Daily Archives: August 19, 2022, 8:53 am

US Asks Theranos Victims to Weigh in Ahead of Holmes Sentencing – Bloomberg

The US Justice Department is seeking input from victims of the frauds at blood-testing startup Theranos Inc. committed by Elizabeth Holmes and her second-in-command, Ramesh “Sunny” Balwani. The US Attorney’s Office in San Francisco on Thursday issued a “call for information” from victims following the separate convictions of the former executives for their roles in the collapse of the company…

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As SEC Leans on Enforcement to Regulate, Crypto Lawyers Study Every Word

What makes a crypto token a security? It’s the central question plaguing the industry, and while the U.S. Securities and Exchange Commission isn’t volunteering an answer, the agency has showed some of its hand in enforcement documents crypto lawyers are studying like scripture. A complaint against a company selling an alleged unregistered security this week – Dragonchain and its DRGN…

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Court Dismisses Opioid-Related Securities Suit | The D&O Diary

One of the more distinctive litigation phenomena over the last several years has been the series of securities lawsuits filed against companies related to the opioid crisis. Plaintiffs’ attorneys have filed securities suits against opioid manufacturers, distributors, and even retailers. While a number of these lawsuits have resulted in settlements, several of them have also been dismissed. In the latest…

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US Treasury’s Tornado Cash Sanctions Are ‘Unprecedented’, Warns Congressman

The U.S. Treasury Department’s sanctioning of the Tornado Cash cryptocurrency mixer was an unprecedented move threatening privacy and innovation, according to one U.S. member of Congress. And he thinks Congress should start asking questions. On CoinDesk TV’s “First Mover” program Thursday, Rep. Tom Emmer (R-Minn.) lays out his concerns with the Treasury Department’s Office of Foreign Asset Control (OFAC) latest…

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SEC Disgorgement Win Bolsters Ability to Recoup Ill-Gotten Gains

A Florida federal judge’s decision that transfer agent Island Stock Transfer Inc. must pay nearly $115,000 in disgorgement gives the SEC more legal ammunition to go after ill-gotten gains. Congress last year expanded the Securities and Exchange Commission’s authority to pursue disgorgement even when victims of securities fraud won’t benefit from the payment—effectively overriding a US Supreme Court ruling that…

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Alleged Russian Money Launderer Extradited from the Netherlands to U.S. | Department of Justice

An alleged cryptocurrency money launderer was extradited this week from the Netherlands to the United States to face charges in the District of Oregon. Denis Mihaqlovic Dubnikov, 29, a Russian citizen, made his initial appearance in federal court today in Portland. A five-day jury trial is scheduled to begin on Oct. 4. According to court documents, Dubnikov and his co-conspirators…

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