Goldman Case Likely To Unleash Torrent Of Lawsuits

WASHINGTON, D.C. – (AP) The fraud charges against Goldman Sachs & Co. that rocked financial markets Friday are no slam dunk, as hazy evidence and strategic pitfalls could easily trip up government lawyers. Yet that hardly matters, experts say, because the allegations will kick off a new era...

Goldman Vulnerable? Don't Ask Plaintiff Lawyers

NEW YORK - (AP) Angry at Goldman Sachs for the billions in shareholder wealth lost since the government accused it of fraud? Well, if you're looking to file a class action against the bank, legal experts have some advice: You've got your work cut out for you. For one thing, we're in...

Shareholders Launch Follow-On Securities Lawsuit Against Goldman Sachs

The SEC's high-profile enforcement action against Goldman Sachs and one of its investment bankers may or may not revitalize the waning subprime and credit crisis-related litigation wave, but it has at least sparked an outbreak of follow on civil litigation against Goldman Sachs. According to their...

Goldman Sachs Discloses Shareholder Lawsuits

(AP) Goldman Sachs has disclosed information about a half-dozen lawsuits filed against it by shareholders accusing the big Wall Street firm and senior executives of misconduct and abuse in the wake of civil fraud charges brought by the government over mortgage securities deals. The detailed disclosures...

Goldman Sachs Discloses Derivative Actions Filed Against It In SEC Form

WASHINGTON, D.C. - (Mealey's) Under-fire investment banking and securities firm Goldman Sachs Group Inc. has been hit with six shareholder derivative lawsuits in connection with its sale of collateralized debt obligations (CDOs) and its marketing of the CDOs to investors, according to a disclosure...

Goldman Sachs To Pay $550M To Settle Charges It Misled Subprime Investors

NEW YORK - Goldman, Sachs & Co. has agreed to pay $550 million in penalties and to change its business practices to settle allegations brought by the U.S. Securities and Exchange Commission that it misled investors in a subprime mortgage product, the SEC announced June 15 ( Securities and Exchange...

Wick Phillips Adds to Its Bankruptcy And Litigation Practice Groups

DALLAS - Wick Phillips Gould & Martin LLP, a full-service business law firm, is expanding its bankruptcy and litigation practice groups with the hire of Jonathan Covin, a bankruptcy, restructuring and creditors' rights specialist. Covin has extensive experience in corporate restructuring and...

Female Employees Sue Goldman Sachs, Alleging Sex Discrimination

NEW YORK - Goldman Sachs has engaged in systemic and pervasive discrimination against its female professional employees, according to a lawsuit filed Sept. 15 in the U.S. District Court for the Southern District of New York ( H. Cristina Chen-Oster, et al. v. Goldman Sachs, Inc., et al. , No. 10-civ...

Ex-Goldman Director Sues SEC After Civil Charges

NEW YORK - (AP) A former Goldman Sachs board member accused the Securities and Exchange Commission on Friday of unfairly spoiling his reputation by accusing him of passing along inside information without ever bringing the accusations in federal court. A lawyer for Rajat Gupta responded to the civil...

Washington Mutual Settles Class Action Lawsuit For $208.5 Million

LOS ANGELES - (AP) Washington Mutual Inc. and its fellow defendants have agreed to pay $208.5 million to settle a class-action lawsuit stemming from the lender's collapse in 2008, the biggest U.S. bank failure in history. The defendants and lead plaintiff Ontario Teachers' Pension Plan Board...

This Week in Securities Litigation: Gupta Action, FCPA Enforcement, SEC Enforcement

This week the SEC lost its bid to dismiss an action brought by former Goldman Sachs director Rajat Gupta arising out of its insider trading case brought as an administrative proceeding against him. The GAO issued reports on the revolving door at the Commission and the supervision of proprietary trading...

Regulator Sues Goldman Sachs Over Risky Mortgages

LOS ANGELES - (AP) The U.S. regulator of credit unions on Tuesday sued Goldman Sachs & Co. for more than $491 million in damages over losses incurred by two failed credit unions that purchased mortgage-backed securities underwritten by the investment bank. The complaint filed by the National Credit...

Allstate Sues Goldman Sachs Over Toxic Investments

(AP) Allstate Corp. is suing Goldman Sachs Group Inc. claiming the broker fraudulently sold it more than $123 million in mortgage-backed securities in 2006 and 2007, before the housing market collapse sent the investments' value plunging. The insurer claims in a lawsuit filed in New York that the...

Delaware Vice Chancellor Dismisses Derivative Action Against Goldman Sachs Directors

In the case of In Re The Goldman Sachs Group, Inc. Shareholder Litigation , C.A. No. 5215-VCG (Oct. 12, 2011), read opinion here , Vice Chancellor Glasscock, in his first major corporate law decision, granted defendants' motion to dismiss a derivative action brought against Goldman's current...

The Week In Securities Litigation: Final Arguments In Insider Trading Case Against Gupta Heard; SEC Brings 2 Civil Injunctions

The jury heard final argument in the high profile insider trading case against former Goldman Sachs director Rajat Gupta this week. In a court room in the Southern District of Texas the high profile action against R. Allen Stanford concluded with his sentencing to 110 years in prison for a $7 billion...

Lead Plaintiffs In Securities Class Action Lawsuit Against Goldman Sachs Agree To Settlement

NEW YORK - (Mealey's) Lead plaintiffs in a securities class action lawsuit against Goldman Sachs & Co. Inc., certain of its subsidiaries and officers and directors and three ratings agencies have agreed to settle their claims against the defendants, according to a letter sent July 18 to the federal...

Another Libor Scandal Antitrust Lawsuit Filed, This One on Behalf of Derivatives Investors

At the risk of sounding repetitive, I must report here that there has been yet another Libor-scandal related lawsuit filed in the Southern District of New York. The latest lawsuit, filed on July 30, 2012, purports to be filed on behalf of a class of investors who bought U.S. dollar Libor-based derivatives...

Plaintiffs In Subprime Mortgage-Backed Securities Litigation Win Substantial Victory

Many of the toxic mortgage-backed securities that were a key part of the subprime mortgage meltdown were sold in multiple separate offerings based on the same shelf registration statement but separate prospectuses. Each separate offering included multiple securities at varying tranches of seniority and...

The Week In Securities Litigation: Focus On White Collar Criminal Securities Cases

The focus this week was on white collar criminal securities cases. First, Rajat Gjupta, the former Goldman Sachs director convicted of passing confidential information to former hedge fund mogul Raja Rajartnam was sentenced. Second, Mr. Rajartnam's appeal of his conviction on insider trading and...

The Week In Securities Litigation: SEC Brings Action Against 8 Fund Directors, 2 Actions Focused On Chinese Issues

The SEC brought an action against eight fund directors, six of whom were independent and members of the audit committee, alleging that they caused material misstatements in the valuation of fund assets by failing to implement proper standards. The agency also brought two actions focused on Chinese issues...

The Week In Securities Litigation: SEC Amends Insider Trading Case Against 2 Former Brokers

In this holiday shortened week the Commission amended an insider trading case brought against two former brokers to identify the source of the information, a research analyst who befriended a lawyer working on the underlying deal. The agency also resolved financial claims with convicted inside trader...