March 19, 2014 |
In a sharply worded letter released Wednesday, Mike Lynch, former chief executive of Autonomy, has accused Hewlett-Packard of misleading shareholders about the accounting problems it claimed to have uncovered at the British company it acquired in 2011. HP Chief Executive Meg Whitman announced in November 2012 that the company was taking a $5-billion write-down after a whistle-blower had alerted them to widespread fraud at Autonomy. The company referred the matter to a number of U.S. and British regulatory authorities.
March 13, 2014 |
The U.S. Justice Department used faulty statistics to overstate its mortgage-fraud prosecution efforts and ranked mortgage-fraud last in its list of priorities despite public pledges to combat these types of crimes, an internal watchdog said Thursday. The 52-page report by the Justice Department's inspector general found that for the fiscal years of 2009 through 2011, the federal law enforcement agency's effort to prosecute mortgage fraud...
March 7, 2014 |
For more than a quarter of a century, investors have been able to bring class-action lawsuits against companies that have fraudulently inflated their stock prices without having to prove that each buyer of the stock had been individually duped. Now, industrial giant Halliburton Co. is trying to persuade the Supreme Court to make such lawsuits significantly harder, if not impossible, to bring. That would be a fantastic result for publicly traded companies, but a terrible one for the average investor.
March 5, 2014 |
WASHINGTON - Halliburton Co. and other U.S. corporations urged the Supreme Court to reverse a 26-year-old ruling that triggered an avalanche of class-action lawsuits by investors in publicly traded companies. But based on justices' comments Wednesday, it appeared they would fall at least one vote short of a major victory. Chief Justice John G. Roberts Jr. and Justice Anthony M. Kennedy explored the idea of a "midway" ruling that would make it slightly harder, but not impossible, to bring such suits.
CALIFORNIA | LOCAL
March 5, 2014 |
An Orange County official once convicted of election fraud quietly has been stripped of his authority over the county's Registrar of Voters. Labor leaders had expressed outrage that Chief Operating Officer Mark Denny , who pleaded guilty to election fraud in 1996, was given authority over the department tasked with running elections. Denny will keep administrative and budget oversight of the registrar's department, but Registrar of Voters Neal Kelley will now report directly to County Chief Executive Officer Mike Giancola.
March 4, 2014 |
WASHINGTON - Outside accountants and lawyers who reveal fraud and wrongdoing at publicly traded companies are protected as whistle-blowers just as employees are, the Supreme Court ruled, expanding the reach of an anti-fraud law passed in the wake of the collapse of companies such as Enron Corp. and WorldCom Inc. The 6-3 decision Tuesday will affect the mutual fund and financial services industries in particular because they rely heavily on outside contractors and advisors. Denying whistle-blower protection to all outside employees of such companies would leave a "huge hole" in the 2002 law, said Justice Ruth Bader Ginsburg, noting that most mutual fund companies hire independent investment advisors and contractors rather than employees.