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National and State-by-State Workers' Comp News Roundup Powered by Larson's (11/19/2012)

Sign up here for our free workers' compensation enewsletters (National or California Edition) to receive weekly news items. Be sure to select the enewsletter of your choice. NATIONAL NEWS: Walmart Settles Federal Class Action Suit Over Alleged Interference w/WC Claims . A.M. Best Report...

Big News: Consolidated LIBOR-Scandal Antitrust and RICO Claims Dismissed

On March 29, 2013, in a ruling that she acknowledged some might find to be "unexpected" in light of the substantial regulatory fines and penalties that some of the defendants have paid, Southern District of New York Naomi Reice Buchwald granted the defendants' motions to dismiss the...

Multiple Trafficking, RICO, Civil Rights Violations Lawsuits Filed on Behalf of H-2B Visa Workers

SPLC, May 21, 2013 : " A coalition of some of the nation’s most prestigious law firms today began filing a series of federal lawsuits to prosecute multiple human trafficking and racketeering allegations against a Gulf Coast marine services company and its network of recruiters and labor brokers...

Federal: Sixth Circuit RICO Suit Related to Workplace Injury Claims Dismissed

Reversing a decision entered last year by a three-judge panel of the 6th U.S. Circuit Court of Appeals, a divided en banc panel (11 to 5) of the Court has dismissed a suit alleging that a third-party claims administrator’s collusion with Coca-Cola Enterprises to deny injured employee’s workers’...

Garlock Sues Law Firms, Alleging Fraud Over Asbestos Claims

CHARLOTTE, N.C. — (Mealey’s) Chapter 11 debtor Garlock Sealing Technologies LLC filed four adversary complaints Jan. 9 in a North Carolina federal bankruptcy court against several law firms and attorneys, alleging conspiracy, fraud and violations of the Racketeer Influenced and Corrupt Organizations...

ICE Arrests, Indicts 32 in Immigration RICO Case

"A task force of federal, state and local law enforcement Thursday began arresting 32 defendants charged with racketeering and immigration violations throughout Texas and Louisiana. ... According to court documents [ indictment 1 | indictment 2 ], two employment referral businesses operating out...

Jury Still Out on Effectiveness of Workers’ Compensation Reforms

Jury Still Out on Effectiveness of Workers’ Compensation Reforms By John Stahl, Esq. A November 21, 2013 seminar titled “The Legal Perspective of the Latest Workers’ Compensation Reforms” at the 22nd Annual National Workers’ Compensation and Disability Conference &...

The Texas Blueprint for How to Lower Workers’ Comp Costs

After continued implementation of the 2005 reforms to the Texas workers’ compensation system, and legislative review of the system in 2011, 2013 was a year in which system stakeholders and other interested parties were able to step back and evaluate the current state of the Texas system and better...

William A. Ruskin: U.S. Bankruptcy Court Exposes Plaintiff Scheme To Suppress Asbestos Exposure Evidence

By William A. Ruskin On January 10, 2014, the Hon. George R. Hodges, United States Bankruptcy Court for the Western District of North Carolina, handed down a decision that promises to be a “game changer” for asbestos manufacturers facing potentially crushing mesothelioma death claims....

2nd Circuit Reinstates Smuggling, Racketeering Claims Against R.J. Reynolds

NEW YORK — (Mealey’s) The European Community (EC) is an agency or instrumentality of its member states for the purpose of diversity jurisdiction in U.S. federal courts, and allegations of cigarette smuggling, racketeering and money laundering brought by the EC against the corporate parent...

Morrison, RICO and Extraterritorial Reach

In the wake of Morrison v. National Australia Bank Ltd., 130 S. Ct. 2869 (2010) [ an enhanced version of this opinion is available to lexis.com subscribers ], a critical question has been whether a statute has extraterritorial reach. In Morrison the Court rejected a claim that Exchange Act Section 10...

Federal: U.S. Supreme Court Denies Certiorari in Sixth Circuit’s RICO Decision

The United States Supreme Court has denied review of the Sixth Circuit’s en banc decision in Jackson v. Sedwick Claims Mngmt. Servs . [731 F.3d 556 (6 th Cir. 2013)]. Readers will recall that the Jackson case, which questions whether an injured employee may recover under the Racketeer Influenced...

Federal: Sixth Circuit Reiterates that RICO is Not Available to Workers’ Comp Claimants

Referring to its en banc decision in Jackson v. Sedgwick Claims Management Servs ., 731 F.3d 556 (6th Cir. 2013), cert. denied , 2014 U.S. LEXIS 3239 (May 5, 2014), the 6 th Circuit Court of Appeals has held that a worker’s alleged injury consisting of receiving less workers’ compensation...

Guilty Pleas in Houston Immigration RICO Cases

"A man and woman from Houston pleaded guilty Tuesday to racketeering violations in connection with an employment referral conspiracy. Lina Sun, 54, and Chenglun Ma, 57, pleaded guilty to racketeering influenced and corrupt organizations (RICO) conspiracy charges before U.S. Magistrate Judge Keith...

Fraud By Insurance Agent Requires Jail – Insurance Agent Used Diverted Premium to Fund Campaign for Congress

The Ninth Circuit Court of Appeal made clear that although Congressmen may write the law they are not above the law. Former Arizona Congressman Richard Renzi learned this lesson the hard way when he was convicted by a jury on charges of conspiracy, honest-services fraud, extortion, money laundering,...

Manhattan U.S. Attorney Prevails in Securities Fraud, RICO Case

The SEC has brought a series of investment fund fraud and Ponzi schemes. Indeed, the Commission has brought so many of these cases in recent years they have become a staple. None of those cases, however, involved securities fraud tied to an investment scheme, a racketeering charge centered on an automobile...

What Are the Elements of a Civil RICO Claim in New Jersey?

To prove a cause of action under section 2C:41-2(c) of the New Jersey Racketeer Influenced and Corrupt Organizations Act (“New Jersey RICO”), N.J.S.A. § 2C:41-2(c), the plaintiff must demonstrate (1) the existence of an enterprise, (2) that the enterprise engaged in or its activities...

Federal: D.C. Circuit Court Dismisses RICO Action for Alleged Tortious Conduct Related to Defense Base Act Claims

A three-judge panel of the U.S. Court of Appeals, D.C. Circuit, affirmed in relevant part the dismissal of a class action lawsuit that alleged several government contractors, insurance companies, and third parties (“contractors”) had committed torts and violated the Longshore and Harbor Workers’...

The FIFA Prosecution & the Strategy Behind the Federal Criminal Indictment

By Robert J. Higdon Jr. On May 27, 2015 the United States Department of Justice unsealed several charging documents involving the Federation Internationale de Football Association (“FIFA”). These documents included four Bills of Information, each charging a single individual, and one...

RICO Marquee spotlights

Non-US Companies and Executives at Risk from US RICO Law

By Kevin Walsh , Douglas Walter Mateyaschuk , Richard F. Hans , and Jean-Pierre Douglas-Henry More frequently than ever before, American plaintiffs and prosecutors are using US laws to target conduct that has little, if any, connection to the United States. Potential exposure to criminal and...

Department of Justice’s Pursuit of Individual Criminal Liability for Corporate Misconduct: The Yates Memo

By Frank E. Sheeder Cooperation credit is a critical issue for corporations that become embroiled in investigations or enforcement activity. In both the criminal and civil contexts, it is the only way to mitigate the financial impact of corporate wrongdoing. It can mean the difference between surviving...

Climate Scientist Threatened with Investigation by Member of Congress for Purported “Partisan Political Activity”

By Lauren Kurtz A climate scientist who was the lead signatory on a letter to President Obama, supporting a proposed RICO investigation of some corporate opponents to action on climate change, has himself been threatened with a Congressional investigation by Rep. Lamar Smith (R-TX). Rep. Smith –...

Class Certification Granted in MALDEF's RICO Suit Against Phony Visa Recruiters - Castellanos v. Systems USA

MALDEF, June 22, 2016 - " Yesterday, Judge Stephen J. Murphy of the U.S. District Court of the Eastern District of Michigan ruled that MALDEF's lawsuit against Systems USA Inc. and Systems USA Consulting LLC for violating the Racketeering Influenced and Corrupt Organizations Act (RICO) should...

United States: Michigan Federal Court Reiterates that RICO May Not Be Used for Bad Faith Claims

Citing two earlier precedents, a federal district court sitting in Michigan has once again ruled, in pertinent part, that racketeering activity leading to a loss or diminution of benefits that a plaintiff expects to receive under a state workers compensation system does not constitute an injury to “business...