Daily Archives: January 7, 2009, 11:59 pm

Securities Docket News Wire for Jan. 7, 2009

“It was like riding a tiger, not knowing how to get off without being eaten.” Satyam’s Ramalinga Raju on the fraud. http://is.gd/eOrl # PwC was auditor for massive fraud at Indian corp., Satyam. http://is.gd/eMXc # Ten days before his arrest, Bernard Madoff received $250 million in now-vaporized funds from friend Carl Shapiro. http://is.gd/eMxH # SEC IG Can’t Compel Testimony From…

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State of Michigan Appointed Lead Plaintiff in Bear Stearns Securities Class Action

U.S. District Judge Robert Sweet of the SDNY has appointed the State of Michigan as lead plaintiff in the securities class action lawsuit against the Bear Stearns Companies and certain of its officers and directors.  The case alleges that the defendants misled pension funds and other investors by failing to appropriately mark down its huge portfolio of securities containing subprime…

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UK: FSA Brings Fourth Criminal Insider Trading Case in Twelve Months

The UK’s Financial Services Authority brought its fourth criminal prosecution for insider trading in 12 months yesterday.  The use of criminal penalties is new for the FSA, which has historically preferred to impose fines. The Times Online reports that the FSA charged Neil Rollins yesterday with five counts of insider dealing and four counts of money laundering. Rollins is alleged…

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Satyam Computer Services Now “India’s Enron”

“It was like riding a tiger, not knowing when to get off without being eaten.” So said B. Ramalinga Raju, chairman and chief executive of Satyam Computer Services, who resigned after confessing to falsifying the company’s financial records in a $1 billion fraud.  The Satyam fraud has been immediately dubbed “India’s Enron” by many. Raju admitted in a stunning letter…

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