Tag: Research

NYSE firms more likely to commit financial fraud, study finds

Researchers from a trio of universities (Washington State, Pennsylvania State, and Miami) studied 250 companies involved in Securities and Exchange Commission fraud filings from 2005 to 2013, and found that Fortune 500 companies were much more likely to have cooked books. Researchers looked closely for predictors of fraud, and found four risk factors : Fortune 500 companies (four times more…

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Stock Trades of SEC Employees — HLS Forum on Corp. Gov.

These results are indicative of SEC employees being either: (i) skilled investors, (ii) lucky investors, or (iii) privately informed. We cannot confirm that our results are driven by trades on non-public information. While we do observe some unusual trading patterns around certain SEC activity (e.g., trading prior to enforcement actions and after whistleblower tips), several other innocent and viable explanations…

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Audit Integrity Lists Companies Most Likely to be Shareholder Litigation Defendants in 2009

Plaintiffs’ lawyers, put the following firms on your watch list: MetLife, Inc., Medtronic, Inc., Spectra Energy Corp., Hewlett-Packard Company, and Walgreen Company.

Audit Integrity, a financial research firm, announced today that out of the more than 7,500 publicly traded companies they rate in North America, the companies above were among the 60+ companies with the highest probability of being named as a defendant in shareholder litigation in 2009.

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Carpenter Moore Study Finds Financial Services Cos. Now Pay Highest D&O Premiums

Carpenter Moore’s new “2008 Directors & Officers Liability Insurance Peer Benchmarking Report” finds that financial services companies now pay the highest average premiums for directors and officers (D&O) liability insurance, surpassing rates paid by life sciences and technology firms. Insurance Journal reports that this shift in D&O pricing trends accelerated in the fourth quarter of 2008 as the financial and…

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D&O Diary Introduces Running List of Stanford Group-Related Litigation

Securities class actions against R. Allen Stanford and the Stanford Financial Group continue to pile up, and you know what that means:  The tireless Kevin LaCroix (pictured) of OakBridge Insurance Services is making another list. On Tuesday, LaCroix introduced a new list that he is maintaining at his tremendous D&O Diary blog of Stanford Group-related litigation.  The list (available here)…

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