Banking Law

Banking Tweet Puts Man on Hot Seat, Facing Potential Criminal Charge

His alleged 96-character message on Twitter warning depositors not to keep their money in a Guatemalan bank has already put Jean Anleu in jail briefly. And if he is convicted of illegally undermining public trust in the country’s banking system, he could be sentenced to five years, reports the Associated…

Jun 26, 2009 9:00 PM CDT

Stanford Bond Stayed; Financier Drew $100M from Swiss Bank, Prosecutors Say

After the approval of a $500,000 bond that would allow Texas billionaire and accused swindler R. Allen Stanford to be released from prison prior to trial in August, a U.S. magistrate judge then stayed the issuance of the bond after prosecutors argued that he is a flight risk, reports Reuters.…

Jun 26, 2009 12:08 AM CDT

1st US Client Charged in UBS Swiss Bank Records Probe Pleads Guilty

A Florida accountant accused of using a secret account at Swiss bank UBS AG to conceal income has pleaded guilty. The plea by Steven Michael Rubinstein settles the first charges brought by U.S. authorities in an ongoing probe of the Swiss bank’s records concerning American account holders, reports the Wall…

Jun 25, 2009 6:26 PM CDT

Kerviel Should Be Tried Concerning $7B SocGen Trading Loss, Prosecutors Say

Jerome Kerviel, a low-level trader blamed by Societe Generale SA for a $7 billion trading loss last year, should be tried on criminal charges, French prosecutors have recommended in a report today to the judge in charge of investigating the case. Prosecutors recommend that Kerviel, 32, should be tried for…

Jun 25, 2009 5:50 PM CDT

Student Loan Relief on the Way For Law Grads

A new federal program meant to help all students manage their loan debt is set to go into effect July 1. Why should lawyers care? Because the College Cost Reduction & Access Act has a few provisions that can have long-term benefits for lawyers, especially those who are public-interest-law minded.…

Jun 23, 2009 11:59 AM CDT

Refco Execs Lied to Me, Mayer Brown Partner Testifies

Speaking forcefully and looking jury members straight in the eyes as he testified yesterday in federal court in Manhattan about his own role in a $2.4 billion corporate fraud case, a Mayer Brown partner said executives of Refco Inc. lied to him about financial issues underlying the loan transactions on…

Jun 19, 2009 5:53 PM CDT

Man Allegedly Impersonated Dead Mom in Unusual Grand Larceny Case

In a case unusual both for its facts and its application of criminal law, a New York man was indicted today on 47 counts for allegedly impersonating his dead mother to collect some $115,000 in benefits. “Mark Twain said truth is stranger than fiction and this is a great example…

Jun 17, 2009 8:10 PM CDT

Morgan Lewis Raids Bingham for 11-Lawyer Banking Practice Group

Led by a former co-chair of Bingham McCutchen’s banking and leveraged finance practice group, an 11-lawyer contingent is joining the Boston office of Morgan Lewis & Bockius. The five partners and six associates are expected to focus their practice at Morgan Lewis on corporate finance and restructuring, their new firm…

Jun 17, 2009 7:22 PM CDT

DOJ Makes a Gamble with Seizure of Online Poker Cash

Gambling experts are debating whether the Justice Department’s recent seizure of $34 million belonging to online poker players will pay off. Whittier senior law professor I. Nelson Rose claims the seizure by the Manhattan U.S. attorney could backfire, leading to a ruling that supports Internet poker, the Wall Street Journal…

Jun 12, 2009 1:39 PM CDT

Ex-Countrywide CEO Accused of Securities Fraud in ‘Strategic’ Case

Former Countrywide CEO Angelo Mozilo is facing accusations of securities fraud in a civil suit by the Securities and Exchange Commission. The SEC said Mozilo made $140 million selling stock in Countrywide at the same time he warned in e-mail messages that the company’s loan products were “toxic” and “poison,”…

Jun 5, 2009 11:08 AM CDT

2 Attorneys Among 13 Charged in Claimed N.Y. Mortgage Fraud

Two New York lawyers who allegedly helped close fraudulent mortgage transactions as part of a multi-pronged scheme run out of a Long Island mortgage brokerage are among 13 individuals charged with bank and wire fraud in a federal grand jury indictment in Manhattan. Stephen Caputo, 54, of East Setauket, N.Y.,…

May 28, 2009 10:01 PM CDT

Judge Posner Blames ‘People Like Me’ for the Economic Crisis

Judge Richard Posner says he probably misspoke when he advocated less government intervention in the private sector. Posner, a judge with the Chicago-based 7th U.S. Circuit Court of Appeals, tells U.S. News & World Report that he should have added a qualifier. “I’ve always been a strong supporter of deregulation,…

May 13, 2009 4:47 PM CDT

Fla. Lawyer Now Admits ‘I Did It,’ Gets 5 Years for Role in $83M Real Estate Fraud

Testifying in a co-defendant’s criminal trial earlier this year after he himself accepted a plea bargain, a Florida attorney said he didn’t realize that he was doing anything wrong as he participated in real estate closings that were allegedly part of a $83 million loan fraud scheme. As he was…

May 11, 2009 11:25 PM CDT

Derivatives Regulation Becomes a Popular Law School Offering

The financial meltdown has spurred interest in derivatives classes among law students interested in learning about the origins of the crisis and hoping to tap into an expanding job market for lawyers well-versed in financial regulations. New York Law School has seen so much interest in its derivatives course that…

May 8, 2009 3:18 PM CDT

South Carolina Supreme Court Temporarily Bars Foreclosures

The South Carolina Supreme Court has temporarily barred some foreclosures in the state to give homeowners more time to seek loan modifications under a federal program. The injunction appears to be the first in the nation to delay foreclosures in an entire state, the Associated Press reports. It applies to…

May 6, 2009 2:53 PM CDT