Tag Archives: ponzi scheme

Law firm’s bank accounts not subject to criminal forfeiture

The bank accounts of a law firm were not subject to direct forfeiture as the “proceeds” of a former shareholder’s criminal enterprise because the accounts included commingled client funds, the 11th U.S. Circuit Court of Appeals has ruled in reversing ...

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Law firm sued by bankruptcy trustee for aiding Ponzi scheme

The law firm Shook Hardy & Bacon, based in Kansas City, Mo. has been sued by the bankruptcy trustee for aiding and abetting University of Miami booster Nevin Shapiro’s $930 million Ponzi scheme.

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Can plaintiffs recover from Ponzi scheme in state court?

Does the Securities Litigation Standards Act preempt state-law class actions claiming that the defendant engaged in a Ponzi scheme involving misrepresentations about transactions with securities covered by the federal act? The U.S. Supreme Court has agreed to answer this question.

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Rothstein pleads guilty, seeks shorter jail term

Scott Rothstein, the disbarred Florida lawyer and newly convicted Ponzi schemer who faces up to 100 years in prison, will strive to help authorities make cases against others who profited from his massive investment scam -- in hopes of shaving time off his sentence. Rothstein will be sentenced on May 6 following his guilty plea Wednesday in Fort Lauderdale federal court to five counts of racketeering, fraud and money laundering.

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Madoff trustee tells judge of $1.08B found for victims

The trustee liquidating Bernard Madoff’s defunct investment-advisory business told a bankruptcy judge he has made “significant headway” in recovering assets, including $1.08 billion found as of June 30. Click here for the full article from Bloomberg News.

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Guilty Madoff settles civil fraud charges with SEC

Bernard Madoff, who ran the biggest investment fraud in history, was allowed to settle civil fraud charges with the U.S. Securities and Exchange Commission without having to admit any wrongdoing. Tuesday's announcement left some legal experts dumbfounded over why the SEC -- which has been roundly criticized for failing to detect the Madoff fraud -- would settle the case without demanding the jailed swindler accept responsibility. Click here for the full article from Reuters.

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