Archive for May, 2010

Lawmakers Urged to Create Privacy Rules for Social Networking Sites

Filed May 28th, 2010 meg

Activist groups are waging what amounts to an undeclared war against the social-networking site Facebook for the last year in efforts to protect user privacy. Actions by the groups include no fewer than three letters to federal regulators claiming Facebook’s actions are illegal. Most, if not all, of the groups on the call have been […]

Goldman Sachs seeks reduction in charges

Filed May 28th, 2010 joshua

According to a Wall Street Journal report, officials with Goldman Sachs are trying to negotiate a lesser charge from the federal government over the civil lawsuit in leveled against the firm last month. The lawsuit charges Wall Street’s most influential investment firm with fraud. But Goldman Sachs officials have reportedly met with the Securities and […]

FINRA Lists New Antifraud Measures at Annual Conference

Filed May 27th, 2010 meg

The Financial Industry Regulatory Authority listed a host of new measures to fight investor fraud at its annual conference. The regulatory body is casting a wider net when examining firms, working more closely with states and other watchdogs, and focusing its attention on the riskiest activities. FINRA will gather more information about a firm’s affiliates […]

Companies offering credit required to develop ID theft prevention plan

Filed May 25th, 2010 joshua

Starting this summer, any company which extends credit to a customer must develop a plan to spot fraud and ways to prevent it. As one measure to combat identity theft – the most reported fraud crime in the U.S., and the one being reported more and more each year – the Federal Trade Commission has […]

Goldman Sachs’ Head Has Regrets

Filed May 21st, 2010 meg

Goldman Sachs’ chief executive says he regretted having participated in transactions that brought too much leverage into the world according to a recent interview. Goldman has been charged with fraud by the SEC over the design and marketing of a subprime mortgage securities product. CEO Lloyd Blankfein said as a leader he held himself accountable […]

Senate approves financial regulation overhaul

Filed May 21st, 2010 joshua

The U.S. Senate has approved a milestone measure seeking to overhaul the failed financial regulatory system. Along with empowering the Federal Reserve to watch the public markets for signs of fraud, and to act upon those suspicions, the bill would also create the Bureau of Consumer Financial Protection, which would oversee the consumer credit options. […]

Specter’s amendment targets “secondary” actors in investment fraud

Filed May 18th, 2010 joshua

A proposed amendment to the ongoing debate over a Senate bill that would overhaul the financial regulatory industry targets “secondary actors” to securities and investment fraud. According to Supreme Court precedent, these so-called “secondary” actors are immune from private lawsuits, and can only see legal action against them from the Securities and Exchange Commission. These […]

Morgan Stanley Probed in Mortgage Deals

Filed May 12th, 2010 meg

Federal prosecutors are looking into whether Morgan Stanley misled investors about mortgage-derivatives deals it helped design and sometimes bet against. Morgan Stanley arranged and marketed pools of bond-related investments known as collateralized debt obligations. Some traders say Morgan Stanley’s trading desk sometimes placed bets that the value of these CDOs would fall. Investigators are examining […]

Morgan Stanley Probed in Mortgage Deals

Filed May 12th, 2010 meg

Federal prosecutors are looking into whether Morgan Stanley misled investors about mortgage-derivatives deals it helped design and sometimes bet against. Morgan Stanley arranged and marketed pools of bond-related investments known as collateralized debt obligations. Some traders say Morgan Stanley’s trading desk sometimes placed bets that the value of these CDOs would fall. Investigators are examining […]

Shareholder Lawsuits Filed Against J&J Over Drug Recalls

Filed May 11th, 2010 meg

Three shareholder lawsuits have been filed against Johnson & Johnson officials in recent weeks, alleging they breached their fiduciary duties in their handling of recent recalls. There are also allegations that the company paid illegal kickbacks. The FDA has said raw materials used to make over-the-counter children’s and infants’ liquid products, such as Tylenol and […]