On October 3, 2022, the U.S. Attorney’s Office in Boston announced that a Florida physician practice, Southeast Florida Hematology and Oncology Group, P.A. (“SEFHOG”), had agreed to pay $130,000 to resolve allegations that, among other things, it took an upfront “transition rebate” from Cardinal Health, a large drug distributor, in exchange...

Kim Kardashian will pay $1.26 million to settle regulatory allegations that she failed to disclose money she was paid for promoting a cryptocurrency to investors, the Securities and Exchange Commission said. Ms. Kardashian should have revealed that she was paid when she promoted EthereumMax crypto tokens on her Instagram account, the SEC...

The Securities and Exchange Commission charged Barclays PLC and Barclays Bank PLC (BBPLC) in connection with the unregistered offer and sale of a large amount of securities due to a failure to implement any internal control to track such transactions in real time. Both firms restated their year-end...

The Securities and Exchange Commission has filed charges against 15 broker-dealers and an affiliated investment adviser for widespread failures by the firms and employees to maintain and preserve electronic communications in violation of securities laws. The firms admitted the facts set forth in their respective SEC orders, acknowledged that their conduct...

Morgan Stanley will pay $35 million to settle allegations that it scrapped computer servers and hard drives without ensuring they no longer held sensitive customer information, regulators said. The SEC also alleged that Morgan Stanley lost track of 42 computer servers that potentially contained unencrypted customer data. The missing servers...

The Securities and Exchange Commission ordered  Waddell & Reed to pay close to $776,000 over alleged failures to prevent reverse churning in a wrap fee investment advisory program. Waddell & Reed — whose wealth management business was acquired by LPL last year — allegedly failed to ensure that the program,...

Chinese manufacturers have been building factories in Mexico in order to evade US tariffs and also to lessen their supply chains which have throttled distribution since the pandemic. Some of what is happening is legal "avoidance", However, in some cases, products are shipped from China to their factories in Mexico and few...

We’re pleased to announce that pharmaceutical company Akorn Operating Company LLC (Akorn) has agreed to pay $7.9 million to resolve allegations arising from a False Claims Act qui tam lawsuit Newman Shapiro filed in June 2021 on behalf of its whistleblower client, Albermarle, LLC (Albermarle). Akorn manufactured and sold...

A year long investigation by the Senate Finance Committe resulted in a scathing report. It just released the findings of a year-long investigation into the largest allegedindividual tax evasion scheme involving a “shell bank” loophole in the Foreign Account Tax Compliance Act (FATCA), a loophole that allows banks offshore to accept...

The Securities and Exchange Commission has added two amendments to its whistleblower program. The first allows the Commission to pay whistleblowers for their information and assistance in connection with non-SEC actions in additional circumstances. The second affirms the Commission’s authority to consider the dollar amount of a potential award for the limited...