 |
|

Legal news from Wednesday, March 28, 2007 |
 |
|


Supreme Court hears arguments in shareholder fraud suit
Leslie Schulman on March 28, 2007 7:06 PM ET

[JURIST] The US Supreme Court [official website; JURIST news archive] heard oral arguments [transcript, PDF] Wednesday in Tellabs v. Makor Issues & Rights [Duke Law case backgrounder; merit briefs], 06-484 [docket], where the Court must decide the extent to which shareholders bringing suit against a company must prove the company intended to deceive the public about its financial future. Tellabs, Inc. [corporate website] allegedly made predictions about its future sales that turned out to be incorrect, ultimately costing its shareholders millions of dollars. The company's attorney argued that the lower court's ruling that shareholders must show a "strong inference" of wrongdoing means shareholders must prove with a certainty of over fifty percent that the company intended to deceive the public. Opposing counsel argued that the court should be able to infer more easily, at a burden of forty percent, an intent to deceive based on the company's actions and words.
The case comes on appeal from the US Court of Appeals for the Seventh Circuit, which held [opinion, PDF] in January that the shareholder's complaint had enough detail to establish "a strong inference that [Tellabs] knew [it] had exaggerated its revenues." This case is one of several cases being considered by the Supreme Court where companies hope to limit class actions suits against them. On Monday, the Court agreed to consider whether shareholders of companies that commit securities fraud should be able to sue investment banks, lawyers, and auditors that allegedly also participated in the fraud. The Court heard arguments [JURIST report] Tuesday in a case involving shareholders seeking damages from banks that allegedly violated antitrust laws. AP has more.


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

|

Georgia human rights lawsuit harming diplomatic ties: Russia
Joshua Pantesco on March 28, 2007 2:25 PM ET

[JURIST] The Russian Foreign Ministry on Tuesday lashed out at the Georgian Republic [official backgrounder] for filing a lawsuit with the European Court of Human Rights (ECHR) [official website] alleging Russia violated the human rights of Georgian nationals during a deportation sweep last September. On Monday, Georgia lodged an application against Russia [press release] under the European Convention of Human Rights [PDF text], alleging that after Georgia police arrested four Russian soldiers on espionage charges [MosNews report] in September 2006, the Russian government retaliated [BBC report] by harassing Georgian nationals living and working in Russia. Russia on Tuesday characterized the ECHR lawsuit as an "unfriendly act harmful for bilateral relations," according to MosNews and RIA Novosti.
In October, the Georgian government publicly criticized Russia [JURIST report] for the alleged human rights violations. Russian President Vladimir Putin called for stricter immigration laws [JURIST report] soon after the four Russian soldiers were arrested, and Russian immigration officials responded by proposing harsher penalties for businesses that employ illegal migrants, restrictions on border crossings, amendments to the Criminal Code, and limits on the duration of visas distributed to certain nationalities. MosNews has more.


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

|

Belgium police arrest three EU officials on corruption charges
Joshua Pantesco on March 28, 2007 1:53 PM ET

[JURIST] Belgian authorities on Wednesday arrested three Italian nationals - a European Commission [official website] official in charge of delegation infrastructure, a personal assistant to an Italian member of the European Parliament [official website], and a businessman - on corruption charges stemming from European public tenders to lease space and provide security for delegation buildings in Albania and India. A spokesperson for the Belgium Public Prosecutor's office said Wednesday that various EC and EP officials may have accepted up to $10 million in bribes over the last ten years. The three were arrested Tuesday through anti-corruption raids [JURIST report] coordinated with the governments of France, Italy, Luxembourg, and Belgium. AFP reports that the three were charged with corruption of an international civil servant, violation of professional secrecy, and criminal conspiracy. AFP has more. EUObserver.com has additional coverage.
The investigation was launched three years ago and involves OLAF [official website], the EU's independent anti-fraud office. In 1999, the entire EC resigned [BBC report; research paper] after a scandal surrounding the questionable hiring practices of former French prime minister Edith Cresson [BBC profile]. In 2006, Cresson was found guilty of favoritism and abuse of office [JURIST report].


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

|

Texas governor signs 'shoot first' law
Brett Murphy on March 28, 2007 8:02 AM ET

[JURIST] Texas Governor Rick Perry [official website] Tuesday signed into law [press release] a new so-called "shoot first" law [SB 378 materials], which allows state residents to use deadly force to respond to threats in their homes, cars, and at jobs. The bill, also known as a "stand your ground" law, was approved by large majorities in both houses of the Texas Legislature. In his statement, Perry said "The right to defend oneself from an imminent act of harm should not only be clearly defined in Texas law, but is intuitive to human nature." The legislation, which requires that the person defending themselves be unprovoked, also provides civil immunity for any justified action under the law. The Texas law takes effect September 1, 2007.
Georgia enacted a similar law last July, and Florida adopted [JURIST reports] a "shoot first" law in 2005. Alabama, Indiana, Kentucky, Mississippi and South Dakota all have enacted similar legislation as well. The Brady Campaign to Prevent Gun Violence [advocacy website] has continually called such legislation "phenomenally dangerous," but the National Rifle Association [advocacy website] maintains that these laws are necessary to protect innocent citizens. AP has more.


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

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