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White Collar
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September 04, 2025
Datavail CEO, Ex-Arrow Exec Sentenced In $2M Fraud Case
Two executives who conducted a scheme to defraud Arrow Electronics Inc. and the Datavail Corp. of nearly $2 million were sentenced to prison on Thursday, with the former CEO of Datavail receiving a more lenient sentence of just over two years compared to the nearly four-year sentence given to the former chief technology officer of Arrow. Â
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September 04, 2025
Trader With Middle Name 'Danger' Owes $3.8M In SEC Claims
A securities trader with the middle name "Danger" who was sentenced to nearly four years in prison after copping to a federal wire fraud charge in connection with a $2.9 million Ponzi scheme, is also on the hook for $3.8 million in disgorgement and prejudgment interest in a parallel U.S. Securities and Exchange Commission suit, a California federal judge has ruled.
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September 04, 2025
Admonished For 'Entitlement,' Pillsbury Atty Ducks Sanction
A Nevada federal judge opted against sanctions for Pillsbury Winthrop Shaw Pittman LLP partner Mark Krotoski, and instead issued a formal admonishment on the "entitlement" behind "misleading arguments and representations" about the reason an expert witness was unavailable during a wage-fixing and wire fraud trial.
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September 04, 2025
Goldman Investors Clinch Class Cert. In 1MDB Bribery Suit
A New York federal judge on Thursday overruled objections raised by Goldman Sachs and fully adopted a magistrate judge's recommendation to certify a class of Goldman investors who claim losses from the 1MDB bond bribery scandal.
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September 04, 2025
Ex-Law Firm Worker Fights $500K Judgment In Fraud Suit
The former office manager for a Detroit civil rights firm asked Michigan appellate judges to throw out a $500,000 judgment for the firm for admittedly using its money for her personal purchases, arguing the damages improperly included costs the firm said it incurred investigating the fraud.
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September 04, 2025
NY AG Appeals Toss Of $500M Trump Fine In Civil Fraud Case
New York's attorney general said Thursday she will challenge an appeals court's decision to throw out what it called an "excessive" $489 million civil fraud penalty against President Donald Trump and his sons, his companies, and executives of his companies.
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September 04, 2025
7th Circ. Doubts Investor's Priority To $2.5M In Fraud Funds
Seventh Circuit judges seemed skeptical Thursday of a real estate banking firm's argument it should have been prioritized over other investors with respect to proceeds from the liquidation of assets related to an alleged $135 million Ponzi scheme, pointing to evidence the firm noticed red flags but dropped the ball in investigating.
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September 04, 2025
Ex-Pandemic Office Inspector General Tapped To Be US Atty
Brian Miller, the former special inspector general for pandemic recovery, has been quietly tapped to be a U.S. attorney for the Middle District of Pennsylvania.Â
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September 04, 2025
Fla. Judge Denies Jet Co.'s Bid To Revive Chase Blacklist Suit
A Florida federal judge on Thursday rejected a bid to revive a defamation lawsuit alleging JPMorgan Chase Bank NA wrongly placed a private jet company on an interdiction list over accusations of money laundering for the Russian mafia, saying there was no new evidence to overturn a previous order tossing the case.
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September 04, 2025
Gov't Backs Funds Against Activist Investor Before High Court
The federal government and the U.S. Chamber of Commerce have filed amicus briefs in support of a group of investment funds that are asking the U.S. Supreme Court to constrain the rights of private parties to file lawsuits under the Investment Company Act.
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September 04, 2025
Cathay Bank Denies Knowledge Of $20M NFT Scam Suit
California-based Cathay Bank asked a federal judge to throw out claims alleging it ignored red flags from scammers and enabled a $17 million romance scam, arguing the victim did not allege the bank even knew about the alleged fraud.
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September 04, 2025
Ohio Cannabis Card Network Sued Over Faulty Cybersecurity
An Ohio man is suing Ohio Medical Alliance LLC in federal court, alleging that its lackluster cybersecurity measures exposed more than 950,000 records containing private health information for its users.
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September 03, 2025
Feds, SEC Say ATM Investment Network Was $770M Ponzi
The owner and operator of two investment management groups was arrested Wednesday and accused by federal prosecutors and the U.S. Securities Exchange Commission of directing a $770 million Ponzi scheme that promised investors returns on stakes in ATM networks.
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September 03, 2025
FINRA Targets Ex-Synapse Officers Over Supervisory Failures
The Financial Industry Regulatory Authority has filed an enforcement action against two former executives of a subsidiary of bankrupt fintech company Synapse, alleging that they failed to properly supervise the subsidiary's cash management program ahead of the middleware provider's collapse.
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September 03, 2025
Conn. Fund Manager Sentenced For $3.4M Fraud Scheme
A Stamford, Connecticut, man was sentenced Wednesday to four and a half years in prison plus three years of supervised release after admitting he defrauded investors out of $3.4 million through a Greenwich hedge fund he owned.
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September 03, 2025
Texas Judge Asks Feds How Boeing Deal Serves Public
A Texas federal judge pressed the U.S. government to explain why he should accept a nonprosecution agreement with Boeing that would let the company escape a criminal case for its role in deadly 737 Max 8 crashes, asking Wednesday how the deal serves the public.
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September 03, 2025
7th Circ. Judge Probes FDIC's In-House Enforcement Powers
A Seventh Circuit judge on Wednesday pushed counsel for the Federal Deposit Insurance Corp. to address whether an Illinois community bank's ex-chairman alleging the agency's in-house proceedings are unconstitutional waived his Seventh Amendment right to trial by jury by virtue of working at an institution that participates in the FDIC's insurance program.
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September 03, 2025
Italian Police Take Assets Of Cos. Accused Of €40M VAT Fraud
Italian authorities seized assets Wednesday from two software companies, uncovering evidence that they defrauded European governments of around €40 million ($46.7 million) in value-added taxes, the European Public Prosecutor's Office and Italian Financial Police said.
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September 03, 2025
Archegos Witness Avoids Prison After 'Extensive' Cooperation
A former accountant who served as director of risk at Archegos before its fraud-driven collapse avoided prison Wednesday after a Manhattan federal judge said his testimony was crucial in securing the conviction and 18-year prison sentence imposed on fund founder Bill Hwang.
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September 02, 2025
Fed Gov. Cook Doubles Down On Removal TRO Bid
Federal Reserve Board Gov. Lisa Cook on Tuesday doubled down in her bid to have a D.C. federal court block President Donald Trump's attempt to strip her of her position, saying the federal government was trying to expand the limits of a "for cause" removal.
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September 02, 2025
Wall Street Banks Beat Revived Bond-Rigging Antitrust Claims
A New York federal judge tossed a recently revived proposed antitrust class action Tuesday accusing Bank of America Corp., Wells Fargo & Co. and other major financial institutions of conspiring to rig corporate bonds and boycott rival bond-trading platforms, finding the allegations are vague, conclusory and time-barred.
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September 02, 2025
DOJ Accuses Nonprofit Nursing Home Chain Of FCA Violations
The U.S. Department of Justice has intervened in a whistleblower suit against nonprofit nursing home operator ProMedica, alleging a "systematic and pervasive" pattern of understaffing that resulted in "grossly substandard" or non-existent care for Medicare and Medicaid beneficiaries, in violation of the False Claims Act.
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September 02, 2025
NYPD Urges Dismissal Of Racial Bias Suit Over Gang List
The city of New York has asked a federal judge to toss a putative class action alleging NYPD officials violated the constitutional rights of people on the department's list of purported gang members, saying the lawsuit, brought by three anonymous men, is "highly speculative."
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September 02, 2025
Feds Want To Tell Jury About Guilty Pleas In Corruption Trial
A Connecticut federal jury in a former state budget director's upcoming corruption trial should be told that three construction industry officials have pled guilty to related conspiracy charges, federal prosecutors have argued, saying a defense bid to exclude the guilty pleas was "legally and factually unfounded."
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September 02, 2025
Ex-Crypto Platform Cred Execs Sentenced For $150M Scheme
The former CEO and former chief financial officer behind bankrupt cryptocurrency lender Cred Inc. will serve four years and three years, respectively, after previously pleading guilty to conspiracy to commit wire fraud.
Expert Analysis
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Prepping For SEC's Changing Life Sciences Enforcement
By proactively addressing several risk areas, companies in the life sciences sector can position themselves to minimize potential exposure under the U.S. Securities and Exchange Commission's return to back-to-basics enforcement focused on insider trading and fraud, say attorneys at Morgan Lewis.
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Series
Adapting To Private Practice: From US Rep. To Boutique Firm
My transition from serving as a member of Congress to becoming a partner at a boutique firm has been remarkably smooth, in part because I never stopped exercising my legal muscles, maintained relationships with my former colleagues and set the right tone at the outset, says Mondaire Jones at Friedman Kaplan.
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Opinion
FCPA Shift Is A Good Start, But There's More DOJ Should Do
The U.S. Department of Justice’s new Foreign Corrupt Practices Act guidelines bring a needed course correction amid overexpansive enforcement, but there’s more the DOJ can do to provide additional clarity and predictability for global companies, say attorneys at Norton Rose.
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CARES Act Fraud Enforcement Is Unlikely To Slow Down
In the five years since the passage of the Coronavirus Aid, Relief and Economic Security Act, the federal government has devoted massive resources to investigating CARES Act fraud — and all signs suggest the U.S. Department of Justice will continue vigorous enforcement in this area, say attorneys at Kostelanetz.
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2025's First Half Brings Regulatory Detours For Fintechs
The first half of the year has resulted in a bifurcated regulatory environment for fintechs, featuring narrowed enforcement in some areas, heightened scrutiny in others and a policy window that, with proper compliance, offers meaningful opportunities for innovation, say attorneys at Sheppard Mullin.
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Opinion
Senate's 41% Litigation Finance Tax Would Hurt Legal System
The Senate’s latest version of the Big Beautiful Bill Act would impose a 41% tax on the litigation finance industry, but the tax is totally disconnected from the concerns it purports to address, and it would set the country back to a time when small plaintiffs had little recourse against big defendants, says Anthony Sebok at Cardozo School of Law.
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3 Juror Psychology Principles For Expert Witness Testimony
Expert witnesses can sometimes fall into traps when trying to teach juries complex topics by failing to consider the psychology of juror comprehension, but attorneys can help witnesses avoid these pitfalls with a deeper understanding of cognitive lag, chunking and learning styles, says Steve Wood at Courtroom Sciences.
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What Baseball Can Teach Criminal Attys About Rule Of Lenity
Judges tend to assess ambiguous criminal laws not unlike how baseball umpires approach checked swings, so defense attorneys should consider how to best frame their arguments to maximize courts' willingness to invoke the rule of lenity, wherein a tie goes to the defendant, says Jonathan Porter at Husch Blackwell.
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Series
Performing As A Clown Makes Me A Better Lawyer
To say that being a clown in the Macy’s Thanksgiving Day Parade has changed my legal career would truly be an understatement — by creating an opening to converse on a unique topic, it has allowed me to connect with clients, counsel and even judges on a deeper level, says Charles Tatelbaum at Tripp Scott.
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Perspectives
Justices' Sentencing Ruling Is More Of A Ripple Than A Wave
The U.S. Supreme Court’s decision last week in Esteras v. U.S., limiting the factors that lower courts may consider in imposing prison sentences for supervised release violations, is symbolically important, but its real-world impact will likely be muted for several reasons, say attorneys at Perkins Coie.
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DOJ Atty Firing Highlights Tension Between 2 Ethical Duties
The U.S. Department of Justice's recent firing of a prosecutor-turned-whistleblower involved in the Abrego Garcia v. Noem case illustrates the tricky balancing act between zealous client advocacy and a lawyer’s duty of candor to the court, which many clients fail to appreciate, says David Atkins at Yale Law School.
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Series
Law School's Missed Lessons: Rejecting Biz Dev Myths
Law schools don’t spend sufficient time dispelling certain myths that prevent young lawyers from exploring new business opportunities, but by dismissing these misguided beliefs, even an introverted first-year associate with a small network of contacts can find long-term success, says Ronald Levine at Herrick Feinstein.
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DOJ Has Deep Toolbox For Corporate Immigration Violations
With the U.S. Department of Justice now offering rewards to whistleblowers who report businesses that employ unauthorized workers, companies should understand the immigration enforcement landscape and how they can reduce their risk, say attorneys at McDermott.
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Move Beyond Surface-Level Edits To Master Legal Writing
Recent instances in which attorneys filed briefs containing artificial intelligence hallucinations offer a stark reminder that effective revision isn’t just about superficial details like grammar — it requires attorneys to critically engage with their writing and analyze their rhetorical choices, says Ivy Grey at WordRake.
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3 Rulings May Reveal Next Frontier Of Gov't Contract Cases
Several U.S. Supreme Court decisions over the past year — involving wire fraud, gratuities and obstruction — offer wide-ranging and arguably conflicting takeaways for government contractors that are especially relevant given the Trump administration’s focus on diversity, equity and inclusion initiatives, say attorneys at Rogers Joseph.