Securities

  • November 19, 2024

    Shaq Reaches $11M Deal With Astrals NFT Buyers

    Hall of Fame basketball player Shaquille O'Neal and the creators of the Astrals nonfungible token project have agreed to pay $11 million to settle a proposed securities class action with buyers of the tokens that O'Neal allegedly promoted.

  • November 19, 2024

    Cravath-Led Robinhood To Acquire TradePMR In $300M Deal

    Stock trading app Robinhood Markets Inc., advised by Cravath Swaine & Moore LLP, on Tuesday announced plans to buy registered investment adviser-focused custodial and portfolio management platform TradePMR, led by Stradley Ronon Stevens & Young LLP, in a cash-and-stock deal valued at $300 million.

  • November 19, 2024

    Undefined Terms Cinch Cloudera's Win In 'Cloudy' Fraud Suit

    The Ninth Circuit on Tuesday upheld the dismissal of a proposed class action against Cloudera Inc. alleging the data management and analytics company duped investors into buying stock at artificially inflated prices, saying the suit didn't substantiate its falsity claims with clear definitions for terms like "cloud native."

  • November 19, 2024

    Cuban Bank Can't Block Fund's €72M Debt Claim

    Cuba's former central bank can't block an offshore fund from suing it for over €72 million ($76.2 million) of unpaid sovereign debt because the lender authorized the assignment of the debt to the fund, a London appeals court ruled Tuesday.

  • November 19, 2024

    FDIC's Gruenberg To Exit On Eve Of Trump's Inauguration

    The Federal Deposit Insurance Corp.'s embattled chairman, Martin Gruenberg, said Tuesday that he will step down and retire from the agency before President-elect Donald Trump takes office, clearing the way for a new, likely Republican leader at the deposit insurer.

  • November 18, 2024

    SEC Says Bogus Heir Of Nigerian Billionaire Ran IPO Scheme

    A Queens, New York, man who copped to wire fraud for scamming investors by posing as scion of an ultra-wealthy Nigerian industrialist faces U.S. Securities and Exchange Commission claims over the same alleged misconduct.

  • November 18, 2024

    SEC Says Calif. Atty, His Wife Stole $2.2M To Buy House

    The U.S. Securities and Exchange Commission on Monday accused a Los Angeles-area attorney of scheming to control publicly traded penny stock companies and then stealing $2.2 million from one of those companies to buy a home with his wife, according to a complaint filed in California federal court.

  • November 18, 2024

    Target Downs Investor Suit Over Inventory Glut For Good

    A Minnesota federal judge has tossed for good a proposed class action alleging Target Corp. and its top executives misled shareholders by hiding that the big-box retailer had "abandoned its customer-focused purchasing strategy" in favor of "indiscriminately buying large quantities of inventory" that consumers did not want.

  • November 18, 2024

    Judge Won't Release Kraken To Appeal Order In SEC Suit

    A California federal judge on Monday refused to let the operator of the cryptocurrency exchange Kraken make an immediate appeal of his order denying its motion to dismiss a suit brought by the U.S. Securities and Exchange Commission, saying it would only delay resolution of the case.

  • November 18, 2024

    Justices Urged To Pass On 3rd Circ. CFPB Loan Trust Case

    The Consumer Financial Protection Bureau has asked the U.S. Supreme Court to deny an appeal by a group of student loan trusts fighting an enforcement action by the agency, arguing that industry concerns about the Third Circuit case are overblown and unavailing.

  • November 18, 2024

    Ex-AutoZone CEO Must Face $1M 'Short-Swing' Profit Suit

    A Tennessee federal judge said a former AutoZone Inc. CEO must face an investor suit seeking to recover over $1 million in alleged "short-swing" trading profits on behalf of the company, saying the shareholder has plausibly alleged that the ex-CEO's trades were not exempt from certain insider trading rules.

  • November 18, 2024

    Industry Group Wants Trump-Era SEC Proxy Rules Reinstated

    The National Association of Manufacturers has urged the D.C. Circuit to reverse a ruling that struck down a U.S. Securities and Exchange Commission regulation on proxy voting, arguing the ruling severely limits the agency's regulatory power without any statutory backing.

  • November 18, 2024

    J&J Posts $1.17B Bond For Del. Merger Milestone Appeal

    Johnson & Johnson Inc. has posted a $1.167 billion surety-backed bond ahead of its planned appeal challenging a Delaware Chancery Court's finding that it owes more than $1 billion to a medical robotics developer's former shareholders caught up in a post-acquisition dispute.

  • November 18, 2024

    Ex-Crypto CEO Bribe Case Unsealed As Firm Inks $10M Deal 

    The former CEO of a cryptocurrency mining company tried to bribe Japanese government officials to be able to open a resort in the country, according to an indictment unsealed Monday alongside the company's $10 million deferred prosecution agreement.

  • November 18, 2024

    Hacker's Wife Gets 18 Months For Laundering Stolen Crypto

    The wife of a hacker who stole what is now billions of dollars' worth of bitcoin from the crypto exchange Bitfinex was sentenced in D.C. federal court Monday to 18 months in prison for her role in helping to launder the stolen funds.

  • November 18, 2024

    Mutual Fund Manager Owes SEC, CFTC $11M After Trial

    A Wisconsin federal judge has ordered the operator of a mutual fund to pay more than $11 million to the U.S. Securities and Exchange Commission and the Commodity Futures Trading Commission after being found liable by a jury of making untrue statements and breaching his fiduciary duty to investors.

  • November 18, 2024

    StraightPath Execs Must Face $386M IPO Fraud Charges

    A New York federal judge denied a bid Monday by three principals of Florida-based private equity firm StraightPath Venture Partners to dismiss an indictment accusing them of raising $386 million by defrauding over 2,000 investors through false promises about purchases of pre-IPO shares in private companies.

  • November 18, 2024

    SEC Sued Over FINRA's One-Day Bond Reporting Timeline

    The U.S. Securities and Exchange Commission has been hit with a lawsuit seeking to overturn a newly adopted rule that will require brokerage firms to report bond transactions more quickly, with the suing organization previously claiming there was no evidence justifying a need for such a change.

  • November 18, 2024

    Webtoon Brass Hit With Derivative Suit Over Post-IPO Plunge

    Executives and directors of online comics platform Webtoon Entertainment Inc. face a shareholder derivative claim alleging the company went public while concealing that it was seeing minimal growth.

  • November 18, 2024

    Chancery Consolidates 2 Musk, Derivative Damage Suits

    Delaware's chancellor on Monday combined two class suits that separately targeted Elon Musk's massive sales of Tesla Inc. stock and alleged diversions of Tesla talent to Musk's spun-off artificial intelligence venture, while ordering coordination with a suit seeking damages arising from alleged insider trading in late 2022.

  • November 18, 2024

    Operator Of Darknet Crypto Laundering Tool Gets 3 Years

    An Ohio man who had pled guilty to operating a darknet cryptocurrency tool used by drug dealers to launder millions of proceeds from darknet drug markets has been sentenced to three years in prison, the U.S. attorney for the District of Columbia announced.

  • November 18, 2024

    Former GE Exec Guilty Of Faking Docs In $1.1B Power Deal

    A Manhattan federal jury on Monday convicted a former GE Power executive of using forged documents, then taking a $5 million kickback, in what federal prosecutors called a corrupt effort to close a $1.1 billion energy deal in Angola.

  • November 18, 2024

    Ozy Media CEO Turns To 2nd Circ. Over Judge's Investments

    The "atypical" conflict and threat to public confidence in the judiciary created by a New York federal judge's financial investments warrant the Second Circuit stepping in to undo former Ozy Media CEO Carlos Watson's fraud and identity theft convictions sooner rather than later, Watson told the appellate court on Monday.

  • November 15, 2024

    Big Banks Still Need To Beef Up Controls, Fed Report Says

    The Federal Reserve said Friday that even as the banking system has remained "sound and resilient," large banks continue to grapple with governance and controls issues, while regional and small banks have seen increases in outstanding supervisory findings.

  • November 15, 2024

    Jordan Says DOJ, FTC, CFTC Teed Up Actions Ahead Of Trump

    House Judiciary Committee Chairman Jim Jordan, R-Ohio, lambasted three federal departments and their leaders, accusing them of either trying to push out enforcement actions or make last-minute hires during President Joe Biden's final days in office.

Expert Analysis

  • The Ups And Downs Of SEC's Now-Dissolved ESG Task Force

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    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.

  • Series

    Beekeeping Makes Me A Better Lawyer

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    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.

  • Opinion

    It's Time To Sound The Alarm About Lost Labor Rights

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    In the Fifth Circuit, recent rulings from judges appointed by former President Donald Trump have dismantled workers’ core labor rights, a troubling trend that we cannot risk extending under another Trump administration, say Sharon Block and Raj Nayak at the Center for Labor and a Just Economy.

  • SEC Fine Shows Risks Of Nonpublic Info In X, LinkedIn Posts

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    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.

  • Anticipating Jarkesy's Effect On Bank Agency Enforcement

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    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.

  • CFTC Anti-Fraud Blitz Is A Warning To Carbon Credit Sellers

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    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.

  • Unpacking State AG Approaches To Digital Asset Enforcement

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    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.

  • 3 Takeaways From Navy Shipbuilder's Fraud Guilty Plea

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    Austal USA’s recent plea agreement over accounting fraud charges highlights for other companies the benefits of cooperating with government investigations, the challenges posed by senior executives’ involvement in misconduct, and the high stakes for defense contractors, say Michael DeBernardis and Shayda Vance at Hughes Hubbard.

  • Opinion

    Legal Institutions Must Warn Against Phony Election Suits

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    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.

  • Peeling Back The Layers Of SEC's Equity Trading Reforms

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    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.

  • How Cos. Can Build A Strong In-House Pro Bono Program

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    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.

  • Bristol-Myers Win Offers Lessons For Debt Security Holders

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    A New York federal judge's recent dismissal of a $6.4 billion lawsuit against Bristol-Myers Squibb, due to plaintiff UMB Bank's lack of standing, serves as an important reminder to debt security holders to obtain depositary proxies before pursuing litigation, say attorneys at Milbank.

  • Series

    Home Canning Makes Me A Better Lawyer

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    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.

  • Avoiding Merger Disputes Via Careful LLC Agreement Drafting

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    The Delaware Court of Chancery recently upheld a merger in a dispute over the process of amending the target's limited liability company agreement, underscoring the importance of understanding the Delaware LLC Act default rules and careful drafting to allow for contractual modifications, says Jane Trueper at Lathrop.

  • How Project 2025 Could Upend Federal ESG Policies

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    If implemented, Project 2025, the Heritage Foundation's policy playbook for a Republican presidential administration, would likely seek to deploy antitrust law to target ESG initiatives, limit pension fund managers' focus to pecuniary factors and spell doom for the U.S. Securities and Exchange Commission's climate rule, say attorneys at Mintz.

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