Federal authorities indicted a
New Jersey man on charges that he operated a $200 million Ponzi scheme through
bogus real estate investments. In a 45-count indictment unsealed last
week, authorities charged Eliyahu Weinstein, 36, with one count of conspiracy...
Much has been written about how difficult it is now to
obtain financing for small businesses. Banks charge high interest rates, and it
is tough to qualify even for a bank loan. Angel or VC funding is even harder to
come by. So, to secure funding, business...
Securities regulations have many goals (prevention
of misdeeds, market stability, investor protection), however, for those who
can navigate the system, new hedge fund regulations will have the
effect of increasing transparency for hedge fund investors...
In a severe blow to the quest to recover funds for the
benefit of victims of Bernard Madoff's $50 billion Ponzi scheme, a New York
federal judge threw out $20 billion of common law claims that the
court-appointed trustee had asserted against banking...
In addition to filing Form ADV with the SEC when they
register with the Securities and Exchange Commission, private fund managers
will also need to start filing Form PF next year.
The amount of information required by Form PF is tiered.
The Consumer Financial Protection Bureau (CFPB) recently
developed a portal that allows companies to view and respond to complaints in
the complaint database. The CFPB released a presentation
describing the portal, providing detailed log-in information...
As a general rule, securities fraud plaintiffs benefit
from telling the whole story while defendants benefit from dividing and
conquering claims: "Well, that allegation's no big deal; there's not much
evidence for that one; I don't...
by Dionysios S. Demetis
Over the past two decades,
Anti-Money Laundering (AML) and the Counter-Financing of Terrorism (CFT) have
undoubtedly emerged as two important contemporary themes that have generated
considerable attention. The following Emerging...
An Illinois man who promised returns of up to 200% was charged
with operating a Ponzi scheme that bilked investors out of more than $4
million. James Pantazelos, 61, of Rockford, Illinois, was charged
with six counts of mail fraud and four counts...
On October 25, 2011, the FDIC filed its latest failed
bank lawsuit, in connection with events surrounding the July 2009
failure of Mutual Bank of Harvey, IL . The FDIC's
complaint , which was filed in the Northern District of Illinois, names as...
A Toronto man was charged
with operating a $9 million Ponzi scheme, marking the second time he has been
charged with operating a multi-million dollar Ponzi scheme in the past three
years. Tzvi Erez, 44, was charged with ten counts of fraud after police...
Four bills made their way through the Capital Markets and
Government Sponsored Enterprises Subcommittee of the House Financial Services
Committee last week and this week were approved by the full Financial
Services Committee .
A California woman was sentenced to nine years
in prison for orchestrating a Ponzi scheme that took in nearly $7 million from
investors. Guadalupe Valencia, 47, of West Covina, California, was
sentenced by United States District Judge S. James Otero...
Richard A. Neaton ,
Exchange Act Rel. 65598, October 20, 2011
FINRA barred Neaton for failing to disclose disciplinary
actions on his Form U4 application. The commission upheld the sanction on
FINRA sanctioned Neaton for failing to amend...
Early on during the current wave of bank failures, there
were some pretty reckless predictions about how many banks might fail - indeed,
some commentators suggested as many as 1,000 banks might ultimately fail, a
I disputed at the...
The trial between a group of Texas investors defrauded in
Scott Rothstein's $1.4 billion Ponzi scheme and the bank they claim helped
Rothstein facilitate his scheme, TD Bank, is scheduled
to begin October 24th. The victim, Texas-based investment...
the Consumer Financial Services Group
The Consumer Financial Protection Bureau (CFPB) has
issued the first edition, or "Version 1.0," of its Supervision and Examination Manual . The manual will be used
in CFPB examinations of insured depository...
the Consumer Financial Services Group
The Bureau of Consumer Financial Protection (CFPB) has
moved forward on its plan to make mortgage servicing a priority by issuing written procedures for the agency's examinations of
mortgage servicers. Although...
The role of directors on offshore hedge funds has often been,
at best, a limited oversight role, with perfunctory annual meetings and limited
interchange with the fund itself during the year.* This has been changing
- slowly- as compliance moves to...
by Troutman Sanders CFPB Team
By a blog post on September 30, 2011, Gail Hillebrand,
Associate Director for Consumer Education and Enforcement for the Consumer
Financial Protection Bureau (CFPB), invited
comments from those with concerns about payday...
36 Iowa J. Corp. L. 869, Summer 2011
Author: Brent J. Horton
In 2008 the housing bubble burst, and those financial companies that invested
in mortgage-backed securities (MBS) faced insolvency as their MBS became
by Calvin Z. Cheng, Melissa D. Beck, Kenneth
E. Kohler and Jerry R. Marlatt
Recent weeks have seen a number
of legal, regulatory and political developments in the realm of asset
securitization, culminating for the moment on September 27 with the issuance...
Private equity transactions are not outside the scope of
enforcement by the Securities and Exchange Commission. The SEC filed a case
against a former principal of an investment adviser that manages private equity
funds. The charge is that he "usurped...
by Melissa Beck and Kenneth E. Kohler
On March 29, 2011, the Federal
Reserve Board and the FDIC separately approved a joint notice of proposed
rulemaking (the "NPR") implementing the credit risk retention
requirements of section...
by Dwight C. Smith, Charles M. Horn, Oliver
I. Ireland, Barbara R. Mendelson and Henry M. Fields
The transfer of the authority
of the OTS to other federal banking agencies effects important changes to the
regulatory framework to which savings and loans...