450 results for 'cat:"Securities"'.
J. Jones vacates a jury verdict and $6.5 million penalty against a holdings company and broker following the Commodity Futures Trading Commission's trial against them concerning the broker's discretionary trading for an account over which he had power of attorney in the same markets where he acted as a broker for other clients. The company lacked fair notice of the commission's new interpretation of a rule barring a broker's "taking the other side of orders." The rule applies only to brokers who have a financial interest and not who merely “make the decision to trade opposite the order and execute [that] trade.” Vacated in part.
Court: 5th Circuit, Judge: EOX Holdings Jones, Filed On: January 8, 2024, Case #: 22-20622 , Categories: Administrative Law, securities, Agency
J. Garaufis grants final approval to a $4 million settlement to resolve two consolidated class actions that claim a 3D printer manufacturer made false or misleading public statements, ultimately resulting in heavy investor losses. The court finds the settlement fair, adequate and reasonable. Additionally, the plaintiffs’ counsel are awarded approximately $1.32 million in attorney fees, which accounts for a third of the settlement award.
Court: USDC Eastern District of New York, Judge: Garaufis, Filed On: January 4, 2024, Case #: 1:21cv1920, NOS: Securities/Commodities/Exchange - Other Suits, Categories: securities, Attorney Fees, Class Action
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[Amended.] J. Silva grants the Las Vegas Sands' motion to dismiss this putative securities class action. Though the trust sufficiently alleges the Sands made a material misrepresentation when certifying the company’s financial conditions had been disclosed, the loss causation allegations are deficient. The trust fails to allege the stock drops are plausibly the result of the disclosed fraud.
Court: USDC Nevada, Judge: Silva, Filed On: January 2, 2024, Case #: 2:20cv1958, NOS: Securities/Commodities/Exchange - Other Suits, Categories: Fraud, securities
J. Graber finds that the district court properly entered a securities fraud conviction for defendant, who claimed that the district court improperly coerced the jurors into reaching a unanimous guilty verdict by sending them home at 4:30 p.m. with the instruction to return the next day. Simply excusing the jurors for an evening recess did not equal an instruction to them to strive for a unanimous verdict. Affirmed.
Court: 9th Circuit, Judge: Graber, Filed On: December 28, 2023, Case #: 22-10249, Categories: Fraud, Jury, securities
J. Silva grants the receiver's motion for contempt in a case in which the receiver was appointed shortly after the SEC initiated this action involving allegations of securities violations against the law firm. The attorney representing the ex-wife of the law firm's namesake has disputed meeting with the receiver and has avoided contact. It was found that he had initiated the sale of a vehicle in order to cover expenses and failed to disclose this to the SEC and receiver. Furthermore, the attorney has not offered evidence or arguments to support substantial compliance.
Court: USDC Nevada, Judge: Silva , Filed On: December 28, 2023, Case #: 2:22cv612, NOS: Securities/Commodities/Exchange - Other Suits, Categories: Contempt, Property, securities
J. Deahl finds a financial adviser who was fined and barred from the investment advisory business after it was determined he exercised undue influence over his elderly client, who left him her $500,000 estate, will get another shot in front of the Department of Insurance, Securities, and Banking. The department improperly applied a presumption of undue influence. Vacated.
Court: DC Court of Appeals, Judge: Deahl, Filed On: December 28, 2023, Case #: 22-AA-169 , Categories: securities, Wills / Probate
J. Sullivan finds that the district court properly dismissed class securities fraud claims concerning safety statements about a new smoke-free alternative to traditional cigarettes. Statements tied to scientific studies that used general but subjective terms were properly treated as opinion rather than fact, and statements interpreting federal scientific data were per se "reasonable" as a matter of law under existing precedent. Affirmed.
Court: 2nd Circuit, Judge: Sullivan, Filed On: December 26, 2023, Case #: 21-2546, Categories: Fraud, securities, Class Action
Per curiam, the circuit finds that the district court properly ordered $5.2 million in restitution after defendant pleaded guilty to conspiring to engage in securities fraud to meet employer commission targets. Defendant contends restitution should have been apportioned with his coconspirator in the unauthorized customer trade scheme, but the court did not abuse its discretion in finding both men equally responsible. Affirmed.
Court: 2nd Circuit, Judge: Per curiam, Filed On: December 20, 2023, Case #: 22-1547, Categories: Fraud, Restitution, securities
J. Gettleman grants a clinical research company’s motion to dismiss one of its former stock holders’ contract, fraud, securities and estoppel claims. The stock holder claims the company provided him with misleading data as to the value of his shares, which in turn meant he took on a much higher tax liability than he was expecting when he sold the shares following a merger the company went through in 2021. However, the court agrees with the company that the stock holder has failed to show the company acted with fraudulent intent. The court also opines the stock holder has failed to show that the company “promised to provide him with accurate, updated fair market value information” through a separate trading platform.
Court: USDC Northern District of Illinois, Judge: Gettleman, Filed On: December 20, 2023, Case #: 1:23cv5782, NOS: Other Contract - Contract, Categories: Fraud, securities, Contract
J. Ross declines to reconsider a prior ruling that partially dismissed investors’ claims in a securities fraud class action suit against Virgin Galactic and its principals related to their troubled space tourism venture. The court reaffirms its ruling that found statements that described a 2019 test flight in which the spaceship veered off course for a short period during its descent stage as traveling “safely to space and back” and which were again referenced in a press released 10 months later were not actionable because they were made before the class period began. The court further reaffirms its decision to dismiss insider trading claims against Virgin Group’s founder, Richard Branson, which alleged he sold his company shares based on his knowledge that a 2021 flight encountered serious problems. Finally, the court denies their motions for certification and entry of final judgment which prevents them from appeal the court’s decision at this stage.
Court: USDC Eastern District of New York, Judge: Ross, Filed On: December 19, 2023, Case #: 1:21cv3070, NOS: Securities/Commodities/Exchange - Other Suits, Categories: securities, Class Action
J. Griggsby grants a cannabis company’s renewed motion to dismiss counterclaims from a cannabis processer manager this contract breach suit alleging that he did not communicate with the Maryland Medical Cannabis Commission to transfer management pursuant a stock agreement. The manager’s counterclaims lack allegations to support any of the elements brought forward and he fails to state plausible claims based on recission his counterclaims are dismissed.
Court: USDC Maryland, Judge: Griggsby, Filed On: December 19, 2023, Case #: 1:22cv90, NOS: Other Contract - Contract, Categories: securities, Contract
J. Seitz finds that state law fraudulent transfer claims brought by a post-bankruptcy litigation trust constituted direct claims because the relief went to the creditors, not the company. Thus, the settlement payment and defense costs were not covered under insurance policies as a securities claim.
Court: Delaware Supreme Court, Judge: Seitz, Filed On: December 15, 2023, Case #: 478, 2022, Categories: Settlements, securities, Trusts
J. Breyer allows class claims to proceed against Elon Musk from former owners of Twitter stock who say Musk tried to drive down Twitter's stock prices in order to get a cheaper acquisition price for himself. The claims may continue based on tweets that Musk made in May of 2022 that claimed his acquisition deal was on hold pending new details on alleged spam Twitter accounts, which he said made up roughly 20% of Twitter's users. These statements were false and made with "deliberate recklessness," causing Twitter stock prices to fall nearly 7%.
Court: USDC Northern District of California, Judge: Breyer, Filed On: December 11, 2023, Case #: 3:22cv5937, NOS: Securities/Commodities/Exchange - Other Suits, Categories: securities, Class Action
J. Land rules in favor of the dissenting shareholders in a judicial appraisal action arising after the shareholders demanded a payment of $1.25 per share. The shareholders invoked their right under the Georgia Dissenters' Rights law to be paid for their shares after dissenting to the board of directors' recommendation that the corporation sell some assets to another company and enter a joint venture that would combine the corporation with another entity. The fair value of the corporation as of the valuation date is 56 cents per share.
Court: USDC Middle District of Georgia, Judge: Land, Filed On: December 11, 2023, Case #: 3:22cv7, NOS: Stockholders’ Suits - Contract, Categories: securities
J. Brodie converts a corporate monitorship into a receivership and further puts a stay on litigation after finding an investment firm sued by the Securities and Exchange Commission for securities violations violated the court’s monitorship order when it appointed three additional managers and modified its operating agreement in an effort to undermine an independent monitor’s ability to oversee its compliance efforts.
Court: USDC Eastern District of New York, Judge: Brodie, Filed On: December 7, 2023, Case #: 1:21cv583, NOS: Securities/Commodities/Exchange - Other Suits, Categories: securities
J. Rowland partially grants the defendant real estate investors’ motion to dismiss a fraud complaint brought by one of their former business partners, the plaintiff real estate investor. During a fight over the partner’s shares of their mutually owned business, the sued investors began to box plaintiff out of communications and financial documents, and using financial maneuvers to ensure he didn’t receive payouts from the company’s general partners. The court finds the plaintiff investor has sufficiently alleged this constituted securities fraud, shareholder oppression and fraudulent concealment as to one account, but dismisses his breach of fiduciary duties claims and his fraudulent concealment claims as they regard another account.
Court: USDC Northern District of Illinois, Judge: Rowland, Filed On: December 6, 2023, Case #: 1:22cv5628, NOS: Stockholders’ Suits - Contract, Categories: Fraud, Real Estate, securities