As Fifth Anniversary of Madoff Collapse Approaches, New ‘Investor Protection’ Bill Is Introduced in Congress

As we approach the fifth anniversary of the collapse of the massive multi-billion dollar Bernard Madoff Ponzi scheme, a bipartisan bill has been introduced in the House of Representatives that would address one of the issues that seemed to most rankle Madoff’s defrauded victims: whether or not...

Charged with Selling Billions of Shares of Unregistered Stock, Penny Stock Financier to Pay $1.4 Million

A New York-based penny stock financier and his firms have settled charges that they violated the federal securities laws when they purchased billions of shares in a pair of microcap companies and failed to register them before they were re-sold to investors for sizeable profits. Curt Kramer and his...

Trial Lawyer John P. “Sean” Coffey Joins Kramer Levin

Trial lawyer John P. “Sean” Coffey has joined Kramer Levin Naftalis & Frankel LLP as a partner in the firm’s New York office, where he will serve as the chair of complex litigation. As co-managing partner of the plaintiffs’ litigation firm Bernstein Litowitz Berger &...

Millions of Hidden Stock Trades About To Be Revealed

Millions of previously hidden U.S. stock trades will be revealed for the first time on Monday December 9. Previously, odd lots, which are trades of fewer than 100 shares, have not been revealed on the publicly available “consolidated tape,” with only big investment banks and sophisticated...

2 Brokers Barred by FINRA for Allegedly Stealing $300,000 from Elderly Widow, with Diminished Mental Capacity

The Financial Industry Regulatory Authority (FINRA) has barred brokers Fernando L. Arevalo and Jimmy E. Caballero from the securities industry for allegedly converting approximately $300,000 from an elderly widow with diminished mental capacity and for failing to fully cooperate with FINRA’s investigation...

Former Assistant U.S. Attorney David Massey, Who Prosecuted Swiss Bank, Joins Richards Kibbe & Orbe

David B. Massey, a former Assistant U.S. Attorney for the Southern District of New York, has joined the New York office of Richards Kibbe & Orbe LLP as a partner. Massey worked in the U.S. Attorney’s criminal division in Manhattan from 2004 to 2013. As a member of the Securities and Commodities...

Federal Prosecutor Matthew Axelrod Joins Plaintiffs’ Law Firm, Cohen Milstein Sellers & Toll

Most federal prosecutors who move to private law firms use their government experience in financial fraud cases such as white collar crime, securities fraud, bank fraud, and money laundering to become defense lawyers. Matthew S. Axelrod, one of the highest-ranking career officials in the U.S. Department...

Madoff Brother, Convicted and Jailed, Now is Disbarred

Peter Madoff – Bernard Madoff’s brother – has been disbarred. Just about five years to the day after Bernard Madoff’s Ponzi scheme came to light, just about one year to the day after Peter Madoff was sentenced to consecutive five year terms of imprisonment for each of his admitted...

Not Dead: Former Bank Director Aubrey Lee Price. But, Under Arrest

Aubrey Lee Price, a former director of Montgomery Bank & Trust (“MB&T”) in Ailey, Georgia, is not dead after all. Well more than a year ago, Price sent acquaintances a suicide note stating that he planned to kill himself by throwing himself off a high speed ferry boat in Florida...

Financial Fraud Prosecutor Jillian B. Berman Joins Levine Lee in New York City

Jillian B. Berman, who served for nine years as an Assistant U.S. Attorney at the U.S. Attorney’s Office for the Southern District of New York, has become a partner at Levine Lee LLP in New York City. As an Assistant U.S. Attorney, Berman directed investigations and tried a variety of cases...

3 Key Takeaways from Securities Class Action Filings Report

Once again, Cornerstone Research and the Stanford Law School Securities Class Action Clearinghouse have prepared an annual report on the securities class action filings. And, once again, the report, Securities Class Action Filings—2013 Year in Review , has a plethora of information. We think...

Prosecutors’ Rush to Join Private Law Firms Accelerates

The wave of financial fraud prosecutors joining private law firms is continuing – in fact, it appears to be accelerating. Consider that, in just the past couple of days, David Meister, who ran the enforcement unit at the Commodity Futures Trading Commission, joined Skadden, Arps, Slate...

Accountant from Jal Sentenced to Prison, on Fraud and Identity Theft Convictions

Roger L. Baeza, an accountant from Jal, New Mexico, has been sentenced to 61 months in federal prison, followed by three years of supervised release, for his conviction on securities fraud, access device fraud, and aggravated identity theft charges. Baeza also was ordered to pay $501,927.10 in restitution...

Law Clerk and Stockbroker Charged with Trading on Inside Information Stolen from Prominent New York Law Firm

The managing clerk of the New York office of Simpson Thacher & Bartlett LLP – a prominent, international law firm – and a professional stockbroker who worked at Oppenheimer & Co. and Morgan Stanley have been arrested and charged with participating in a multi-year insider trading scheme...