible' Crypto Regulations
A day after being appointed acting chairman of the U.S. Securities and Exchange Commission, Mark T. Uyeda on Tuesday launched a cryptocurrency task force to develop "a comprehensive and clear regulatory framework" for such assets.
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January 17, 2025
Law360 Names Practice Groups Of The Year
Law360 would like to congratulate the winners of its Practice Groups of the Year awards for 2024, which honor the attorney teams behind litigation wins and significant transaction work that resonated throughout the legal industry this past year.
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January 17, 2025
Law360 Names Firms Of The Year
Eight law firms have earned spots as Law360's Firms of the Year, with 54 Practice Group of the Year awards among them, steering some of the largest deals of 2024 and securing high-profile litigation wins, including at the U.S. Supreme Court.
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January 17, 2025
FDIC Missed Some Crypto 'Pause' Letters, Coinbase Ally Says
The research consultancy suing the Federal Deposit Insurance Corp. on behalf of Coinbase for documents on the regulator's internal views on crypto said Friday that it intends to update its complaint with new allegations that the FDIC did not conduct a thorough search and may be engaging in unlawful practices, based on purported whistleblower reports.
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January 17, 2025
DC Circ. Unsure On Restoring CFTC's Election Betting Ban
The D.C. Circuit seemed hesitant Friday to reimpose a ban that the U.S. Commodity Futures Trading Commission had placed on gambling over the fate of U.S. elections, as the judges spent over an hour trying to parse what Congress meant when it said that gaming on derivatives platforms was prohibited.
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January 17, 2025
Video Game Maker To Pay $20M For Child Privacy Violations
The maker of the video game "Genshin Impact" has agreed to pay $20 million and block children under 16 from making in-game purchases without parental permission to resolve the Federal Trade Commission's claims that the company misled children and other users about the actual costs of purchases and illegally collected children's personal information.
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January 17, 2025
Venezuela Says $2B In Bonds Can't Be Enforced
More than five years into litigation aimed at enforcing nearly $2 billion in defaulted bonds against Venezuela's state-owned oil company, the country is urging a New York federal judge to nix the case on the grounds that the bonds are illegal under its domestic law.
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January 17, 2025
Crypto Coder Sues Feds To Block 'Money Transmitter' Label
Crypto policy think tank Coin Center is supporting one of its fellows in suing the federal government over its allegedly "mistaken view" of how criminal money transmission statutes apply to crypto software.
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January 17, 2025
Michigan Justices Won't Answer Securities Test Issue
The Michigan Supreme Court on Friday denied an appeal from a developer asking justices to find a state law test rather than a federal one should be used to determine if a promissory note is a security, leaving in place a ruling that keeps the developer liable for notes issued in a $6 million project.
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January 17, 2025
SEC Says Food Tech Startup Overstated Revenue By $550M
The U.S. Securities and Exchange Commission on Friday fined venture-backed food technology startup GrubMarket $8 million for allegedly misleading investors by overstating revenue by more than $550 million, with faulty accounting that regulators say the company should have known was unreliable.
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January 17, 2025
Sidley-Led Hennessy Capital's 7th SPAC Raises $175M
Blank-check company Hennessy Capital Investment Corp. VII began trading publicly on Friday after raising $175 million in its initial public offering, which will be used to merge with a company in the industrial technology or energy transition sectors.
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January 17, 2025
Nasdaq Pulls Board Diversity Rules After 5th Circ. Loss
Nasdaq has moved to formally undo its rules requiring that companies listed on the exchange disclose board diversity data, following a narrow, en banc ruling from the Fifth Circuit last month finding that the rules ran afoul of federal securities law.
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January 17, 2025
Drink Maker Celsius Settles SEC's Accounting Claims For $3M
The U.S. Securities and Exchange Commission on Friday fined beverage company Celsius Holdings Inc. $3 million to settle claims that it issued financial statements that were materially inaccurate and misleading due to misreported stock award information.
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January 17, 2025
NYC Mall Lenders, Developer Want Foreign Investor Suit Nixed
Financial backers of a Staten Island mall project are asking a federal judge to toss a suit by foreign investors seeking damages, arguing that the investors are just trying to "claw back" whatever they can from others who lost even more money.
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January 17, 2025
SEC Fines Crypto Giant DCG, Ex-Genesis CEO $38.5M
Crypto venture capital firm Digital Currency Group and the ex-CEO of its bankrupt lending subsidiary Genesis Global Capital LLC agreed to a combined $38.5 million civil penalty Friday to settle claims they misled investors about Genesis' financial condition ahead of its collapse.
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January 17, 2025
FDIC Sues Ex-SVB Top Brass For 'Egregious Mismanagement'
The Federal Deposit Insurance Corp. has sued Silicon Valley Bank's former CEO Gregory Becker and other top brass in California federal court in a bid to put them on the hook for the bank's costly 2023 failure, accusing them of "egregious mismanagement."
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January 17, 2025
SEC Fines Unregistered Broker $3M Over Pre-IPO Work
The U.S. Securities and Exchange Commission on Friday fined an unregistered broker $3 million to resolve charges for illegally brokering transactions related to the stock of private companies that were expected to conduct initial public offerings.
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January 17, 2025
PE-Backed M&A Values, Megadeals Surged In 2024
Private equity-backed merger and acquisition values jumped nearly 25% year-over-year in 2024, while PE-backed megadeals valued above $5 billion more than doubled, according to S&P Global Market Intelligence.
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January 17, 2025
5 Firms Build 180 Degree Capital, Mount Logan Merger
Investment management company 180 Degree Capital Inc. and alternative asset management and solutions business Mount Logan Capital Inc. on Friday announced plans to merge in an all-stock transaction built by five law firms with an estimated pro forma enterprise value of $139 million.
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January 16, 2025
Two Sigma Fined $90M Over Investment, Whistleblower Issues
New York-based Two Sigma has agreed to pay $90 million in fines and has already refunded $165 million to various funds and accounts to put to rest the U.S. Securities and Exchange Commission's allegations it failed to deal with known issues with its investment models, the SEC announced Thursday.
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January 16, 2025
SEC's General Counsel Barbero To Exit As Trump Takes Office
The U.S. Securities and Exchange Commission announced Thursday that General Counsel Megan Barbero will depart the agency on the day of President-elect Donald Trump's inauguration, capping a nearly two-year run that saw the agency face setbacks to its regulatory powers before conservative courts, but also notch some important wins.
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January 16, 2025
Crypto Firm DRW Wants Out Of SEC's 'Scorched Earth' Suit
The crypto-trading arm of DRW Holdings says it has become the latest target of the U.S. Securities and Exchange Commission's "scorched-earth enforcement campaign against the crypto-asset industry" in its bid to dismiss a suit alleging it engaged in more than $2 billion in unregistered crypto transactions.
Expert Analysis
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The Strategic Advantages Of Appointing A Law Firm CEO
The impact on law firms of the recent CrowdStrike outage underscores that the business of law is no longer merely about providing supplemental support for legal practice — and helps explain why some law firms are appointing dedicated, full-time CEOs to navigate the challenges of the modern legal landscape, says Jennifer Johnson at Calibrate Strategies.
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Don't Phone A Friend: Disclosing Friendships With Executives
The U.S. Securities and Exchange Commission's recent settlement against a former Church & Dwight chairman for violating proxy disclosure rules by neglecting to disclose his friendship with an executive officer amid a CEO search illustrates the perils of relying solely on responses to questionnaires circulated to boards, say attorneys at BCLP.
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The Ups And Downs Of SEC's Now-Dissolved ESG Task Force
The U.S. Securities and Exchange Commission's Climate and ESG Enforcement Task Force, which was quietly disbanded sometime over the summer, was marked by three years of resistance from some stakeholders to ESG regulation, a mixed record in the courts and several successful enforcement actions, say attorneys at Crowell & Moring.
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Series
Beekeeping Makes Me A Better Lawyer
The practice of patent law and beekeeping are not typically associated, but taking care of honeybees has enriched my legal practice by highlighting the importance of hands-on experience, continuous learning, mentorship and more, says David Longo at Oblon McClelland.
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SEC Fine Shows Risks Of Nonpublic Info In X, LinkedIn Posts
The U.S. Securities and Exchange Commission recently announced a settlement with DraftKings over charges arising from posting material nonpublic information on the CEO's social media accounts, highlighting that information posted to company websites and social media sites does not automatically qualify as "publicly disclosed" for purposes of Regulation FD, say attorneys at O'Melveny.
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Anticipating Jarkesy's Effect On Bank Agency Enforcement
Following the U.S. Supreme Court’s decision in U.S. Securities and Exchange Commission v. Jarkesy, federal courts may eventually issue decisions on banking law principles and processes that could fundamentally alter the agencies' enforcement action framework, and the relationship between banks and examiners, says Brendan Clegg at Luse Gorman.
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CFTC Anti-Fraud Blitz Is A Warning To Carbon Credit Sellers
With its recent enforcement actions against a carbon offset project developer and its senior executives for reporting false information about the energy savings of the company's projects, the Commodity Futures Trading Commission is staking out its position as a primary regulator in the voluntary carbon credit market, say attorneys at Morgan Lewis.
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Unpacking State AG Approaches To Digital Asset Enforcement
Attorneys at Cozen O'Connor survey recent digital asset enforcement by attorneys general nationwide driven by concerns over regulatory gaps where technological developments and market changes have outpaced legislation.
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Opinion
Legal Institutions Must Warn Against Phony Election Suits
With two weeks until the election, bar associations and courts have an urgent responsibility to warn lawyers about the consequences of filing unsubstantiated lawsuits claiming election fraud, says Elise Bean at the Carl Levin Center for Oversight and Democracy.
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Peeling Back The Layers Of SEC's Equity Trading Reforms
The U.S. Securities and Exchange Commission's recently adopted amendments lowering the tick sizes for stock trading and reducing access fee caps will benefit investors and necessitate broad systems changes — if they can first survive judicial challenges, say attorneys at Sidley.
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How Cos. Can Build A Strong In-House Pro Bono Program
During this year’s pro bono celebration week, companies should consider some key pointers to grow and maintain a vibrant in-house program for attorneys to provide free legal services for the public good, says Mary Benton at Alston & Bird.
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Series
Home Canning Makes Me A Better Lawyer
Making my own pickles and jams requires seeing a process through from start to finish, as does representing clients from the start of a dispute at the Patent Trial and Appeal Board through any appeals to the Federal Circuit, says attorney Kevin McNish.
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Opinion
FDIC's Foray Into Index Fund Rules Risks Regulatory Chaos
A proposed Federal Deposit Insurance Corp. rule concerning control over passive index fund investments in banks is outside the agency's remit, clashes with an existing Federal Reserve process and would inhibit competition in the index fund sector, says J.W. Verret at George Mason University.
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Use The Right Kind Of Feedback To Help Gen Z Attorneys
Generation Z associates bring unique perspectives and expectations to the workplace, so it’s imperative that supervising attorneys adapt their feedback approach in order to help young lawyers learn and grow — which is good for law firms, too, says Rachael Bosch at Fringe Professional Development.
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Opinion
Congress Can And Must Enact A Supreme Court Ethics Code
As public confidence in the U.S. Supreme Court dips to historic lows following reports raising conflict of interest concerns, Congress must exercise its constitutional power to enact a mandatory and enforceable code of ethics for the high court, says Muhammad Faridi, president of the New York City Bar Association.