Securities Law Updates

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Matrixx Initiatives, Inc., et al. v. Siracusano: Securities Plaintiffs Can Use Inferences to Show Materiality and Scienter at the Pleading Stages

By Josh Lawler of Zuber & Taillieu and Joel B. Ginsberg

The United States Supreme Court has ruled that in securities cases under §10(b) and Rule 10b–5 the requirement of the materiality of a defendant’s misrepresentations cannot be reduced to a bright-line rule. Facts giving rise to a strong inference that a defendant acted with the required state of mind are… More...

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Legislation to End Need for Taxpayer Bailouts of “Too Big to Fail” Corporations Filed in Senate

Ending Taxpayer Bailouts By Making Wall Street Pay Act of 2010  |  S. 3052  |  3/1/2010

The Ending Taxpayer Bailouts By Making Wall Street Pay Act would require huge corporations to pre-pay into a fund that, in cases of financial crisis, would help wind down failed corporations in order to minimize collateral damage to the economy. More...

Senate Bill Aims to Hold Corporate Executives Accountable

Corporate Executive Accountability Act of 2010  |  S. 3049  |  2/26/2010

U.S. Senator Robert Menendez (D-NJ), a member of the Banking Committee, has unveiled a legislative package that could bring accountability to corporate governance. More...

Omnibus Small Business Stimulus Bill Goes to Senate Panel after House Passage

Small Business Financing and Investment Act of 2009  |  H.R. 3854  |  11/2/2009

An omnibus stimulus bill for small businesses, the Small Business Financing and Investment Act of 2009, H.R. 3854, has been referred to the Senate Committee on Small Business and Entrepreneurship after being read twice on the Senate floor. More...

Senate Bill Restricts Corporate Spending in Elections

Citizens Right to Know Act  |  S. 3004  |  2/4/2010

U.S. Sen. Sherrod Brown (D-OH) has unveiled legislation that aims to place restrictions on corporate spending in elections. More...

House Passes by Voice Vote Bill Granting Expanded Powers to GAO to Litigate on Vital Federal Agency Records

Government Accountability Office Improvement Act of 2009  |  H.R. 2646  |  1/13/2010

On motion to suspend the rules, the U.S. House of Representatives has passed by voice vote and without any amendment H.R. 6388, otherwise known as the Government Accountability Office Improvement Act of 2008. More...

House Financial Services Committee Approves Bipartisan Credit Rating Agencies Bill

Accountability and Transparency in Rating Agencies Act  |  H.R. 3890  |  10/28/2009

The U.S. House of Representatives Financial Services Committee has passed H.R. 3890, the Accountability and Transparency in Rating Agencies Act (“Act”), introduced by Congressman Paul E. Kanjorski (D-PA), Chairman of the House Financial Services Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises. More...

Proposed Tax on Securities Transactions to Raise $150 Billion

Let Wall Street Pay for the Restoration of Main Street Act of 2009  |  H.R. 4191  |  12/4/2009

Representative Peter DeFazio (D-OR), Chairman of the House Subcommittee on Highways and Transit, together with 22 other members of the U.S. House of Representatives, has introduced new legislation that assesses a tax on Wall Street securities transactions. More...

Historic Legislation That Overhauls Federal Financial Regulation Passes House

Wall Street Reform and Consumer Protection Act of 2009  |  H.R. 4173  |  12/11/2009

By a vote of 223 to 202, drawn along party lines, the U.S. House of Representatives has passed historic legislation that lays down a comprehensive set of measures that will modernize America’s financial regulations and hold Wall Street accountable. More...

Securities Bill Gives Incentives to Divestment of investments in Iran and Sudan

The Enable Divestment from Sudan and Iran Act of 2009  |  H.R. 3516  |  7/31/2009

Reps. Brad Sherman (D-CA) and Ileana Ros-Lehtinen (R-FL) have introduced the Enable Divestment from Sudan and Iran Act of 2009, which seeks to make it easier for individuals to divest from Iran or Sudan by allowing them to defer payment of capital gains taxes after selling securities issued by companies invested in Iran or Sudan. More...

Senate Receives Bill Against Faulty Financial Reporting After Its Bipartisan Approval in House

Promoting Transparency in Financial Reporting Act of 2009  |  H.R. 2664  |  9/9/2009

The U.S. Senate has received a bipartisan House legislation that seeks to protect taxpayers and investors from faulty financial reporting and make the disclosure process more efficient for small business owners. More...

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Companies Mentioned

Securities Law

The following companies are mentioned in Securities Law Updates:

Securities and Exchange Commission

Harris Associates, L.P.

Banc of America Securities LLC

Citicorp USA, Inc.

The Public Employees’ Retirement System of Mississippi

Morgan Stanley & Co., Inc.

Jan Charles Finance S.A.

Park East, Inc.

CIBC World Markets Corp.

Citigroup Inc.

Barclays Capital Inc.

Citigroup Global Markets, Inc.

California Department of Corporations

The Royal Bank of Scotland plc

RiverSource Investments, LLC

Harris Nesbitt Corp.

Consolidated Management Group, LLC

The Bank of Nova Scotia

Asset Management Holding AG

Deutsche Bank

Toronto Dominion Texas, LLC f.k.a. Toronto Dominion Texas, Inc.

Alex Brown, Inc.

Tellabs, Inc.

Deutsche Bank Securities, Inc.

Mizuho International PLC

SG Cowen Securities Corp.

Makor Issues & Rights, Ltd.

ABN AMRO Inc.

Lydia Capital, LLC

Suntrust Capital Markets, Inc.

Tribune Company

Fleet Securities, Inc. n.k.a. Bank of America, N.A.

City of Philadelphia Board of Pensions and Retirement

The Bank of New York Company, Inc.

Staples, Inc.

CIBC, Inc.

Citibank, N.A.

Metal Management, Inc.

European Metal Recycling, Ltd.

Salomon Smith Barney Inc. n.k.a. Citigroup Global Markets, Inc.

Calyon Securities (USA), Inc. f.k.a. Credit Lyonnais Securities (USA) Inc.

Calyon New York Branch (successor by operation of law to Credit Lyonnais New York Branch)

Salomon Smith Barney, Inc.

JPMorgan Chase & Co.

Dynex Capital Inc.

Citigroup, Inc.

JPMorgan Securities Inc.

Merit Securities Corp.

Scotia Capital (USA), Inc.,

Teamsters Local 445 Freight Division Pension Fund

Additional Resources

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