Daily Archives: August 18, 2008, 11:50 pm

Qwest Securities Class Action Settlement Fund May Rise to $445 Million

  Qwest Communications (Q) second quarter report filed with the Securities and Exchange Commission reveals that Qwest has agreed to pay an additional $40 million to settle a lingering securities class action lawsuit.  Under the revised terms, which still need approval by the federal court, former Qwest CEO Joe Nacchio and former CFO Robert Woodruff would also contribute a total of…

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Razzano Joins Pepper Hamilton from Dickstein Shapiro

Pepper Hamilton LLP announced that Frank C. Razzano joined its Commercial Litigation Practice Group as a partner in the Washington office.  Razzano is a former Assistant U.S. Attorney and trial attorney with the Securities and Exchange Commission, and joins Pepper Hamilton from Dickstein Shapiro LLP in Washington, where he had been a partner since 1996.  The firm stated that Razzano is “a ‘go…

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UK Pension Funds Sue Lehman Brothers Over Subprime Losses

Two UK pension funds, the Lothian Pension Fund and the Northern Ireland Local Governmental Officers Superannuation Committee, have joined with three US pension funds in filing suit in the US against Lehman Brothers (LEH), alleging Lehman’s involvement in the sub-prime crisis cost them millions of pounds. According to the the UK funds’ lawyer, Robert Roseman, “this is the first case where…

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Motley Rice Adds Four Attorneys to Securities/Consumer Fraud Practice Group

Plaintiffs’ firm Motley Rice announced last week the addition of four attorneys to its Securities and Consumer Fraud practice group: Mary Joyce Carlson, John C. Duane, William S. Norton and Daniel C. Rome.  Carlson is the former General Counsel to the Heath Care Division of the Service Employees International Union (SEIU), the largest health care industry union in the United States. She also…

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Subprime Losses Hit Australia

The losses from the collapse of the subprime market are being felt in Australia, where more than 150 local councils, charities, churches, hospitals and nursing homes are sitting on a reported $2 billion loss after buying subprime investments which are now potentially worthless.  According to Australia’s The Age, twenty-three local councils are currently preparing a class action lawsuit against Wall…

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SEC Announces Plan to Centralize Insider Trading Surveillance Among SROs

On August 13, the SEC announced a proposed plan and agreement among 10 self-regulatory organizations to centralize insider trading surveillance, investigation, and enforcement under NYSE Regulation, Inc. (NYSE Regulation) and the Financial Industry Regulatory Authority, Inc. (FINRA).   Currently, each equity exchange is responsible for surveillance of trading on its market and any investigations and enforcement actions involving its members. FINRA…

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Sen. Grassley Seeks Higher Fines in ARS Cases

Sen. Charles Grassley, R-Iowa, the highest-ranking Republican on the Senate Finance Committee, is trying to ensure that banks such as Citigroup Inc. (C) and UBS AG(UBS) don’t benefit from a tax deduction on any penalties they may face for their involvement in selling auction-rate securities.  According to Dow Jones Newswires, Sen. Grassley sent a letter to SEC Chairman Christopher Cox…

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