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Securities Fraud Fraud

Morrison & Foerster LLP

Top 5 SEC Enforcement Developments for April 2025

Each month, we publish a roundup of the most important SEC enforcement developments for busy in-house lawyers and compliance professionals. For the month when Paul Atkins was sworn in as SEC Chairman, we examine: • The SEC’s...more

Ropes & Gray LLP

SEC Speaks 2025: Key Takeaways from Division of Enforcement Panels

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The SEC’s Division of Enforcement intends to remain a “cop on the beat,” and will refocus on traditional core enforcement areas, such as insider trading, accounting and disclosure fraud, market manipulation, and breaches of...more

DLA Piper

SEC Emphasizes Focus on “AI Washing” Despite Perceived Enforcement Slowdown

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The US Securities and Exchange Commission (SEC) recently highlighted its continued focus on artificial-intelligence-related misconduct as a key enforcement priority. Speaking on a series of panels at the Securities...more

DarrowEverett LLP

The DOJ’s New White-Collar Agenda: Implications for Businesses

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On May 12, 2025, the Department of Justice (the “DOJ”) released its criminal—and, more specifically, white collar crime enforcement—initiatives under the current administration. This is typical each time new leadership...more

BakerHostetler

A Refocused China Initiative: DOJ’s New White Collar Enforcement Strategy

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On May 12, 2025, Matthew Galeotti, Head of the Department of Justice’s (DOJ) Criminal Division, unveiled a comprehensive white collar enforcement strategy titled “Focus, Fairness, and Efficiency in the Fight Against...more

ArentFox Schiff

Investigations Newsletter: DOJ Announces Updated White-Collar Enforcement Priorities and Revised Policies

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DOJ Announces Updated White-Collar Enforcement Priorities and Revised Policies - Earlier this week, the Criminal Division of the US Department of Justice (DOJ) introduced a new white-collar enforcement plan, which sets...more

Seward & Kissel LLP

Watching the Watchers, Celebrity Status, and Harvester of Sorrow

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Weight Watchers files bankruptcy after growth in GLP-1 drugs | Bloomberg via Yahoo! Finance - Having rebranded as WW International in 2018 and acquired Sequence, a telehealth company, in 2023, the 62-year-old health and...more

StoneTurn

From Snake Oil to Investment Scams: How the Accomplice Became the Rogue Online Influencer

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The rise of influencer scams, akin to the modern day snake oil salesman, highlights the urgent need for stronger regulatory oversight and increased consumer awareness to combat misinformation and protect the public. In...more

Bradley Arant Boult Cummings LLP

SEC Enforcement in the First Quarter of the New Administration

The new presidential administration began on January 20, 2025, and change came quickly to many federal agencies, including the U.S. Securities and Exchange Commission (SEC). On Inauguration Day, Paul S. Atkins was nominated...more

Carlton Fields

Builder of Investment Models Deviates From Blueprints - Employee’s Rogue Remodeling Costs Builder Plenty

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The SEC’s recent order instituting administrative and cease-and-desist proceedings (OIP) against registered investment advisers Two Sigma Investments LP and Two Sigma Advisers LP illustrates significant risks for investment...more

White & Case LLP

Evolution of AI Washing Enforcement: DOJ Enters the Picture

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On April 9, the US Department of Justice and Securities and Exchange Commission announced parallel cases against the founder and former CEO of an artificial intelligence startup for allegedly misleading investors about his...more

HaystackID

Charlie Javice Convicted in Fraud Case with JPMorgan Chase

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In a legal saga that drew the attention of Wall Street and Silicon Valley, a jury in Manhattan rendered a verdict convicting Charlie Javice and Olivier Amar on all charges of fraud and conspiracy in the $175 million...more

Allen Matkins

Court: Investment Adviser Has No Duty To Warn Non-Clients

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According to the Court of Appeal: An imposter posing as investment advisor Daniel Corey Payne of Lifetime Financial, Inc. (Lifetime) stole more than $300,000 from Mark Frank Harding. Before this occurred, Lifetime had...more

A&O Shearman

Eastern District Of Wisconsin Dismisses Class Action Against Energy Products Company For Failure To Allege Falsity, Scienter, And...

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On February 7, 2025, Judge Brett H. Ludwig of the United States District Court for the Eastern District of Wisconsin dismissed a putative class action alleging that an energy product sales company (the “Company”) and its...more

A&O Shearman

Second Circuit Upholds Dismissal Of Federal Securities Law Claims Against Cryptocurrency Trading Platform Operator

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On February 26, 2025, the United States Court of Appeals for the Second Circuit affirmed the dismissal of federal securities claims against the developers of a decentralized cryptocurrency exchange and the exchange’s venture...more

Cadwalader, Wickersham & Taft LLP

Amid Chaos, Regulatory Change Continues Apace, March 2025 - New CFTC Enforcement Guidance

On February 25th, 2025, the Commodity Futures Trading Commission’s (“CFTC”) Division of Enforcement (“Division”) issued a long-awaited advisory (the “Advisory”) regarding its evaluation of how a company’s or individual’s...more

A&O Shearman

Southern District Of New York Grants In Part And Denies In Part Motion To Dismiss Regarding SPAC Acquisition of Online Lottery...

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On February 25, 2025, Judge Jennifer L. Rochon of the United States District Court for the Southern District of New York granted in part and denied in part motions to dismiss amended complaints filed in a putative class...more

A&O Shearman

District of Delaware Dismisses Securities Fraud Action By Investment Firm Against A Racing Game Developer And Publisher Related To...

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On February 26, 2025, Circuit Judge Stephanos Bibas, sitting by designation in the District Court for the District of Delaware, granted a motion for summary judgment in a securities action brought by an investment firm...more

Mayer Brown Free Writings + Perspectives

SEC Investor Advisory Committee: Recommendations on Traceability and Insights on AI Disclosures and Retail Investor Fraud

The U.S. Securities and Exchange Commission’s Investor Advisory Committee (the “Committee”) will meet March 6, 2025. During this meeting, the Committee will present its recommendations to the SEC concerning traceability...more

Carlton Fields

Florida Appeals Court Decisions Week of February 24 - 28, 2025

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U.S. Eleventh Circuit Court of Appeals - USA v. Charles - sentencing - Miller v. Ramirez - qualified immunity, deferring ruling - Chapman v. Dunn - prison conditions, Eighth Amendment - USA v. Horn - securities...more

Clark Hill PLC

SEC Announces Cyber and Emerging Technologies Unit

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On Feb. 20, the Securities and Exchange Commission announced the creation of the Cyber and Emerging Technologies Unit (CETU) stating its focus will be on “combatting cyber-related misconduct and to protect retail investors...more

Skadden, Arps, Slate, Meagher & Flom LLP

Khouri: Is UK-US Extradition on Its Way to Becoming an Ex-Tradition?

On 12 February 2025, the UK Supreme Court handed down its decision in El-Khouri v Government of the United States of America (El-Khouri), declining to extradite Joseph El-Khouri to the US. The ruling marks a pivotal moment in...more

Freeman Law

 What’s a Ponzi Scheme?

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One question I get asked frequently by potential clients who come in suspecting that they have been scammed is whether they might have been the victim of a Ponzi scheme. Ponzi schemes derive their name from Charles...more

Morrison & Foerster LLP

When Your Life Sciences Are on the Line: Securities Enforcement

Morrison Foerster partners Kate Driscoll and Nate Mendell, both former federal prosecutors and members of the firm’s Investigations + White Collar Defense Group, hosted the eighth episode of When Your Life Sciences Are on the...more

Freiberger Haber LLP

Enforcement News: SEC Brings Enforcement Action Involving an Alleged $70 Million Pre-IPO Fraud Scheme

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Pre-IPO investing involves buying a stake in a company before the company makes its initial public offering of securities. Many stock promoters invite potential investors to invest in a pre-IPO offering by providing an...more

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