The insider story; rules against trading stocks, other securities with confidential information may broaden

Article Abstract:

The US Supreme Court will rule in United States v. O'Hagan on the misappropriation theory of insider trading in securities under Section 10(b) of the Securities and Exchange Act of 1934. Oral arguments took place in Apr 1997. Insider trading liability would expand if the court follows a theory of federal regulators. The misappropriation theory makes any person who uses wrongfully obtained nonpublic information to trade stock liable under Section 10(b), instead of only corporate officers and directors, as was the case before. The government insists that the theory is crucial to upholding the market's integrity.

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Lawyers snared in alleged scam: New York D.A. claims they paid bribes to expedite insurance settlements

Article Abstract:

Manhattan District Atty Robert M Morgenthau on Sept 21 indicted 21 personal injury lawyers and 24 other people on charges involving payments to expedite $19 million in insurance claims. All but one defendant pleaded not guilty, and an attorney for one argued that the payments only sped up service without affecting the value of settlements. The charges include commercial bribery and scheming to defraud, including felony violations that could bring a four-year prison term and disbarment for any lawyers convicted.

Compromise and settlement, Settlements (Law), Insurance industry, Investigations, Ethical aspects, Bribery, New York (State)

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Cravath lawyer admits to insider trading: indictment claims brother made more than $250,000 from illegal stock buys

Article Abstract:

Cravath, Swaine & Moore associate Richard Woodward and his brother John pleaded guilty on June 28, 1995 to conspiracy to commit securities fraud, and will be sentenced Sept 15 to up to five years in prison. In May 1990, soon after he joined the elite firm, Richard began passing information to John about Cravath's clients targets and acquisitions. By Dec 1994 John had made more than $250,000 in 12 illegal trades. The incident is the first such the firm has endured, and rival firms are quietly delighted.

Officials and employees, Attorneys, Lawyers, Crime, Woodward, John, Cravath, Swaine and Moore, Woodward, Richard

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