 |
|

Legal news from Wednesday, March 23, 2005 |
 |
|


North American agreement on security, trade unveiled
Jeannie Shawl on March 23, 2005 1:30 PM ET

[JURIST] President Bush, Canadian Prime Minister Paul Martin, and Mexican President Vicente Fox Wednesday unveiled the Security and Prosperity Partnership of North America [White House press release], a pact which seeks to broaden cooperation on security and economic issues. Included among the goals of the pact's security agenda [White House press release] is the development and implementation of a "comprehensive North American strategy for combating transnational threats to the United States, Canada, and Mexico, including terrorism, organized crime, illegal drugs, migrant and contraband smuggling and trafficking." The partnership's prosperity agenda [White House press release] includes regulatory cooperation in order to generate growth and improve productivity and the lowering of "the transaction costs of trade in goods by liberalizing the requirements for obtaining duty-free treatment under NAFTA." AP has more. CBC News provides Canadian coverage of the summit and El Universal has Mexican coverage (in Spanish).


Link |
|
subscribe |
|
latest newscast |
archive |
Facebook page

|

BREAKING NEWS ~ Florida Senate debating Schiavo bill
Bernard Hibbitts on March 23, 2005 1:30 PM ET

[JURIST] The Florida Senate has begun debate on Terri Schiavo legislation. An amended version of SB 804 [bill summary] would prohibit suspension of sustenance or hydration of a person in persistent vegatative state when family members disagree on the course of action based on alleged prior oral statements of the person and where that person left no prior written directive. Leading the debate, Republican state Senator and chair of the state Senate Judiciary Committee Daniel Webster [official profile] said that where the state becomes the referee in such circumstances the state should "err on the side of life". Watch the debate live via the Florida Channel.
1:55 PM ET - A number of Senators have raised questions on the floor about the bill, with state Senate Democratic leader Walter Campbell saying that is it legally invalid and unconstitutional. Campbell said it had been drafted in committee in about 10 minutes and was not appropriately framed.
2:18 PM ET - Several Senators have argued that the bill is in practice overbroad, allowing too many challenges by too many people. Webster said that in the Schiavo case, if the bill were passed, someone would petition the state court, the court would go back and look for evidence of conflict in family allegations regarding a person's wishes, and then if a conflict were identified withdrawal of sustenance would be prohibited. Webster has also insisted that any problems with the draft of the bill could be resolved at later stages after the bill came back to the Senate from the House after initial Senate passage.
2:28 PM ET - Webster says that does not believe his Senate bill, even if approved by the Senate, would be taken up by the state House and passed, but "I have to try." The comment reflects the political reality that a Florida Senate action may be too late to save Terri Schaivo.
2:36 PM ET - In debate, state Senator Frederica Wilson said she had received telephone death threats because of her vote against an earlier version of the legislation, and in an emotional appeal pleaded for the calls to stop. She said she didn't appreciate being threatened with death by people supposedly concerned with the sanctity of life.
2:54 PM ET - Senator Dave Aronberg has criticized the bill for not defining what a "conflict" is, for not providing for oral declarations, and also emphasized that because of the way it is drafted, with reference only to removal of sustenance that has not already been removed, the bill cannot apply to Terri Schiavo.


Link |
|
subscribe |
|
latest newscast |
archive |
Facebook page

|

Federal judge extends block on out-of-country transfer of Gitmo detainees
Jeannie Shawl on March 23, 2005 12:57 PM ET

[JURIST] US District Judge Henry H. Kennedy, Jr. [official profile] has extended a temporary restraining order barring the US from transferring Guantanamo Bay [JURIST news archive] detainees to the custody of foreign countries. Judge Kennedy extended the restraining order for another 10 days Tuesday, saying he needs additional time to decide whether the court has authority over the decision to release a detainee to a foreign country, and if it does, whether the detainees' lawyers are entitled to advance notice of the proposed transfer so that the transfer may be contested. When Kennedy makes his decision, this will mark the first time a judge has ruled on whether US courts have jurisdiction to oversee decisions about where to move Gitmo detainees. During yesterday's hearing, Judge Kennedy acknowledged that once a transfer to a foreign country is completed, "the court will not have jurisdiction to provide the relief sought by petitioners." Lawyers for the detainees argued that "the government can't transfer people to defeat a case on appeal," but the government lawyer argued that allowing a court to second-guess the decision to transfer "would in essence be ordering people to continue to be detained when the government says it no longer has an interest in detaining them." Earlier this month, US District Judge Rosemary Collyer blocked out-of-country transfers for 13 Yemeni detainees [JURIST report] pending a hearing on their lawyers' request for 30-days notice to allow investigation of whether they might face torture or indefinite detention in their home countries. Wednesday's Washington Post has more.


Link |
|
subscribe |
|
latest newscast |
archive |
Facebook page

|

Corporations and securities brief ~ Ninth Circuit upholds key Sarbanes-Oxley provision
Amit Patel on March 23, 2005 11:18 AM ET

[JURIST]Leading Wednesday's corporations and securities law news, a US Court of Appeals for the Ninth Circuit [official website] upheld a district court's ruling which froze $37.6 million in termination pay and bonuses to two Gemstar TV Guide International [corporate website] officials. The SEC had settled with the two executives, former CEO Henry Yuen and former CFO Elsie Leung over their roles in the company overstating revenue by $223 million in January. The ruling is important in that strengthened the SEC's power in curbing payments to executives who are being investigated for fraud. This is a major provision of Sarbanes-Oxley Act [text, PDF] which is meant to keep the money in escrow to keep the money available for fines or repayment if the fraud is proved. Read the opinion [PDF]. The San Francisco Chronicle has more.
In other news... - TXU Corp. [corporate website], the largest Texas power producer, said in a regulatory filing that the SEC has subpoenaed the company related to an investigation into possible violations of federal securities laws arising from the collapse of the company's European unit in 2002. The subpoena asks for information related to the losses at TXU's European unit which led to its bankruptcy in 2002. The bankruptcy led to various shareholder lawsuits. TXU said it would cooperate with the probe. Bloomberg has more.
- As previously reported on JURIST's Paper Chase, federal prosecutors in Chicago confirmed they are conducting a criminal investigation of newspaper tycoon Conrad Black [Wikipedia profile], his former top deputy David Radler and Hollinger, Inc [corporate website]. Prosecutors filed court papers where it asked to intervene in the SEC lawsuit against Black, Radler, and Hollinger, Inc. The SEC, in its complaint [PDF], allege Black and Radler engaged in fraud by taking cash and other assets from Hollinger and concealing it from investors. AP has more. In related news, SEC has sent former Pentagon adviser Richard Perle [Wikipedia profile] a Wells Notice, a formal warning that the agency has determined that evidence of wrongdoing is sufficient to bring a civil lawsuit. The notice says the agency may sue Perle for his role in the alleged looting of Hollinger International Inc. Perle said he did not recall any specific allegation made by the SEC. Bloomberg has more.
- The SEC [official website] announced Citigroup [corporate website] will pay $20 million to settle charges it did not give customers adequate information about mutual fund shares. The settlement involves two disclosure failures at the company. Citigroup will not admit or deny any wrongdoing. Read the SEC press release and administrative proceeding [PDF]. Also today, the NASD [official website] announced it has fined units of American Express Inc., Citigroup Inc. and JP Morgan Chase & Co. [corporate website] a total of $21.25 million for selling customers "Class B" or "Class C" fund shares, or shares of both classes, without disclosing that "Class A" shares would have provided higher overall returns. Read the NASD press release. Reuters has more.
- The SEC also announced Putnam Investment Management [corporate website] will pay $40 million to settle charges related to Putnam's failure to disclose to its Board of Trustees and shareholders the conflicts of interest that arose from "shelf space" arrangements with broker/dealers. Putnam will neither admit or deny the charges. Read the SEC press release and administrative proceeding [PDF].
Click for previous corporations and securities law news.


Link |
|
subscribe |
|
latest newscast |
archive |
Facebook page

|

Federal prosecutors confirm criminal investigation against Black, Hollinger
Jeannie Shawl on March 23, 2005 8:16 AM ET

[JURIST] Federal prosecutors have asked to intervene in the Securities and Exchange Commission [official website] lawsuit against former Hollinger CEO Conrad Black [CBC profile], former company president David Radler, and Hollinger, Inc., confirming for the first time that they are conducting a criminal investigation into the newspaper tycoon and his former company. Last year, the SEC filed civil charges against Black, Radler and Hollinger [JURIST report], alleging [PDF complaint] that Black and Radler "engaged in a fraudulent and deceptive scheme to divert cash and assets from [parent company] Hollinger International" and to "conceal their self-dealing from Hollinger International's public shareholders." The SEC also alleges that Black and Radler diverted approximately $85 million in proceeds from newspaper sales to themselves and to Hollinger, Inc., a Canadian public holding company. The US Attorney's office has asked the presiding court to hold a Wednesday hearing on its request to delay the release of SEC documents to the defendants. The government says the delay is necessary "to protect the integrity of the related criminal investigation" into whether the SEC defendants and others violated federal criminal statutes, including those on conspiracy, mail fraud, wire fraud, securities fraud and interstate transportation of funds obtained by fraud. AP has more.


Link |
|
subscribe |
|
latest newscast |
archive |
Facebook page

|
| For more legal news check the Paper Chase Archive...
|
|
|