News & Analysis as of

Investors Investment Fraud

Oberheiden P.C.

When Is a Trade Considered “Unauthorized”?

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Allegations of unauthorized trading claims present significant risks for investment brokers and brokerage firms. In addition to investor arbitration with the Financial Industry Regulatory Authority (FINRA), brokers and...more

ArentFox Schiff

Investigations Newsletter: Elizabeth Holmes Sentenced to 11 Years in Prison 

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Elizabeth Holmes Sentenced to 11 Years in Prison - On November 18, 2022, former Theranos CEO, Elizabeth Holmes, was sentenced to 11 years and three months in prison for defrauding investors regarding Theranos’ blood...more

McGuireWoods LLP

Court Holds U.S. Wire Fraud Statute Reaches Foreign Defendant’s Conduct

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The federal wire fraud statute has a far-reaching scope, allowing prosecutors to go after conduct as varied as investor fraud to college admissions scandals. In late June, the Fourth Circuit U.S. Court of Appeals arguably...more

Hendershot Cowart P.C.

Defrauded Out of an Investment?

Hendershot Cowart P.C. on

Unscrupulous actors may make misleading statements, use deceptive behavior, or produce falsified statements or documents to induce you to invest in what you are led to believe is a legitimate business opportunity – from real...more

Goodwin

Delaware Federal Court Dismisses Shareholder Derivative Suit Concerning Lack of Board Diversity

Goodwin on

Delaware Federal Court Dismisses Shareholder Derivative Suit Concerning Lack of Board Diversity; California Federal Court Dismisses Shareholder Class Action Against Sorrento Therapeutics Regarding COVID-19 Treatment; Delaware...more

Proskauer - Whistleblower Defense

SDNY: Confidentiality Agreement Impeded Investors from Whistleblowing

On November 17, 2021, the U.S. District Court for the Southern District of New York held that a company and its CEO violated Rule 21F-17 of the Exchange Act by entering into confidentiality agreements with investors that...more

Tarter Krinsky & Drogin LLP

Law Brief®: The Theranos Trial

On the latest Law Brief® episode, Co-Heads of the White Collar Practice Group, Michael Grudberg and Robert Heim, join Host, Richard Schoenstein to discuss the on-going trial of Elizabeth Holmes concerning her now-defunct...more

Foster Garvey PC

With Cryptocurrencies and NFTs Continuing to Boom, Financial Regulators Are Clamping Down

Foster Garvey PC on

- With crypto investment frauds on the rise, the U.S. Securities and Exchange Commission sent a warning to investors and published an investor alert listing out possible signs of a scam. Along similar lines, a Bloomberg...more

Rumberger | Kirk

Legally Qualified: Protecting Against Elder Investment Fraud and Exploitation

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How can we protect seniors who may be vulnerable to financial abuse or scams? RumbergerKirk's latest Legally Qualified podcast answers this question and more. RumbergerKirk attorneys Pete Tepley and Rebecca Beers talk with...more

Faegre Drinker Biddle & Reath LLP

What’s New, and Comings & Goings at the SEC

What’s New, and Comings & Goings at the SEC - What’s New: The SEC’s Office of Compliance Inspections and Examinations (“OCIE”) recently issued a Risk Alert titled “Select COVID-19 Compliance Risks and Considerations for...more

Akin Gump Strauss Hauer & Feld LLP

SEC Risk Alert Highlights on COVID-19-Related Compliance Risks and Considerations for Investment Advisers and Broker-Dealers

- The OCIE of the SEC highlights that responses to COVID-19 present important regulatory and compliance issues for SEC registrants, including “heightened risks of misconduct” tied to recent market volatility. - The Risk...more

King & Spalding

SEC Examiners Warn of COVID-Related Compliance Risks for Broker-Dealers and Investment Advisers

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The Securities and Exchange Commission (“SEC”) last week published its observations from the first five months operating the SEC’s national examination program during the ongoing COVID-19 pandemic. This is the latest...more

Faegre Drinker Biddle & Reath LLP

The SEC Lays Down a Bet in a Nevada Court

The college football bowl season is upon us, NFL teams are jockeying for playoff seeding, and with the college basketball season underway fans of that game are looking longingly towards March for how their brackets may look...more

Foley Hoag LLP - White Collar Law &...

SEC Continues to Seek Disgorgement Despite a Looming Supreme Court Case that Could Invalidate the Practice

On November 6, the U.S. Securities and Exchange Commission filed a civil complaint, captioned SEC v. Pierre, against a New York investment advisor for allegedly operating a multimillion-dollar Ponzi scheme. The SEC alleges...more

Jones Day

SEC Brings First Enforcement Action Related to Initial Coin Offerings

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The Situation: Promoters of two recent initial coin offerings face charges of investor fraud brought by the SEC, after allegedly misrepresenting the assets purportedly backing the offerings, exaggerating the amount of funds...more

Perkins Coie

SEC and U.S. Attorney’s Office Bring Action Against Promoter of Bitcoin Store, Inc.

Perkins Coie on

On June 30, 2017, the SEC and the U.S. Attorney brought parallel civil and criminal fraud charges against Renwick Haddow, the owner of an unregistered broker-dealer entity named InCrowd Equity Inc., and two corporate entities...more

A&O Shearman

Five Charged by UK Regulator for Alleged Investment Fraud

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Following investigation by the Financial Conduct Authority, five persons appeared in a UK court charged with conspiracy to defraud, together with offences under the Financial Services and Markets Act 2000 and the Fraud Act...more

Cozen O'Connor

No Closure Yet on the Issue of Aggregation of Claims Against Solicitors

Cozen O'Connor on

The Court of Appeal in AIG Europe Ltd v OC320301 LLP (formerly The International Law Partnership LLP) has ordered a retrial of the question of whether actions brought by 214 investors in two failed holiday property schemes in...more

Carlton Fields

Eighth Circuit Holds Nj Law Tolls Arbitration Against Broker

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The Eighth Circuit Court of Appeals recently held that New Jersey state law fraud claims against Morgan Keegan, the brokerage firm now part of Raymond James & Associates, were tolled by the plaintiffs’ efforts to collect an...more

BakerHostetler

Consumer Financial Protection Bureau Files Suit Against Company and Individuals Who Allegedly Ran Pension Loan Scam

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On August 20, 2015, the Consumer Financial Protection Bureau (“CFPB”) and the New York superintendent of financial services jointly sued Pension Funding, LLC; Pension Income, LLC; and individuals Steven Covey, Edwin Lichtig,...more

Lowndes

SEC Issues Investor Alerts

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Have you, a family member, a client or a friend ever been approached to make an investment where you were not sure if the person soliciting you to invest was trustworthy? If so, you are not alone. In fact, in response to...more

Burr & Forman

FINRA Issues Guidance on Avoiding Investment Scams

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The Financial Industry Regulatory Authority (“FINRA”) recently issued an Investor Alert (the “Alert”) to warn investors about the most prevalent types of investment fraud and provide guidance on how to avoid being defrauded....more

Dickinson Wright

Better Late Than Early - What Is “Just, Convenient And Equitable” Among Innocent Investors In Fraudulent Investment Schemes

Dickinson Wright on

Overview - Defrauded investors in an investment scheme rarely recover all of the funds that they have invested, and the question of the amount to which each investor is entitled is complicated when the investments are...more

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