The Ninth Circuit upheld a ruling concluding that plaintiffs
failed to establish loss causation in an action where the share price did not
decline following the emergence of the truth in a Securities Act Section 12(2)
action. Miller v. Thane International, Inc. , Case No. 09-55474 (9th Cir.
In a recent post , I discussed several recent decisions in which
securities cases involving failed or troubled banking institutions survived
dismissal motions. By contrast, however, in an August 16, 2010 ruling ( here ),
Southern District of New York Judge Robert
Patterson, Jr. granted the defendants'...
The SEC filed an amended complaint, adding Jon Latorella
and James Fields as defendants to an action alleging a financial fraud and
stock manipulation involving two companies they control. SEC v. LocatePlus
Holdings Company , Case No. 1:10-cv-11751 (D. Mass. Nov. 11, 2010) ( previously discussed
Don't stray from your investment strategy. Don't chase
yields. Make sure your investment strategy follows your marketing materials.
According to SEC charges, Charles Schwab failed to do
this with its YieldPlus Fund in 2007. The fund was marketed as a Short Term
Bond fund and described the...
Prosecutors concluded their case-in-chief in the Galleon
insider trading trial this week. SEC enforcement, in conjunction with the U.S.
Attorney's Office in New Jersey, brought an insider trading case against an
attorney, a former associate of three prominent law firms, and a professional
NEW YORK - (Mealey's) Shareholders and defendants in a
securities class action lawsuit against a chemical company, certain of its
officers and directors and others have agreed to a $37 million settlement of
all federal securities law claims, according to court documents made available
One of the Commission's significant market crisis cases arose out of the collapse of IndyMac Bancorp, Inc. SEC v. Perry, Civil Action No. CV 11-01309 (C.D. Cal. Filed Feb. 11, 2011). The complaint named as defendants Michael Perry, former CEO and Chairman of the bank, and A. Scott Keys, the former...
On November 1, 2012, in what is the first lawsuit the FDIC has filed as part of the current bank failure wave against a failed bank's accountants, the FDIC, as receiver for the failed Colonial Bank, has filed an action in the Middle District of Alabama against Pricewaterhouse Coopers and Crowe Horwath...
The Commission prevailed on a motion for summary judgment
against a brokerage firm, its principle and a former managing director,
ultimately securing judgments of over $2.7 million. SEC v. Constantin, Civil
Action No. 11-CV-4642 (S.D.N.Y. Filed July 6, 2011). This is one of what may be
Shareholder claimants seeking to pursue a misrepresentation claim under the Ontario Securities Act must obtain leave of court to proceed based on a statutory requirement that the plaintiff must show a “reasonable possibility that the action will be resolved at trial in favor of the plaintiff.”...
The co-founders of a Florida based computer company were names as Respondents in SEC administrative proceedings. The actions centers on significant internal control difficulties regarding the inventory which, rather than being remedied, were concealed by from the auditors and misrepresented in filings...
An energy company, its CEO and the firm’s public relations adviser and its president were named in a fraud action by the SEC centered on false representations concerning oil reserves for a property in Columbia. The representations were used to sell securities and boost the price of the oil company...