Speech by SEC Staff: Statement at News Conference Announcing Virginia Financial and Securities Fraud Task Force
This article examines the unit’s new enforcement approach in dealing with complex products, its hotlycontested big first case, and its likely areas of future prosecutorial interest as it rolls out more investigations and cases in this challenging part of the SEC’s enforcement program.
Securities Regulation & Law Report (BNA), Vol. 42, No. 4 - This article analyzes the new cooperation policy and other important changes in the Manual that will most impact SEC defense counsel and their clients.
Here at the Litigation Daily, fat brokerage accounts are about as commonplace as July snowstorms. So forgive us our initial ignorance about the "cash sweep" programs offered by brokers, which were the subject of a class action that Manhattan federal district court judge Richard Sullivan dismissed Monday. But after reading Judge Sullivan's opinion, we feel like we could teach a course in cash sweeps.
Could the next wave of the credit crisis flood courthouses with commercial real estate securities lawsuits? The Wall Street Journal recently reported nearly unprecedented delinquency rates for the $700 billion of securitized loans backed by commercial real property assets and warned of alarming default and loss rates, particularly given the current climate for refinancing commercial mortgages. Standard & Poor's has announced that it intends to place on negative ratings watch an array of structured financial products backed by commercial real estate assets. Similar developments in the residential real estate market released a flood of litigation a little more than a year ago. Even if the commercial real estate market manages to keep its head above water, litigation is likely.
In every criminal case, the defendant must make a critical decision: go to trial or plead guilty. A slew of factors go into that decision. Three questions loom largest: how likely will the defense prevail at trial, what sentence do we anticipate if the defendant pleads guilty, and what is the likely sentence if the defendant is found guilty after trial? Here, we will concentrate on the latter two questions, which touch on the vagaries of sentences in securities fraud cases in the post-guidelines world.