Securities Law Commons^™

Responses By The Federal Communications Commission To Worldcom's Accounting Fraud, Warren G. Lavey

Federal Communications Law Journal

WorldCom's disclosure of billions of dollars of financial fraud on June 25, 2002 challenged the Federal Communications Commission ("FCC") in several major ways. The FCC proclaimed its commitment to enforce its rules to protect consumers against service discontinuance as well as the priority of rooting out corporate fraud. The FCC's rules required WorldCom to file accurate financial information and to show that it had financial and character qualifications necessary to hold FCC licenses. Despite numerous related proceedings and other actions in 2001 and early 2002, the FCC had not detected nor deterred WorldCom's fraud. After the disclosure, WorldCom continued its …

Transnational Regulatory Litigation, Hannah Buxbaum

Articles by Maurer Faculty

Recent years have seen much debate about the role of national courts in addressing global harms. That debate has focused on the application by domestic courts of international law - for instance, in civil actions brought in U.S. courts to enforce human rights law. This article identifies a parallel development in the area of economic regulation. It classifies and analyzes a category of cases that seek the application of regulatory law by domestic courts in situations involving global economic misconduct. Like the public international law cases, these cases highlight the tension between the benefits to be gained by enhanced enforcement …

Regulating The Mutual Fund Industry, Donna M. Nagy

Articles by Maurer Faculty

With virtually every other household in the United States invested in mutual funds, effective and efficient regulation of the mutual fund industry must be a top national priority. But the creation of a new private regulator - whether along the lines of SROs such as the NASD and NYSE or the recently created PCAOB - would be a step in the wrong direction. Instead, much more can be gained from strengthening the SEC's longstanding role as the principal overseer of mutual funds and improving other aspects of the existing regulatory regime.

Securities Analysts: Why These Gatekeepers Abandoned Their Post, David J. Labhart

Indiana Law Journal

No abstract provided.

Wall Street V. Main Street: The Sec's New Regulation Fd And Its Impact On Market Participants, D. Casey Kobi

Indiana Law Journal

No abstract provided.

The Sec's Role In The Global Era: How The Sec Will Protect U.S. Investors In Foreign Markets, Derek W. Kaczmarek

Indiana Journal of Global Legal Studies

No abstract provided.

Harmonization Of Disclosure Standards For Cross-Border Share Offerings: Approaching An "International Passport" To Capital Markets? (The Earl A. Snyder Lecture In International Law), J. William Hicks

Indiana Journal of Global Legal Studies

On March 1, 2001, Professor Hicks delivered the fifth annual Snyder Lecture at the University of Cambridge in the Lauterpacht Center for International Research.

Regulation Fd's Effect On Fixed-Income Investors: Is The Public Protected Or Harmed?, Michael A. Harrison

Indiana Law Journal

No abstract provided.

An Uphill Battle: The Difficulty Of Deterring And Detecting Perpetrators Of Internet Stock Fraud, Byron D. Hittle

Federal Communications Law Journal

This Note argues that because of the limited resources of the SEC, the demanding requirements to prove misrepresentation, the current lack of cooperation between federal and state securities regulators, and a perverse admiration for fraud masterminds, illegal stock price manipulators will continue to profit from unsuspecting investors. Various measures to curb Internet fraud, however, are currently being pondered by industry experts. Among the most effective and realistic are, in order: increasing investor education and awareness, increasing the SEC's "firepower," increasing penalties and jail time for offenders, furthering coordination of federal and state efforts, and creating a "seal of approval" for …

Limited Liability Companies And The Federal Securities Laws: Congress Should Amend The Securities Laws To Avoid Coverage, George A. Burke Jr.

Indiana Law Journal

No abstract provided.

"Click Here To Buy The Next Microsoft": The Penny Stock Rules, Online Microcap Fraud, And The Unwary Investor, Kevin C. Bartels

Indiana Law Journal

No abstract provided.

Securities Regulation In The Electronic Era: Private Placements And The Internet, Todd A. Mazur

Indiana Law Journal

No abstract provided.

Patching A Hole In The Jobs Act: How And Why To Rewrite The Rules That Require Firms To Make Periodic Disclosures, Michael D. Guttentag

Indiana Law Journal

Provisions in the Jumpstart Our Business Startups Act of 2012 have made it much easier for firms to avoid federal periodic disclosure obligations, but these provisions were enacted based upon a virtually nonexistent legislative record and upended rules established only after careful consideration almost fifty years earlier. Determining when firms should be required to comply with federal periodic disclosure requirements is best done in the context of a broader understanding of the history and economics of periodic disclosure regulation. This Article provides such an understanding.

The history of periodic disclosure regulation in the United States is traced back to its …

Defining The Duty: Attorneys' Obligations Under Rule 10b-5, Cynthia A. Bedrick

Indiana Law Journal

No abstract provided.

Spawning The Sec, Henry Laurence

Indiana Journal of Global Legal Studies

No abstract provided.

The "Possession Vs. Use" Debate In The Context Of Securities Trading By Traditional Insiders: Why Silence Can Never Be Golden, Donna M. Nagy

Articles by Maurer Faculty

Traditional insiders occupy a very special position in the scheme of federal securities regulation. However, in a misguided quest for a single answer to the possession vs. use debate, courts, commentators, and even the SEC have tended to marginalize the significant differences between traditional insiders and other securities traders who may possess material nonpublic information. In the aftermath of the circuit court decisions in United States v. Smith and Securities and Exchange Commission v. Adler, courts and the SEC should follow a categorical approach in addressing the possession vs. use question, and should recognize that silence can never be golden …

The Body As Commodity: The Use Of Markets To Cure The Organ Deficit, David E. Jefferies

Indiana Journal of Global Legal Studies

No abstract provided.

Reframing The Misappropriation Theory Of Insider Trading Liability: A Post-O'Hagan Suggestion, Donna M. Nagy

Articles by Maurer Faculty

For almost two decades, the United States Supreme Court was silent as to the validity of the so-called 'fraud on the source" misappropriation theory of insider trading liability. This changed in June 1997 when the theory received a resounding endorsement from the Court in United States v. O'Hagan.

Critics of O'Hagan have argued that the Court's decision reaches too far. However, this Article contends that the Court actually endorsed a theory that does not reach far enough. By analyzing and critiquing the reasoning of the majority opinion in O'Hagan, this Article demonstrates that the Court's unnecessarily restrictive misappropriation theory will …

Judicial Reliance On Regulatory Interpretations In Sec No-Action Letters: Current Problems And A Proposed Framework, Donna M. Nagy

Articles by Maurer Faculty

Judicial descriptions of SEC no-action letters have run the gamut from law, to orders, to rulings, to informal opinions, to prosecutorial decisions. This judicial failure to characterize no-action letters consistently is symptomatic of a more fundamental problem: many courts treat informal regulatory interpretations in no-action letters as interchangeable with formal and official regulatory interpretations that the full Commission has promulgated. Consequently, courts often defer automatically to the regulatory interpretations in no-action letters. In other words, many courts accept no-action letter authority as definitive interpretations of the federal securities statutes and SEC rules and regulations without independently analyzing the particular regulatory …

Hostile Tender Offers For Companies Holding Licenses Issued By The Federal Communications Commission, Stephen F. Sewell

Federal Communications Law Journal

When a tender offer to acquire a company is made, those making the tender offer will have to overcome a number of regulatory hurdles. The number of hurdles multiply, however, when the offer is hostile and the target company holds licenses issued by the FCC. The article sketches the FCC's response to hostile tender offers for companies holding FCC licenses, specifically discussing the Commission's adoption of procedures in 1985 to address hostile tender offers. While these provisions provided needed clarification, the authority of the FCC to implement these provisions and the effectiveness of them as a matter of policy have …

Insider Trading, Price Signals, And Noisy Information, Dennis S. Corgill

Indiana Law Journal

No abstract provided.

Municipal Securities Market: Same Problems -- No Solutions, Ann Judith Gellis

Articles by Maurer Faculty

This article examines the existing regulations of the municipal securities market, focusing on what activities prompted the regulatory changes and analyzing the direction and efficacy of these regulations in terms of the deficiencies in the market. Part One gives a background sketch of the market and its participants from the time of the New York City fiscal crises to today. Part Two discusses whether the existing regulation is sufficient to produce disclosure, focusing on the Orange County crises. Part Three offers a critique of the current regulatory scheme and makes some suggestions for reform.

Protection Of Individual Investors Under U.S. Securities Laws: The Impact Of International Regulatory Competition, J. William Hicks

Indiana Journal of Global Legal Studies

No abstract provided.

The Listing Of Daimler-Benz Securities On The Nyse: Conflicting Interests And Regulatory Policies, J. William Hicks

Articles by Maurer Faculty

No abstract provided.

Misrepresentation In The Sale Of Stock: Which Buyers Are Protected?, J. William Hicks

Articles by Maurer Faculty

No abstract provided.

Securities Regulation: Challenges In The Decades Ahead, J. William Hicks

Indiana Law Journal

No abstract provided.

Arbitration Of Securities Disputes: Rodriguez And New Arbitration Rules Leave Investors Holding A Mixed Bag, William C. Hermann

Indiana Law Journal

No abstract provided.

The Capital Markets In Transition: A Response To New Sec Rule 144a, Kellye Y. Testy

Indiana Law Journal

No abstract provided.

Using Risk Analysis To Classify Junk Bonds As Equity For Federal Income Tax Purposes, David V. Ceryak

Indiana Law Journal

No abstract provided.

A Broker-Dealer's Civil Liability To Investor's For Fraud: An Implied Private Right Of Action Under Section 15(C)(1) Of The Securities Exchange Act Of 1934, Charity Scott

Indiana Law Journal

No abstract provided.