Securities Law Prof Blogtag:typepad.com,2003:weblog-6166242009-07-09T19:29:08-04:00A Member of the Law Professor Blogs NetworkTypePadSecuritiesLawProfBloghttp://feedburner.google.comSubscribe with My Yahoo!Subscribe with NewsGatorSubscribe with My AOLSubscribe with BloglinesSubscribe with NetvibesSubscribe with GoogleSubscribe with PageflakesSEC Staff Issues Warning on Cal. IOUstag:typepad.com,2003:post-6a00d8341bfae553ef011570f3f4de970c2009-07-09T19:29:08-04:002009-07-09T19:29:08-04:00The SECstaff today issued the following statement: The staff of the Securities and Exchange Commission has expressed its belief that California’s recently-issued IOUs are “securities” under federal securities law. As such, holders of these IOUs and those who may purchase...Securites LawprofSEC Charges Russian Firm with Manipulating Stocks Through Innocent Victims' Accountstag:typepad.com,2003:post-6a00d8341bfae553ef011571e6de23970b2009-07-09T15:34:25-04:002009-07-09T15:34:25-04:00The SEC filed a complaint in the United States District Court for the Southern District of New York charging Russian entity Pointer Worldwide Ltd and its officer, Tatiana Badmaeva, with participating in a fraudulent scheme to manipulate the prices of...Securites LawprofPace Investor Rights Clinic Investor's Guide to Securities Industry Disputestag:typepad.com,2003:post-6a00d8341bfae553ef011570e7d424970c2009-07-08T16:24:19-04:002009-07-08T16:24:19-04:00The Pace Law School Investor Rights Clinic has published an Investors' Guide to Securities Industry Disputes( Securities Dispute Guide). This extremely useful guide first provides basic information on how to avoid disputes with brokers and sets forth investors' rights and...Securites LawprofSEC's Investor Advisory Committee Announces Public Meetingtag:typepad.com,2003:post-6a00d8341bfae553ef011571dca4d1970b2009-07-08T16:11:47-04:002009-07-08T16:11:47-04:00The SEC's newly-formed Investor Advisory Committee will hold a public meeting on July 27, 2009, at the SEC's main offices at 10 a.m. It will be open to the public and webcast. The public is invited to submit written statements...Securites LawprofFormer CFO of UCI Medical Affiliates Settles Fraud, Embezzlement Charges with SECtag:typepad.com,2003:post-6a00d8341bfae553ef011570e7cb2d970c2009-07-08T16:07:10-04:002009-07-08T16:07:10-04:00The SEC filed a Complaint in the United States District Court for the District of South Carolina against Jerry F. Wells, Jr. ("Wells"), a former Executive Vice President and Chief Financial Officer of UCI Medical Affiliates, Inc. ("UCI" or the...Securites LawprofSEC Charges New York Broker-Dealer with $61 Million Boiler Room Fraudtag:typepad.com,2003:post-6a00d8341bfae553ef011570e7c715970c2009-07-08T15:59:11-04:002009-07-08T15:59:11-04:00On July 8, 2009, the SEC filed a civil injunctive action in the United States District Court for the Southern District of New York alleging that a New York based broker-dealer, Sky Capital LLC a/k/a Granta Capital LLC (Sky Capital)...Securites LawprofSEC Obtains Asset Freeze in Alleged $485 Million Ponzi Schemetag:typepad.com,2003:post-6a00d8341bfae553ef011570df5d82970c2009-07-07T14:47:44-04:002009-07-07T14:47:44-04:00On July 2, 2009, the SEC obtained a temporary restraining order and emergency asset freeze in yet another alleged Ponzi scheme, this one a $485 million offering fraud run by three individuals (Paul R. Melbye, Brendan W. Coughlin and Henry...Securites LawprofNew York AG Announces Two More Assurances of Discontinuance in ARS Settlementstag:typepad.com,2003:post-6a00d8341bfae553ef011571d3f06d970b2009-07-07T13:31:56-04:002009-07-07T13:31:56-04:00The New York Attorney General announced Assurances of Discontinuance with Credit Suisse Securities LLC and Merrill Lynch, Pierce, Fenner & Smith Incorporated relating to the auction rate securities settlements reached last summer. The Assurances detail how the firms have and...Securites LawprofFormer HealthSouth CFO Speaks on Ethicstag:typepad.com,2003:post-6a00d8341bfae553ef011570d8463b970c2009-07-06T19:00:07-04:002009-07-06T19:00:07-04:00CFO.com runs an interview with Aaron Beam, a former HealthSouth CFO who admitted to cooking the books during 1996-97 and who served three months in a minimum security prison. He is currently mowing lawns and speaking to business students on...Securites LawprofSchwartz on Mutual Fund Conflictstag:typepad.com,2003:post-6a00d8341bfae553ef011570cbad2c970c2009-07-05T08:53:20-04:002009-07-05T08:53:20-04:00Mutual Fund Conflicts of Interest in the Wake of the Short-Term Trading Scandals: Encouraging Structural Change Through Shareholder Choice, by Jeff Schwartz, California Western School of Law, was recently posted on SSRN. Here is the abstract: This piece contends that...Securites LawprofVega on SOX Whistleblowerstag:typepad.com,2003:post-6a00d8341bfae553ef011571c0ab15970b2009-07-05T08:49:31-04:002009-07-05T08:49:31-04:00The Sarbanes-Oxley Act & the Culture of Bribery: Expanding the Scope of Private Whistleblower Suits to Overseas Employees, by Matt A Vega, Faulkner University, Thomas Goode Jones School of Law, was recently posted on SSRN. Here is the abstract: This...Securites LawprofSEC Blew Chance to Expose Madoff's Fraud in 2004tag:typepad.com,2003:post-6a00d8341bfae553ef011571a562c6970b2009-07-02T15:44:03-04:002009-07-02T15:44:03-04:00Fascinating article in today's Washington Post: Zachary Goldfarb reports that in 2004 an SEC staff attorney in Compliance, Inspections and Examinations (who previously worked at the American Stock Exchange and understood complicated trading strategies) figured out that there was something...Securites LawprofSEC Proposes Revisions to Proxy Disclosures on Compensation and Corporate Governancetag:typepad.com,2003:post-6a00d8341bfae553ef011570a64c7b970c2009-07-01T18:49:28-04:002009-07-01T18:49:28-04:00The SEC proposed a set of rule revisions intended to improve the disclosure provided to shareholders of public companies regarding compensation and corporate governance matters in proxy and information statements. They include information about: The relationship of a company's overall...Securites LawprofSEC Votes to Eliminate Broker Discretionary Voting for Uncontested Directors' Elections tag:typepad.com,2003:post-6a00d8341bfae553ef0115719b7037970b2009-07-01T18:44:54-04:002009-07-01T18:44:54-04:00The SEC voted to approve an NYSE proposal that would eliminate broker discretionary voting for all elections of directors, whether contested or not. Currently, NYSE Rule 452 and corresponding Listed Company Manual Section 401.08 permit brokers to vote on behalf...Securites LawprofSEC Charges Former Beazer Homes Accounting Officer with Multi-Year Fraudtag:typepad.com,2003:post-6a00d8341bfae553ef011570a645e4970c2009-07-01T18:37:07-04:002009-07-01T18:37:07-04:00The SEC filed a civil complaint against Michael T. Rand, the former chief accounting officer of Atlanta-based home builder Beazer Homes, USA, Inc., alleging that he conducted a multi-year fraudulent earnings management scheme and misled Beazer’s outside auditors and internal...Securites LawprofSEC Proposes Shareholder Approval of Exec Compensation Rule Applicable to TARP Recipientstag:typepad.com,2003:post-6a00d8341bfae553ef0115719b6778970b2009-07-01T18:31:36-04:002009-07-01T18:31:36-04:00The SEC proposed amendments to the proxy rules to set forth certain requirements for U.S. registrants subject to Section 111(e) of the Emergency Economic Stabilization Act of 2008, which requires companies that have received financial assistance under the Troubled Asset...Securites LawprofSEC Brings Action Alleging Sales of Fraudulent and Unsuitable Variable Annuities Through Free-Lunch Seminarstag:typepad.com,2003:post-6a00d8341bfae553ef011571938d76970b2009-06-30T16:20:49-04:002009-06-30T16:20:49-04:00The SEC today instituted an enforcement action against Prime Capital Services (PCS), a Poughkeepsie, N.Y.-based firm, and several representatives and supervisors for their alleged roles in fraudulent and unsuitable sales of variable annuities to senior citizens who were lured through...Securites LawprofMerkin's Art Collection to be Sold and Funds Placed in Escrow Pending Resolution of New York AG's Suit tag:typepad.com,2003:post-6a00d8341bfae553ef0115709e5f64970c2009-06-30T16:12:24-04:002009-06-30T16:12:24-04:00STATEMENT FROM ATTORNEY GENERAL ANDREW CUOMO ON THE SALE OF J. EZRA MERKIN'S ART COLLECTION: "Earlier this morning in New York State Supreme Court, my Office submitted a stipulation and order regarding the impending sale of J. Ezra Merkin's art...Securites LawprofFINRA Fines Firm and Former Broker for Improper Communications with Interdealer Brokerage Firmstag:typepad.com,2003:post-6a00d8341bfae553ef011571938421970b2009-06-30T16:07:33-04:002009-06-30T16:07:33-04:00FINRA announced that it has fined ICAP Corporates LLC, of Jersey City, $2.8 million and sanctioned a former broker for numerous improper communications with other interdealer brokerage firms about customers' proposed brokerage rate reductions in the wholesale credit default swap...Securites LawprofFINRA Announces Initiatives Involving Municipal Securitiestag:typepad.com,2003:post-6a00d8341bfae553ef01157193809f970b2009-06-30T16:01:44-04:002009-06-30T16:01:44-04:00Concerns have been expressed that municipal securities would be the next big headline fraud, as retail investors engage in the perennial search for safety with higher returns than CDs. Today FINRA announced initiatives to survey retail sales practices in the...Securites Lawprof