Securities

  • October 28, 2024

    Ex-Atty Charged With $9.2M Commodities Ponzi Scheme

    Federal prosecutors have charged a former New Orleans-based attorney with operating a Ponzi scheme, saying he promised dozens of individuals that he would invest their $9.2 million in low-risk commodities when he was really using the funds to gamble and to pay off personal expenses.

  • October 28, 2024

    Investment Firm's Head Indicted For Alleged Ponzi Scheme

    Federal prosecutors have unsealed an indictment accusing a Utah man of carrying out a Ponzi scheme to embezzle millions of dollars from private investors who believed they were contributing to restaurant ventures.

  • October 28, 2024

    Fidelity Investments Sued Over Money Market Fund's Fees

    Fidelity Investments has been hit with a class action suit in New York federal court alleging it charged high fees, mismanaged the administration of one of its money market funds, and failed to act in the best interests of the fund's shareholders. 

  • October 28, 2024

    $4M Settlement Over NBA-Themed NFTs Gets Final OK

    A New York federal judge on Monday granted final approval to a $4 million settlement between the firm behind NBA-focused non-fungible tokens and a class of purchasers who accused the digital assets company of selling the tokens as unregistered securities, and awarded roughly a third of the settlement fund in attorney fees.

  • October 28, 2024

    Moderna Brass Hit With Investor Suit Over RSV Shot Claims

    Officers and directors of Moderna face shareholder derivative allegations that they overstated how effective the company's RSV vaccine candidate was as the pharmaceutical giant sought regulatory permission to expedite its development.

  • October 28, 2024

    Boeing Moves Ahead With $19B Share Sale Amid Cash Crunch

    Boeing launched plans Monday to sell common and preferred stock estimated to raise nearly $19 billion, potentially easing the aviation giant's cash crush amid a prolonged strike and production setbacks, represented by Kirkland & Ellis LLP and underwriters' counsel Davis Polk & Wardwell LLP.

  • October 28, 2024

    Metals Co. Owner Convicted Of Tax Fraud In $58M Theft Case

    A Delaware federal jury convicted the owner of a gold and silver depository of tax fraud and other crimes tied to the government's accusations that he stole $58 million in precious metals from his customers, according to court filings.

  • October 28, 2024

    Labor Dept.'s Proposed ESOP Rule Moves Toward Release

    The White House Office of Management and Budget is reviewing the U.S. Department of Labor's proposal for a rule related to how employee stock ownership valuations are conducted, the last step before the long-awaited proposed regulation is released to the public for comment.

  • October 28, 2024

    Ozy Media CEO Wants Conviction Nixed Over Judge's Assets

    The New York federal judge who presided over the fraud and identity theft trial of former Ozy Media CEO Carlos Watson should be disqualified from the case because he failed to disclose that he had investments in four of the companies victimized by Watson, according to the onetime executive, who is trying to get his conviction overturned.

  • October 28, 2024

    Report Says To Allow Bulk Of Software Investor Suit

    A U.S. magistrate judge has recommended against dismissing the bulk of an investor's suit alleging Decentral Life Inc. and a group of its licensees, including a cannabis social media site, misled him into investing more than $1.7 million by boasting bogus user counts.

  • October 28, 2024

    Cleary Adds Northern Calif. Deputy Criminal Chief As Partner

    The deputy chief of the criminal division of the U.S. Attorney's Office for the Northern District of California has joined Cleary Gottlieb Steen & Hamilton LLP's Bay Area office as a partner in the Americas litigation practice, the firm said Monday.

  • October 25, 2024

    Alibaba Agrees To $433.5M Deal In Nearly 4-Year Investor Suit

    Alibaba Group has agreed to shell out $433.5 million to resolve a proposed class of investors' allegations it made misstatements about its exclusivity practices and the planned $34 billion initial public offering of a fintech affiliate, the Chinese e-commerce company said in a U.S. Securities and Exchange Commission filing on Friday.

  • October 25, 2024

    Crypto Rapidly Transforming IRS Criminal Cases, Agent Says

    Cryptocurrency is altering the size of many criminal cases that federal law enforcement agencies are handling, an Internal Revenue Service criminal investigator told the UCLA Tax Controversy Conference, commenting that over the past three years the agency broke its record for asset seizures three times.

  • October 25, 2024

    Sports Co. Says SEC's $4M Damages Bid Spells Disaster

    A multimillion-dollar securities fraud judgment against two companies linked to a virtual sports trading platform would be disastrous for the already-struggling organizations, their attorney argued before a D.C. federal judge Friday.

  • October 25, 2024

    SEC Wants PE Firm's 'Fishing Expedition' Claims Paused

    The U.S. Securities and Exchange Commission has asked a Texas federal judge to pause a real estate-focused private equity fund's suit alleging that the regulator subjected it to an unconstitutional "fishing expedition" outside its regulatory purview.

  • October 25, 2024

    FTX Reaches $228M Deal With Crypto Co. Bybit

    The FTX bankruptcy estate reached a deal worth about $228 million to resolve its lawsuit against cryptocurrency exchange Bybit and the firm's investment arm, Mirana Corp., that alleged they unfairly jumped the line to withdraw funds during FTX's meltdown in late 2022 and held the estate's own funds hostage.

  • October 25, 2024

    SEC's Crypto Mining Case Belongs In 10th Circ., Court Hears

    A Utah man accused of defrauding crypto mining investors out of $18 million is hoping for an opportunity to have his case heard before the Tenth Circuit, arguing that the mining equipment is not a security and that the U.S. Securities and Exchange Commission should be forced to drop the suit.

  • October 25, 2024

    Dental Exec Flees Ahead Of Possible 7-Year Fraud Sentence

    An arrest warrant was issued Friday for the former CEO of a dental device company who pled guilty to defrauding investors out of $10.7 million after he did not show up for his sentencing hearing, where Washington federal prosecutors were asking for seven years in prison.

  • October 25, 2024

    Va. Man Gets 7½ Years For $15M Gov't Contract Investor Scam

    A Virginia man was sentenced Friday to over seven years in prison for defrauding dozens of investors out of $15 million by misleading them into believing that his company had millions of dollars in contracts with federal and state government agencies.

  • October 25, 2024

    Judge Won't Rethink $750K For P&G Worker's Ex-Girlfriend

    A Pennsylvania judge won't reconsider her decision to let the estranged ex-girlfriend of a deceased Procter & Gamble employee claim more than $754,000 he had in an investment account, ruling that the employee's estate hadn't cited any new evidence or changes in law to overcome the beneficiary form he'd left untouched since the late 1980s.

  • October 25, 2024

    9th Circ. Dubious Of Tesla Investors' Appeal Of $12B Trial Loss

    Ninth Circuit judges appeared skeptical Friday of Tesla investors' argument that an erroneous trial instruction improperly led a jury to reject their $12 billion claim over Elon Musk's 2018 tweets that he had "funding secured" to take the electric car giant private.

  • October 25, 2024

    Hawkins Delafield Career Atty Moves To Nixon Peabody In SF

    Nixon Peabody LLP hired a Hawkins Delafield & Wood LLP partner who has spent his entire legal career with that firm working on public finance tax matters and a range of other tax-related matters, the firm has announced.

  • October 25, 2024

    Judge Chides Bid To Swap Credit Suisse Suit's Lead Plaintiff

    A New York federal judge has rejected an investor's bid to supersede the current lead plaintiff in a securities fraud suit over Credit Suisse's 2023 collapse, saying the petitioning investor had "jumped at the opportunity to sell out his fellow class members" with the replacement motion and criticizing his lawyer too.

  • October 25, 2024

    MVP: Robbins Geller's Shawn Williams And Mark Solomon

    Shawn Williams and Mark Solomon, managing partners at Robbins Geller Rudman & Dowd LLP, represented a British pension fund in a shareholder lawsuit against one of the deepest-pocketed companies in the world, Apple Inc. After years of litigation, Apple agreed in March to settle the case for $490 million, an outcome that landed both Solomon and Williams on the list of the 2024 Law360 Securities MVPs.

  • October 24, 2024

    Truth Social SPAC Founder Wants $1M Award For Payout Suit

    The investment sponsor of the special purpose acquisition company, or SPAC, that took former President Donald Trump's Truth Social media company public has asked for a $1 million fee award for driving the Delaware Chancery Court litigation over the Trump camp's attempts to slash a SPAC deal stock conversion ratio that would have cost some preferred investors millions.

Expert Analysis

  • Carbon Offset Case A Win For CFTC Enviro Fraud Task Force

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    An Illinois federal court's decision in Commodity Futures Trading Commission v. Ikkurty — earning the CFTC a sizeable monetary award that will likely incentivize similar enforcement pursuit — shows the impact of the commission's Environmental Fraud Task Force, say attorneys at Steptoe.

  • RealPage Suit Shows Growing Algorithm, AI Pricing Scrutiny

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    The U.S. Department of Justice's suit against RealPage for helping fix rental rates, filed last week, demonstrates how the use of algorithmic and artificial intelligence tools to assist with pricing decisions is drawing increasing scrutiny and action across government agencies, and specifically at the Federal Trade Commission and the DOJ, say Andre Geverola and Leah Harrell at Arnold & Porter.

  • Whistleblowers Must Note 5 Key Differences Of DOJ Program

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    The U.S. Department of Justice’s recently unveiled whistleblower awards program diverges in key ways from similar programs at other agencies, and individuals must weigh these differences and look first to programs with stronger, proven protections before blowing the whistle, say Stephen Kohn and Geoff Schweller at Kohn Kohn.

  • What NFL Draft Picks Have In Common With Lateral Law Hires

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    Nearly half of law firm lateral hires leave within a few years — a failure rate that is strikingly similar to the performance of NFL quarterbacks drafted in the first round — in part because evaluators focus too heavily on quantifiable metrics and not enough on a prospect's character traits, says Howard Rosenberg at Baretz+Brunelle.

  • Foreign Threat Actors Pose Novel Risks To US Tech Cos.

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    A recent bulletin jointly issued by several U.S. intelligence agencies warns technology startups and the venture capital community about national security risks posed by foreign threat actors, so companies interested in raising foreign capital should watch for several red flags, say Robert Friedman and Jacob Marco at Holland & Knight.

  • Open Questions 3 Years After 2nd Circ.'s Fugitive Ruling

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    The Second Circuit’s 2021 decision in U.S. v. Bescond, holding that a French resident indicted abroad did not meet the legal definition of a fugitive, deepened a circuit split on the fugitive disentitlement doctrine, and courts continue to grapple with the doctrine’s reach and applicability, say attorneys at Lankler Siffert.

  • Replacing The Stigma Of Menopause With Law Firm Support

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    A large proportion of the workforce is forced to pull the brakes on their career aspirations because of the taboo surrounding menopause and a lack of consistent support, but law firms can initiate the cultural shift needed by formulating thoughtful workplace policies, says Barbara Hamilton-Bruce at Simmons & Simmons.

  • Class Actions At The Circuit Courts: August Lessons

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    In this month's review of class action appeals, Mitchell Engel at Shook Hardy considers certification cases touching on classwide evidence of injury from debt collection practices, defining coupon settlements under the Class Action Fairness Act, proper approaches for evaluating attorney fee awards in class action settlements, and more.

  • Crypto Regs Could See A Reset Under The Next President

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    Donald Trump has taken a permissive policy stance favoring crypto, while Kamala Harris has been silent on the issue, but no matter who wins the presidential election, we may see a more lenient regulatory climate toward the digital currency than from the Biden administration, says Liam Murphy at McKool Smith.

  • Planning Law Firm Content Calendars: What, When, Where

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    During the slower month of August, law firms should begin working on their 2025 content calendars, planning out a content creation and distribution framework that aligns with the firm’s objectives and maintains audience engagement throughout the year, says Jessica Kaplan at Legally Penned.

  • Key Concerns To Confront In FDIC Brokered Deposit Proposal

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    Banks and fintech companies should note several fundamental issues with the Federal Deposit Insurance Corp.'s recent proposal to widen how it classifies brokered deposits, an attempt to limit prudential risk that could expose the industry and underbanked consumers who rely on bank-fintech apps to widespread unintended consequences, say attorneys at Gibson Dunn.

  • Crypto Gatekeepers May Be The Next Front Of Enforcement

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    Lawyers and other professionals who advise cryptocurrency companies should beware regulators' increasing focus on gatekeeper accountability, and should take several measures to fulfill their ethical and legal obligations, including implementing a robust vetting mechanism when representing crypto clients, say Temidayo Aganga-Williams and Xinchen Li at Selendy Gay.

  • Series

    Playing Golf Makes Me A Better Lawyer

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    Golf can positively affect your personal and professional life well beyond the final putt, and it’s helped enrich my legal practice by improving my ability to build lasting relationships, study and apply the rules, face adversity with grace, and maintain my mental and physical well-being, says Adam Kelly at Venable.

  • Law Firms Should Move From Reactive To Proactive Marketing

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    Most law firm marketing and business development teams operate in silos, leading to an ad hoc, reactive approach, but shifting to a culture of proactive planning — beginning with comprehensive campaigns — can help firms effectively execute their broader business strategy, says Paul Manuele at PR Manuele Consulting.

  • 3 Ways To Limit Risks Of Black-Box AI In Financial Services

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    As regulators increasingly highlight the potential for artificial intelligence to make unfair consumer credit decisions, and require financial institutions to explain how these so-called black-box algorithms arrive at conclusions, companies should consider three key questions to reduce their regulatory risks from these tools, say Jeffrey Naimon and Caroline Stapleton at Orrick.

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