After large funds sued Argentina to recover on their defaulted bonds and walked away with a huge windfall settlement, they set a new precedent for litigation for investors to consider. With Puerto Rico now on the brink of being unable to pay its debts, investors are already gearing up for litigation to recover on the bonds they own. The U.S. government is considering a law to help the country restructure its debt as well which might lead to restrictions on bondholders ability
The Securities and Exchange Commission announced settlements in two financial, accounting fraud cases against companies and then-executives. In one case, technology manufacturer Logitech International agreed to pay a $7.5 million penalty for fraudulently inflating its fiscal year 2011 financial results by failing to write-down millions in excess inventory and its executives agreed to pay penalties of $50,000 and $25,000, for violations related to Logitech’s warranty accrual a
More and more people are using insemination and in vitro fertilization causing them to put their trust in corporate sperm banks to provide half of their child’s DNA creating novel issues some of which are not yet subject to strict regulations on industry practices. One such situation involves a lawsuit brought by three families against Xytex, a Georgia sperm bank, for failing to inform them that their sperm donor had schizophrenia and a serious criminal history thereby puttin
The FTC is cracking down on companies with products, including sunscreens, moisturizers, shampoos, conditioners, and shower gels, that claim to be "all natural" even though they contain synthetic ingredients such as “Dimethicone,” “Phenoxyethanol,” “Polyethylene,” “Butyloctyl alicylate,” “Polyquaternium-37,” or “Neopentyl Glycol Diethylhexanoate.” According to the FTC, the falsely advertised product included “All Natural Hand and Body Lotion,” sold under the trade name ShiKai
In recent speeches and presentations, the Securities and Exchange Commission indicated its increasing concern with private companies and in particular “Silicon Valley Initiative,” that are pre-IPO companies and “unicorns” that are private start-up firms with valuations greater than $1 billion. Click here to read more.
Regulators, including the Federal Communciations Commission and Consumer Financial Protection Bureau, are encouraging companies that sell monthly Internet service to start using nutritional fact-styled labels. The labels will display price and data allowance of monthly Internet service, other fees, Internet speeds, and links to privacy and network management practices to allow customers to more easilly comparison shop. Click here to read more.
The Securities and Exchange Commission charged four individuals in an investment fraud aimed at seniors who they solicited with a “free dinner” at investment seminars in Florida. The SEC alleges that they created fraudulent marketing materials including some with performance numbers that were “cut and pasted” from another firm’s website. Click here to read more.