Daily Archives: June 6, 2023, 8:43 am

SEC Charges Coinbase for Operating as an Unregistered Securities Exchange, Broker, and Clearing Agency

The Securities and Exchange Commission today charged Coinbase, Inc. with operating its crypto asset trading platform as an unregistered national securities exchange, broker, and clearing agency. The SEC also charged Coinbase for failing to register the offer and sale of its crypto asset staking-as-a-service program. Unregistered Exchange, Broker, and Clearing Agency According to the SEC’s complaint, since at least 2019,…

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Ford O’Brien Landy LLP Hires New Austin Partner

Ford O’Brien Landy LLP, a white-collar defense and commercial litigation boutique law firm headquartered in New York City with offices in Miami, Florida and and Austin, Texas is pleased to announce that Michael (Mike) Piazza has joined the firm as partner, effective June 5, 2023. Mike will be based out of the firm’s Austin office. Source: Ford O’Brien Landy LLP…

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SEC Mix-Up Leads It to Drop Cases Tied to KPMG Cheating, Cochran

The SEC dismissed enforcement actions involving several high-profile securities cases, including those involving two people at the center of KPMG’s cheating scandal and several cases that wound up before the Supreme Court. All 42 dropped cases, which involved the agency’s administrative law judges, were caught up in a server issue that allowed enforcement staff access to information meant for adjudication…

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SEC Regulatory Net Covers $115 Billion of Crypto After Binance Suit – Bloomberg

The list of digital tokens deemed as unregistered securities by the Securities and Exchange Commission now spans over $115 billion of crypto after the US agency’s lawsuit against Binance Holdings Ltd. The regulator in the complaint on Monday cited a dozen coins as assets that fall under its purview. Such a designation comes with strict investor protection rules and could…

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What Is Happening With Binance? – WSJ

Does Binance face other legal challenges? The Justice Department has been investigating whether Binance should face criminal charges for failing to implement an anti-money-laundering program, according to people familiar with the matter. It couldn’t be learned whether prosecutors plan to charge Zhao, but the CFTC’s complaint said he oversaw “all major strategic decisions,” including dealing with U.S. anti-money-laundering rules. Does…

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The SEC Revolving Door and Comment Letters

We first examine what types of firms hire former SEC lawyers. Among other determinants, we find that older and larger firms, those with a history of litigation, and those that do not use highly-ranked audit firms, are more likely to hire former SEC lawyers over other lawyers. This suggests that financial and repetitional concerns, and the risk of litigation and…

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Airlines Hit with ESG-Backlash Lawsuits | The D&O Diary

In prior posts, I have noted the growing phenomenon of an anti-ESG backlash. The ESG backlash has taken the form of both legislation and litigation. In the latest examples of ESG backlash litigation, plaintiffs recently have filed two lawsuits against U.S.-based airlines based on the companies’ alleged actions supporting ESG-related initiatives. As discussed below, these latest lawsuits reconfirm that it…

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Elon Musk Had Fun With Dogecoin – Bloomberg

Still there are other problems with the lawsuit. One problem is that the plaintiffs are suing Musk for insider trading and securities fraud, which only works if Dogecoin is a security. Is it? Well. Almost every cryptocurrency, other than Bitcoin and maybe Ether, is probably a security under US securities law, at least in the view of the US Securities and…

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