LexisNexis® Legal Newsroom
Judge: Money Laundering Exclusion Bars Coverage For Stanford Directors And Officers

HOUSTON -- (Mealey's) Insurers have proven that their policies' money laundering exclusion precludes coverage for directors and officers insureds' defense costs in underlying criminal and SEC litigation involving the alleged Stanford Ponzi scheme, a Texas federal judge held Oct. 13, granting...

Johnson & Johnson Ordered To Pay $258M To Louisiana

OPELOUSAS, La. - (AP) A Louisiana jury says health products maker Johnson & Johnson owes the state nearly $258 million for misleading doctors about the possible side effects of one of its anti-psychotic medications. Full version available to lexis.com subscribers .

Foreclosure Class Actions Pile Up Against Banks

NEW YORK - (AP) Foreclosure-fraud class action lawsuits are starting to pile up against major banks across the U.S., threatening a besieged industry with billions more in potential losses. Bank executives are swarming Capitol Hill this week to defend themselves against multiple foreclosure-related investigations...

Madoff Trustee Sues UBS, Others For $2B

NEW YORK - (AP) The trustee who is trying to recover money for cheated investors in jailed Bernard Madoff's fraud has sued the Swiss bank UBS AG and related entities and individuals after alleging they collaborated in his Ponzi scheme. Trustee Irving Picard announced Wednesday the filing of the...

Madoff Trustee Gets 'Game Changing' $7 Billion Settlement

NEW YORK - (AP) The widow of a Florida philanthropist who had been the single-largest beneficiary of Bernard Madoff's colossal Ponzi scheme has agreed to return $7.2 billion in bogus profits to the victims of the fraud, she and authorities announced Friday. The trustee recovering money for Madoff's...

Madoff Lawsuit: Mets Owners Owe Victims $300 Million

NEW YORK - (AP) The owners of the Mets turned a blind eye to Bernard Madoff's massive fraud, reaping $300 million in false profits and using a large chunk to run the team, according to a lawsuit unsealed Friday. The lawsuit claims the owners were so dependent on the disgraced financier's. . ...

Golden Globes Sues Ex-Publicist, Claiming Fraud

LOS ANGELES - (AP) The organization that hosts the Golden Globe Awards has sued its former publicist for fraud, claiming he and his partner cannot prove allegations the group engages in payola in exchange for awards. The Hollywood Foreign Press Association sued Michael Russell, his partner Stephen LoCascio...

Another Lawsuit Targets NFL, Dallas Cowboys Over 'Phantom' Super Bowl Seats

Action filed to represent fans who didn't get what they paid for DALLAS - Two Green Bay Packers fans on Feb. 9 filed a proposed class action lawsuit against the National Football League , the Dallas Cowboys and Cowboys Stadium, saying that they were denied their dream of attending Sunday's...

Judge Rejects $21M Securities America Class Action Settlement

DALLAS - (AP) A federal judge in Dallas has rejected a deal that would have allowed brokerage Securities America Inc. to pay $21 million to settle a class action lawsuit alleging that the company didn't do proper due diligence on millions of dollars in investments it sold that later proved worthless...

Saudi Firm Sues American Over Alleged $10 Billion Fraud

LOS ANGELES - (AP) A Saudi Arabian company is suing the former chief executive of a collapsed Mideast bank for $9.2 billion, alleging he helped stage one of the largest global fraud schemes in history. The lawsuit filed in Los Angeles federal court Monday accuses Southern California resident Glenn Stewart...

Thomas O. Gorman On This Week in Securities Litigation

As the Galleon insider trading trial draws to a close and the Lindsey FCPA trial moved forward in the Central District of California, one of the few senior executives charged in a market crisis case was found guilty by a jury after a ten day trial. SEC enforcement brought actions based on an undisclosed...

SEC Sues Florida Man Over Offers For Kodak, AMR Stock

MIAMI - (AP) A Florida man who made mysterious billion-dollar offers for all stock in Eastman Kodak Co. and the parent of American Airlines has no assets to make the purchases, is on probation from past fraud convictions and is barred from serving as a corporate officer, according to. . . . Full version...

California Company That Provided Elephant For Film Sued

PERRIS, Calif. - (AP) Animal rights activists have sued a Southern California company that provided an elephant used in the movie "Water for Elephants." The suit was filed last week in Los Angeles federal court against Have Trunk Will Travel of Perris. It claims that the business defrauded...

New York Mets Owners Challenge Madoff Trustee Lawsuit

NEW YORK - (AP) New York Mets executives argued Thursday that a lawsuit claiming they should have heeded warning signs of a 25-year fraud carried out by jailed financier Bernard Madoff is "a fiction" and should be thrown out. "There were no warnings," lawyers for Mets owner Fred Wilpon...

75 NFL Retirees Sue League Over Concussions

LOS ANGELES - (AP) Mark Duper, Ottis Anderson and 73 other former players sued the National Football League, claiming it concealed information about the danger of concussions for decades. The negligence, fraud and liability suit was filed Tuesday in Los Angeles Superior Court. Many players' wives...

Medtronic Escapes Fraud Claims In Off-Label Stent Litigation

BOSTON - (Mealey's) Finding that two whistle-blowers' False Claims Act (FCA) allegations failed to meet federal pleading requirements for fraud, a Massachusetts federal judge on July 27 dismissed claims that Medtronic Inc. promoted biliary stents for off-label use ( United States of America,...

78 Navajo Nation Council Members Accused Of Fraud In Lawsuit

WINDOW ROCK, Ariz. - (AP) A special prosecutor filed a lawsuit against 78 current and former Navajo Nation Council members alleging massive fraud in their use of $36 million in discretionary funds intended for Navajos in need. The lawsuit filed Thursday accuses the council members of unlawfully taking...

SEC Lawsuit Targets Money Manager Tied To Coaches

DALLAS - (AP) A money manager for college basketball coaches who committed suicide last month was part of a scheme that defrauded more than 100 investors of $39 million through the sale of bogus corporate bonds, the Securities and Exchange Commission alleged in a lawsuit Monday. The suit, filed in U...

Judge: Lawsuit Against Former Blackwater 'Hangs By A Thread'

ALEXANDRIA, Va. - (AP) A jury will continue to hear a civil lawsuit alleging fraud by the security contractor once known as Blackwater, but a judge said Tuesday the case "hangs by a thread." Lawyers for Blackwater, now known as Xe Services, asked the judge to dismiss the case. It alleges Blackwater...

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...

Drafting General Releases After Centro: How to Preclude or Preserve Future Claims of Fraud and Breach of Fiduciary Duty

By Eric L. Goldberg, Thomas D. Kearns and Thomas J. Fleming Court of Appeals decision in Centro. A recent New York Court of Appeals decision highlights the shift in New York law towards the enforceability of general releases even in the context of fiduciaries. In Centro Empresarial Cempresa, S.A. v...

Virginia's 2-Year Statute Of Limitations Dooms Swedish Firm's Negligence Lawsuit

A Swedish law firm has failed in its effort to sue a director of a former client for "misrepresentation" in Virginia federal court after the court ruled the claim was barred by Virginia's two-year statute of limitations applicable to negligence claims. The law firm had conceded that it...

Mortgage Meltdown Litigation Pays Hundreds Of Millions To Injured Plaintiffs

The economy seems to be heading at last into recovery territory, and the mortgage crisis that began in 2007 is starting to seem like old news. But the effects of the lax underwriting standards and other questionable loan practices that spawned the crisis continue to play out in courts across the country...

And The Beat Goes On. . . Medicaid Fraud Suits Continue Churning and Returning Taxpayer Money Paid To Medical Providers

In anticipation of the upcoming U.S. presidential election, the news cycle is heating up with discussions about federal and state budget deficits and funding for Medicare/Medicaid programs. Both the Republican and Democratic Parties are lining up and getting ready to pitch their proposals to the public...

William A. Ruskin: Keeping Your Adversary's Environmental Expert Honest

By William A. Ruskin Law 360 reported on April 12, 2013 that Steven Donziger , counsel for the indigenous Ecuadorians known as the Lago Agrio plaintiffs, “meddled” in the preparation of a key environmental report used against Chevron as part of an effort to secure, by hook or by crook...