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White Collar
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April 22, 2025
Ga. Woman Gets 12 Years In $156M FEMA Fraud Case
A Georgia woman convicted of defrauding the Federal Emergency Management Agency in a case involving nearly $156 million in fraudulent contracts related to Hurricane Maria relief has been sentenced to 12 years in prison.
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April 22, 2025
FTX Ch. 11 Trust Says Ex-Exec's Wife Spent $600K Since Dec.
The FTX Recovery Trust urged a Delaware bankruptcy judge to enjoin the wife of former FTX executive Ryan Salame from spending additional money that the trust said was fraudulently taken from the company before its bankruptcy filing, saying Michelle Bond has spent more than $600,000 since mid-December on legal fees, luxury vacations and credit card bills.
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April 22, 2025
4th Circ. Rejects Full Court Review Of Credit Union's Liability
The Fourth Circuit has declined to take a second look at a panel decision finding a credit union cannot be held liable for a scammer's use of its services to swindle a metal fabricator out of $560,000.
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April 22, 2025
Real Estate Investor Cops To $19M Loan Fraud
A Massachusetts real estate investor pled guilty Tuesday to defrauding multiple lenders of more than $19 million by submitting forged leases and rent rolls in support of $60 million worth of loan applications, federal prosecutors said.
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April 22, 2025
Santos, Attys Say Social Media Posts Don't Negate Remorse
George Santos and his attorneys wrote to a Brooklyn federal judge saying the former Congressman's posts on social media claiming to be a victim of government persecution don't negate the remorse he feels for stealing from campaign donors and inflating fundraising numbers.
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April 22, 2025
Jay Clayton Sworn In As Interim US Atty For SDNY
Jay Clayton, President Donald Trump's pick to lead the U.S. Attorney's Office for the Southern District of New York, was sworn in Tuesday as the top federal prosecutor in Manhattan on an interim basis while he awaits confirmation from the Senate.
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April 22, 2025
Chase Bank Can't Ditch Claims It Aided $119M Ponzi Scam
A California federal judge trimmed on Monday SiliconSage Builders LLC receiver's lawsuit accusing JPMorgan Chase of allegedly helping the now-defunct real estate developer carry out a massive $119 million Ponzi scheme, tossing an unjust enrichment claim, but allowing the bulk of the aiding-and-abetting allegations to survive.
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April 22, 2025
NJ AG Pushes To Revive RICO Case Against Power Broker
New Jersey urged a state appellate court to revive its sprawling racketeering indictment against Garden State power broker George E. Norcross III, politically connected attorneys and others, arguing that the trial court undertook a review that doesn't exist in criminal practice.
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April 22, 2025
Pharma Co. Owner Cops To Selling $60M Of Sham HIV Drugs
An owner of a pharmaceutical company has pled guilty in Florida to participating in a $60 million nationwide scheme to illegally distribute misbranded and adulterated HIV drugs to patients.
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April 22, 2025
Hemp Group Drops DEA From Suit Over Police Raid, Arrest
A hemp trade group and the owner of a smoke shop are dropping claims against the U.S. government and U.S. Drug Enforcement Administration from a suit alleging law enforcement wrongfully raided the shop.
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April 21, 2025
Mexican Banks Escalate Discovery Fight With Sanctions Bid
A Mexican bank and its affiliates have asked a Texas federal judge to sanction a businessman and his attorneys in a fraud case, saying they have deliberately obstructed court-ordered discovery in litigation accusing him of diverting and concealing corporate assets.
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April 21, 2025
Binance Crypto Suit Sent To Florida To Avoid Duplication
A Washington federal judge on Monday transferred to Florida a proposed class action over Binance's alleged role in laundering stolen cryptocurrency, finding that the case heavily overlapped with a lawsuit filed earlier in the Sunshine State that was sent to arbitration.
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April 21, 2025
NJ Investment Firm Accused Of Aiding Alleged $300M Ponzi
A New Jersey investment adviser has been hit with a proposed class action claiming the company helped recruit marks for what the U.S. Securities and Exchange Commission has called a $300 million Ponzi scheme, making it at least the second company to be sued for its alleged connections to the fraud operation.
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April 21, 2025
Trump Media Exec Seeks Penalties In 'Frivolous' Hacking Suit
A board director for President Donald Trump's social media company and his associate urged a Florida federal court to impose sanctions in a "frivolous" lawsuit alleging they hacked a cloud server to steal documents used to oust the former CEO, saying their accusers can't show what information was allegedly taken.
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April 21, 2025
'Corrupt' Ill. Sen. Took Bribes, Jury Told As Trial Wraps
An Illinois state senator accused of agreeing to take personal benefits in exchange for helping a red-light camera company should be convicted of bribery because it's clear he illegally put his political position up for sale in 2019, prosecutors told a federal jury on Monday.
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April 21, 2025
Asset Manager Admits Stealing $3M From Real Estate Cos.
A Connecticut asset manager who helped clients buy and manage real estate portfolios has pled guilty to stealing nearly $3 million from entities in five states to fund his day trading endeavors, federal prosecutors announced Monday.
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April 21, 2025
Sun Pharma Accuses Drugstores Of $10M Refund Scheme
Sun Pharmaceutical Industries Inc. told a New Jersey federal court that a group of pharmacies and their operators engaged in a criminal, years-long racketeering scheme that resulted in it paying more than $10 million in refunds for short-dated pharmaceutical products.
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April 21, 2025
Imprisoned Ex-Pharma Exec Must Pay SEC $1.8M
The former leader of a pharmaceutical company currently serving a 20-month sentence for using a fake name to get around a U.S. Securities and Exchange Commission ban has been ordered to cough up $1.8 million within 90 days of his release or be ready to explain why he cannot.
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April 21, 2025
DOJ Defends Wage-Fixing Jury Win From Mistrial Bid
The U.S. Department of Justice is defending a key wage-fixing and fraud conviction of a Nevada nursing executive, hitting back at the executive's claims that it used privileged documents and communications to sway the jury during the three-week trial.
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April 21, 2025
Pa. Judge Facing Fraud Charges Gets Filing Delay
A Pennsylvania county judge indicted on charges that he misused unemployment relief funds to pay his law firm's employees during the pandemic succeeded Monday in having filing deadlines in his prosecution pushed back for more time to review discovery.
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April 21, 2025
Former Ohio Atty Gets Prison Over Unpaid Payroll Taxes
A former Ohio attorney who admitted that he failed to pay $750,000 in payroll taxes while managing his wife's dental practice has been sentenced to six months in prison after telling a federal judge that he did not intend to steal from the government, according to an order signed Monday.
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April 21, 2025
Advocacy Group Sues DOJ For Docs On Acting DC US Atty
Advocacy group Democracy Forward sued the U.S. Department of Justice on Monday seeking information about Ed Martin, the acting top federal prosecutor in D.C., whose nomination to fill the role permanently is facing pushback in Congress.
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April 21, 2025
Wife Of Ex-Sen. Menendez Convicted On Corruption Charges
A Manhattan federal jury on Monday found Nadine Menendez guilty of aiding in her husband Bob Menendez's corruption by facilitating bribe payments, including a Mercedes-Benz and gold bars, from New Jersey businessmen to the convicted former U.S. senator.
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April 21, 2025
Justices Sympathetic To Inmate Who 'Messed Up' Appeal
The U.S. Supreme Court on Monday seemed dubious of a Fourth Circuit ruling refusing an inmate's appeal on procedural timing grounds, as the justices weighed a case that will likely disproportionately affect pro se litigants.
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April 21, 2025
Eateries Owner Gets 3 Years For Tax, COVID Fraud
A restaurant owner who committed tax crimes and illegally collected more than $1.7 million in pandemic relief money was sentenced to more than three years in prison by a California federal judge, a fraction of the sentence urged by prosecutors who pointed to millions in cash hidden in his bedroom.
Expert Analysis
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Series
Law School's Missed Lessons: Be An Indispensable Associate
While law school teaches you to research, write and think critically, it often overlooks the professional skills you will need to make yourself an essential team player when transitioning from a summer to full-time associate, say attorneys at Stinson.
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NWSL's $5M Player Abuse Deal Shifts Standard For Employers
The National Women's Soccer League's recent $5 million settlement addressing players' abuse allegations sends a powerful message to leagues, entertainment entities and employers everywhere that employee safety, accountability and transparency are no longer optional, say attorneys at Michelman & Robinson.
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What 2nd Trump Admin Means For Ship Pollution Compliance
As the second Trump administration's civil and criminal enforcement policies take shape, the maritime industry must ensure it complies with both national and international obligations to prevent oil pollution from seagoing vessels — with preventive efforts and voluntary disclosures being some of the best options for mitigating risk, say attorneys at Holland & Knight.
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Series
Birding Makes Me A Better Lawyer
Observing and documenting birds in their natural habitats fosters patience, sharpens observational skills and provides moments of pure wonder — qualities that foster personal growth and enrich my legal career, says Allison Raley at Arnall Golden.
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What Pending FCPA Trials Suggest About DOJ Priorities
Following President Donald Trump's executive order in February instructing the U.S. Department of Justice to temporarily pause enforcement of the Foreign Corrupt Practices Act, developments surrounding five FCPA cases already set for trial provide a glimpse into how the DOJ is attempting to navigate the situation at hand, say attorneys at Covington.
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Series
Calif. Banking Brief: All The Notable Legal Updates In Q1
Among the most notable developments in California banking in the first quarter of the year, regulators and legislators issued regulations interpreting debt collection laws, stepped up enforcement actions, and expanded consumer protections for those affected by wildfires, says Stephen Britt at Severson & Werson.
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Series
Adapting To Private Practice: From DOJ Leadership To BigLaw
The move from government service to private practice can feel like changing one’s identity, but as someone who has left the U.S. Department of Justice twice, I’ve learned that a successful transition requires patience, effort and the realization that the rewards of practicing law don’t come from one particular position, says Richard Donoghue at Pillsbury.
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In-House Expert Testimony Is Tricky, But Worth Considering
Litigation counsel often reject the notion of designating in-house personnel to provide expert opinion testimony at trial, but dismissing them outright can result in a significant missed opportunity, say David Ben-Meir at Ben-Meir Law and Martin Pitha at Lillis Pitha.
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Tracking Changes To AI Evidence Under Federal Rules
As the first quarter of 2025 draws to a close, important changes to the Federal Rules of Evidence regarding the use of artificial intelligence in the courtroom are on the horizon, including how to handle evidence that is a product of machine learning, say attorneys at Debevoise.
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Nev. Fraud Ruling Raises Stakes For Proxy Battles
Though a Nevada federal court’s recent U.S. v. Boruchowitz decision involved unusual facts, the court's ruling that board members can be defrauded of their seat through misrepresentations increases fraud risks in more typical circumstances involving board elections, especially proxy fights, say attorneys at ArentFox Schiff.
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Law Firm Executive Orders Create A Legal Ethics Minefield
Recent executive orders targeting BigLaw firms create ethical dilemmas — and raise the specter of civil or criminal liability — for the government attorneys tasked with implementing them and for the law firms that choose to make agreements with the administration, say attorneys at Buchalter.
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Firms Must Embrace Alternative Billing Models Or Fall Behind
As artificial intelligence tools eliminate inefficiencies and the Big Four accounting firms enter the legal market, law firms that pivot from the entrenched billable hour model to outcomes-based pricing will see a distinct competitive advantage, says attorney William Brewer.
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Opinion
7 Ways CFTC Should Nix Unnecessary Regulatory Burdens
Several U.S. Commodity Futures Trading Commission regulations do not work efficiently in practice, all of which can be abolished or improved in order to comply with a recent executive order requiring the elimination of 10 regulations for every new one implemented, say attorneys at K&L Gates.
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Risks Of Today's Proffer Agreements May Outweigh Benefits
Modern-day proffer agreements offer fewer protections to individuals as U.S. attorney's offices take different approaches to information-sharing, so counsel must consider pushing for provisions in such agreements that bar the prosecuting office from sharing information with nonparty government agencies, say attorneys at Lankler Siffert & Wohl.
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SDNY Sentencing Ruling Is Boon For White Collar Defendants
Defense attorneys should consider how to maximize the impact of a New York federal court’s recent groundbreaking ruling in U.S. v. Tavberidze, which held that a sentencing guidelines provision unconstitutionally penalizes the right to a jury trial, says Sarah Sulkowski at Gelber & Santillo.