Three former executives at Dewey & LeBoeuf LLP, once the No. 3 legal adviser to banks handling merger deals, were charged with a “blatant” $200 million fraud that spurred the largest law firm bankruptcy in history.
Former Jefferies & Co. trader Jesse Litvak lied to customers in order to increase his profit, a prosecutor told a jury in the only fraud case against an individual in connection with a U.S. program that used bailout funds to spur investment in mortgage-backed securities.
Former Jefferies & Co. managing director Jesse Litvak ended his defense without testifying in his trial on charges that he defrauded customers out of more than $2 million in trades of mortgage-backed securities.
The U.S. Supreme Court will use a case involving nursing-home pharmacy Omnicare Inc. to resolve lower court disagreement over lawsuits that accuse companies of deception when they sell stock to the public.
Hong Kong’s Securities and Futures Commission said it will consult the public on proposed legislation to restrict retail investors from having access to “dark pools” and enhance disclosure requirements.
Former SAC Capital Advisors LP fund manager Mathew Martoma asked a judge to throw out his conviction in the most lucrative insider-trading scheme ever, saying prosecutors failed to make a case against him.
A colleague of former Jefferies & Co. bond trader Jesse Litvak, who is on trial in Connecticut for fraud in the trading of mortgage-backed securities, testified that it’s against the firm’s policy to lie to clients.
SAC Capital Advisors LP returned almost all investor money as of the end of January and has shrunk its headcount to 850 people from 1,000, as the firm focuses on managing the private wealth of founder Steven Cohen.