Court News 2011/11/19 09:02
Rhode Island is taking dramatic steps toward fixing one of the nation's most underfunded public pension systems, but the true battle with public-sector unions may be just beginning.
State lawmakers ignored jeers from public workers and the threat of a lawsuit Thursday to pass sweeping changes to the pension system covering 66,000 active and retired public workers.
The legislation is designed to save billions of dollars in future years by backing away from promises to state and municipal workers that lawmakers say the state can no longer afford. Gov. Lincoln Chafee, an independent, said he will sign the bill.
Public-sector union leaders promised a court challenge before the final votes were even cast.
"The attorneys are going to make a lot of money," Philip Keefe, president of Local 580, which represents social service, administrative and technical workers. "If this is overturned, it will be you, me and every other taxpayer that is on the hook for billions."
Supporters acknowledged that a lawsuit was inevitable but said the bill was thoroughly reviewed for any legal problems. Supporters said one of the reasons for the bill was to ensure there's money available when today's workers retire.
Legal Insight 2011/11/18 09:02
A federal court on Thursday issued temporary political maps for the 2012 election in Texas that some say will give Democrats a greater chance of winning seats in the Legislature.
The maps, which still must be given final court approval, will remain in place for state House and Senate districts until there is a resolution to lawsuits filed over the Legislature's proposals — likely through the 2012 elections. The court is expected to also release a proposal for new congressional districts.
Republicans have acknowledged they are not likely to hold on to the 101-49 supermajority they have in the Texas House. Still Democrats argue that the GOP map drawers went too far in trying to preserve their power.
Texas Attorney General Greg Abbott's office, which is representing the state, was reviewing the maps and "working to prepare a response as directed by the court," spokeswoman Lauren Bean said.
Democrats and minorities have complained that the maps drawn by the Republican-controlled Legislature prevent minority groups from electing their choice of candidate.
Legal Marketing 2011/11/17 09:44
Kaplan Fox & Kilsheimer LLP has filed a class action suit against Jon S. Corzine, J. Randy MacDonald, Henri J. Steenkamp and certain other individuals that alleges violations of the Securities Exchange Act of 1934 on behalf of purchasers of the securities of MF Global Holdings Ltd. during the period May 20, 2010 through October 28, 2011, inclusive, including investors who purchased MF Global common stock previously traded on the New York Stock Exchange under the symbol "MF" and purchasers of the Company's debt securities.
The case is pending in the United States District Court for the Southern District of New York. A copy of the complaint may be obtained from Kaplan Fox or the Court.
The complaint alleges that in March 2010, Corzine, a former CEO of Goldman Sachs Group, Inc. and former Governor of New Jersey, became Chairman and CEO of MF Global and that after Corzine became Chairman and CEO of MF Global, the Company increased its risk and used its own money to trade, including making investments in European sovereign debt that has plummeted in value. Reportedly, Corzine's strategy was to transform the Company from a futures broker into a boutique investment bank.
The complaint further alleges that Corzine's push into more risky and principal trading with the Company's money was central to MF Global's profit-growing plan and transformation, and that Corzine and the other defendants represented that they could grow and transform the business without taking on excessive risk, while maintaining adequate capital and liquidity. Further, it is alleged that while making this transformation, Corzine and the other defendants failed to disclose that the Company was undercapitalized, exposed to excessive risk due to massive bets on debt issued by certain European governments, and did not have proper risk controls in place to manage these risks.
If you are a member of the proposed Class, you may move the court no later than January 3, 2012 to serve as a lead plaintiff for the Class. You need not seek to become a lead plaintiff in order to share in any possible recovery.
Plaintiff seeks to recover damages on behalf of the Class and is represented by Kaplan Fox & Kilsheimer LLP. Our firm, with offices in New York, San Francisco, Los Angeles, Chicago and New Jersey, has many years of experience in prosecuting investor class actions and actions involving financial fraud. For more information about Kaplan Fox & Kilsheimer LLP, or to review a copy of the complaint filed in this action, you may visit our website at www.kaplanfox.com.
Legal Insight 2011/11/16 09:44
A scientist who was the star defense witness in the trial of Michael Jackson's doctor will be in court Wednesday to fight a threatened $1,000 fine for contempt.
Dr. Paul White is a pioneer in the use of the anesthetic propofol. He clashed with Superior Court Judge Michael Pastor over comments in and out of court during Dr. Conrad Murray's trial.
Pastor says White deliberately brought up banned information in his testimony.
Pastor is giving White a chance to appear Wednesday and explain why he should not be found in direct contempt of court and fined $1,000. A member of the trial defense team, Michael Flanagan, is representing him.
Murray is in jail awaiting sentencing for involuntary manslaughter in Jackson's death and is not required to attend the hearing.
Court News 2011/11/15 11:20
Ex-lobbyist Jack Abramoff's former partner in crime shouldn't expect relief on his appeal to reduce a $20 million restitution order.
The chief of the federal appeals court in Washington, Judge David Sentelle, told Michael Scanlon's lawyer at arguments Monday the court cannot change his client's plea agreement. The court will issue its final order in writing.
Scanlon is serving a 20-month sentence for bilking Indian tribes of millions. Abramoff persuaded the tribes that hired him for lobbying to pay inflated fees for Scanlon's public relations services, and they secretly split the profits.
Scanlon pleaded guilty in part to defrauding the tribal clients of their right to "honest services." The Supreme Court weakened the honest services law last year and Scanlon argues the restitution should be lowered to reflect that ruling.
Topics in Legal News 2011/11/15 08:57
The law firm of Izard Nobel LLP, which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the District of Maryland on behalf of purchasers of the common stock of Human Genome Sciences, Inc. between July 20, 2009 and November 11, 2010, inclusive. Also included are those who acquired shares in the July 28, 2009 public offering at $14 per share and in the December 2, 2009 public offering at $26.75.
The Complaint charges that HGSI and certain of its officers and directors violated federal securities laws by issuing false and misleading statements concerning Benlysta®, HGSI's potential new drug for the treatment of Systemic Lupus Erythematosus, a chronic, life-threatening autoimmune disease. Specifically, the Complaint alleges that defendants failed to disclose that Benlysta was associated with suicide in clinical drug trials conducted by HGSI.
The Complaint alleges that when the U.S. Food and Drug Administration posted its analysis of Benlysta on the Internet on November 12, 2010, investors learned for the first time of the association between Benlysta and suicide in clinical trials, causing HGSI's common stock price to fall. Meanwhile, the Complaint alleges, during the Class Period, HGSI sold over 44 million shares of its common stock in public offerings at artificially inflated prices, receiving $850 million in net proceeds.
If you are a member of the class, you may, no later than January 10, 2012, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a class member that acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members.
While Izard Nobel LLP has not filed a lawsuit against the defendants, to view a copy of the Complaint initiating the class action or for more information about the case, and your rights, visit: www.izardnobel.com/humangenomesciences/, or contact Izard Nobel LLP toll-free: (800)797-5499, or by e-mail: firm@izardnobel.com. For more information about class action cases in general, please visit our website: www.izardnobel.com.