Securities Fraud

In Rare Move, US Sues Barclays For Mortgage Securities Fraud

The market was waiting for the DOJ to announce the long-awaited settlement with Deutsche Bank today. Instead, it got news of a surprise lawsuit filed by the DOJ which sued Barclays after failing to settle a long-running probe into the UK bank's involvement in pre-crisis mortgage fraud.

Meet The NY Pension "Strategist" Who Traded Allocations For "Hookers And Blow"

According to a complaint filed by U.S. prosecutors earlier today, Navnoor Kang, the former Director of Fixed Income and Head Portfolio Strategist at the New York State Common Retirement Fund, steered $2 billion worth of allocations to two "preferred brokers" in exchange for $100,000 worth of bribes in the form of the universal currency of "hookers and blow."

Frontrunning: October 11

  • Samsung scraps Note 7 (Reuters)
  • Note 7 fiasco could burn a $17 billion hole in Samsung accounts (Reuters)
  • Trump's struggles may depress Democratic voter turnout (Reuters)
  • Major Investor Sues Theranos  (WSJ)
  • S. Africa’s Gordhan to Be Charged; Rand Plunges Most Since June (BBG)
  • Oil price falls back from one-year highs, hit by OPEC deal concerns (Reuters)

Watch Live As Wells CEO John Stumpf Gets Grilled On The Hill Again: Five Things To Look For

Wells Fargo embattled CEO John Stumpf returns to Capitol Hill for the second time in 10 days, for a contentious hearing with the House Financial Services committee. Despite Stumpf's belated clawback of $41 million in unvested stock, which took place only after tremendous congressional and populist outrage, his job remains very much under threat.

Former JPMorgan Banker Convicted Of Insider Trading

In one of the few cases of insider trading leading to an actual conviction, earlier today, a former Wall Street investment banker was found guilty for engaging in insider trading by tipping his father off to unannounced healthcare mergers. Sean Stewart, who previously worked at JPMorgan and Perella Weinberg was found guilty by a federal jury in Manhattan on all nine counts he faced, including securities fraud.

Fiat Chrysler Shares Slide On Reports Of SEC Securities Fraud Probe

Fiat Chrysler is under investigation by the U.S. Justice Department for fraud, according to people familiar with the matter. As Bloomberg reports, prosecutors are scrutinizing whether the carmaker violated U.S. securities laws, they said. The inquiry is in early stages, according to two people, who asked not to be identified because the investigation is confidential and declined to specify what conduct is being investigated.

Herbalife: Media Materially Misstates FTC Outcome, Icahn Files Potentially Questionable Statement with SEC

In the classic "pyramid" scheme, participants attempt to make money solely by recruiting new participants into the program. The hallmark of these schemes is the promise of sky-high returns in a short period of time for doing nothing other than handing over your money and getting others to do the same. But, like most news that goes out incorrectly, nobody noticed the retraction and nobody cared. Here’s what Dow Jones’ official retraction of the morning’s news looked like when it was issued later in the morning, with Herbalife stock already trading up nearly 15%

Frontrunning: June 17

  • Sell-off abates as Brexit opinion seen shifting (Reuters)
  • IMF chief Lagarde says economic risks bigger if Britain leaves EU (Reuters)
  • U.S. State Department Officials Call for Strikes Against Syria’s Assad (WSJ)
  • St. Louis Fed's Bullard says U.S. may only need single rate hike for now (Reuters)
  • A Life of Violent Threats Paved Way for Orlando Attack (WSJ)