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.
Three former top executives at Dewey & LeBoeuf LLP, once the No. 3 legal adviser to banks handling merger deals, were charged with a “cook the books” fraud scheme that led to the largest law firm bankruptcy in history.
The former chairman and four others at Dewey & LeBoeuf LLP, which collapsed in the biggest-ever law firm bankruptcy, were sued by the U.S. Securities and Exchange Commission over claims they led a “bold and long-running accounting fraud.”
At least 11 lawyers announced departures from New York law firm Dewey & LeBoeuf LLP yesterday, pushing the total to more than 80 in recent months, as the firm continues to work toward an agreement with banks about the deadline for a line of credit.
Dewey & LeBoeuf LLP, which has lost more than a third of its partners in recent weeks, saw its merger and acquisition chief and a team of London litigators depart as the price of its bonds slumped in private trades.
Simpson Thacher & Bartlett LLP is representing Nielsen Holdings NV, the biggest tracker of U.S. television ratings, which agreed to buy Arbitron Inc. for about $1.26 billion in cash to gain access to the largest source of data on the country’s radio listeners. Morrison & Foerster LLP served as legal adviser to Arbitron.
Dewey & LeBoeuf LLP, which is trying to stay out of bankruptcy by collecting bills to pay lenders, didn’t tell some senior executives the extent of guaranteed pay packages, said the firm’s former real estate group chairman.