Criminal charges are on the way for Steven Davis, Stephen DiCarmine, and Joel Sanders — the former chairman, executive director, and CFO, respectively, of defunct Dewey & LeBoeuf.
Almost two years have passed since the Biglaw firm’s bankruptcy filing, causing some observers to think that perhaps the Steves would never get charged. The argument, in a nutshell: they might have been poor managers or even downright moronic, but they didn’t commit any crimes.
Alas, sadly for Messrs. Davis, DiCarmine, and Sanders, it seems that Manhattan District Attorney Cyrus Vance doesn’t agree with that line of thinking. What types of charges can the trio look forward to?
(Please note the UPDATES added to this post, reflecting information from the indictment and the SEC complaint.)
Ed. note: This is the latest installment of the ATL Interrogatories. This recurring feature will give notable law firm partners an opportunity to share insights and experiences about the legal profession and careers in law, as well as about their firms and themselves.
Paul Steven Singerman is Co-Chair of Berger Singerman and concentrates his practice in troubled loan workouts, insolvency matters, and commercial transactions. Paul is active throughout the United States in large and complex restructuring, insolvency, and bankruptcy cases. Although Paul is best known for his representation of debtors in complex restructuring cases, he is also experienced in representing creditors’ committees, lenders, large unsecured creditors, asset purchasers in § 363 sales and trustees. Much of his work has involved companies with international operations or European or Asian parties-in-interest.
1. What is the greatest challenge to the legal industry over the next 5 years?
* Justice Scalia apparently has an ulterior motive for his hatred of deep-dish pizza: “He’s just trying to undermine Barack Obama because he’s a Chicago guy.” God, can’t the guy just like New York style pizza better? Come on. [WSJ Law Blog (sub. req.)]
* Now that the Federal Communication Commission’s net neutrality rules have been smacked down by the D.C. Circuit, the agency is going to start from scratch and come up with some new ones. Yeah, good luck with that. [National Law Journal]
* “Roll your window up, ignore the taunting, put your car in reverse, move a parking spot over.” These are some of the ways you can avoid killing black teenagers over loud music, says a Michael Dunn juror. [CNN]
* The toupee gave it away: A lawyer who used to work as an i-banker at Stratton Oakmont is suing for defamation over a character he claims was modeled after him in the “Wolf of Wall Street.” [ABC News]
It’s got to be annoying for judges when lawmakers write laws that are designed to be so freaking vague that courts will be forced to fix them once the inevitable lawsuits come around.
Florida lawmakers are trying to make your Facebook account safe from your boss who wants to get his or her Orwellian hands all up in your personal business. The legislation prohibits employers from demanding your social media passwords as a condition of employment.
BUT… the business lobby has been able to force an amendment that still allows employers to demand your passwords if your account is used for a “business purpose.” What’s a “business purpose”? Nobody knows. It’s probably going to be whatever your boss says a “business purpose” is. Then, they’ll fire you, you’ll sue, and a judge will have to figure it all out, because the legislature couldn’t get its act together….
My parents separated for a brief period of time when I was in the fourth grade. I don’t remember there being too much controversy over where I would be crashing as (a) the separation didn’t last long and (b) I was not exactly the prize pig over which anyone in their right mind would compete. Anyway, the one thing I remember about that time was how my dad treated me. My father, who had previously acted as the proximate cause in his son’s nervousness and irritable bowels, was now a prince among men. He took me to a basketball game and laughed at my jokes in a deeply insincere way. If you ask me, this is the highest compliment another person can pay you.
I tell this story to establish my bona fides in the areas of family law, custody disputes, and even the fathers’ rights movement. I’m pretty much an expert. In the past week, the issue of fathers’ rights has popped up in unusual ways and places. Fox News reported over the weekend that a group of fathers are suing the state of Utah over their adoption laws. Bode Miller, meanwhile, won a bronze medal on Sunday, which prompted Slate to reprint an Emily Bazelon post on Miller’s odd custody dispute. And finally, a law firm in Florida has elevated fathers’ rights to perhaps its highest purpose: marketing.
The question posed by all of this is what if, with all apologies to Shaq Fu, the biological does bother?
* Per Am Law, Mayer Brown just posted its highest profits ever. Maybe that’s one of the reasons the NSA’s thunder from down under, the Australian Signals Directorate, was spying on it. [New York Times]
* For Asian American women, Biglaw’s “bamboo ceiling” may be just as tough to crack as its glass ceiling. What’s that? Find out by reading Helen Wan’s book, The Partner Track (affiliate link). [Washington Post]
* Controversy alert: Michael Dunn was convicted of four out of five charges, including three counts of attempted murder, in Florida’s “loud music” trial, but the jury was hung on the murder charge. Lame. [CNN]
It’s fine if we are not all that popular. There is a reason why the Constitution gives federal judges life tenure. We are supposed to do our jobs without worrying whether our decisions are pleasing to anybody.
* There will be filibusters: Victoria Nourse, a Georgetown Law professor whose nomination to the Seventh Circuit was blocked, thinks the political move will remain intact for SCOTUS nominees. [Legal Times]
* The Tenth Circuit politely pwned Roberta Kaplan. Her bid to intervene in the Utah same-sex marriage case before the court was rejected. Guess she’ll have settle for writing an amicus brief. [Salt Lake Tribune]
* Are laterals killing your firm? It happened to Dewey, and it could happen to you. Only you can prevent lateral fires. Take the pledge and show your commitment to lateral fire prevention. [American Lawyer]
* Lawyers are worried about what’s been going down at the storied Canadian firm of Heenan Blaikie. A third of its partners did the dip over the weekend amid financial troubles. Sounds familiar… [Ottawa Citizen]
* Women are slowly but surely working to close the gender gap in the law — well, at least they are in South Florida. It seems to be working, though, so feel free to follow their lead. [Daily Business Review]
* “Just because you can’t make the world a perfectly fair place doesn’t mean you can’t make it fairer.” If you really liked socialized health care, then you’re going to absolutely love socialized law. [New Republic]
* If your LSAT score is in the 160 range and you’re writing to an advice columnist to figure out what to do next, then you are the most special of all the little snowflakes. [Law Admissions Lowdown / U.S. News]
Jiminy jillickers! ATL editors are going all over the place over the next month or so. Or at least all over the Eastern Seaboard. If we aren’t heading to your neck of the woods on these trips, never fear, we may hit you up on the next time around. We’ve already hit up Houston, Chicago, Seattle, San Francisco, and Los Angeles in the past year.
Kinney Recruiting’sEvan Jowers is currently in Hong Kong for client meetings and still has a few slots available through October 22. Evan will also be in Hong Kong November 14 to December 15. Further, Robert Kinney has been in Frankfurt and Munich this week and is available for meetings with our Germany based readers.
One of our key law firm clients has referred us to one of their important clients in the US, Europe and China – a leading global technology supplier for the auto industry – in order to handle their search for a new Asia General Counsel and Asia Chief Compliance Officer.
Kinney is exclusively handling this in-house search.
This position will have a lot of responsibility and include supervision of eight attorneys underneath them in the Asia in-house team. The new hire will report directly to the global general counsel and global chief compliance officer, who is based in the US. The new hire’s ability to make judgement calls is going to be as important as their technical skill set background.
The position is based in Shanghai and will deal with the company’s operations all over Asia and also in India, including frequent acquisitions in the region.
It is expected that the new hire will come from a top US firm’s Shanghai, Beijing or Hong Kong offices, currently in a top flight corporate practice at the senior associate, counsel or partner level. Of course, the candidate can be currently in a relevant in-house role.
The JOBS Act created new tools for companies to publicly advertise securities deals online. As a result, thousands of new deals have hit the market and hundreds of millions in capital has been raised, spurring a wealth of new business development opportunities for attorneys.
Fund deals, startup capital raises, PIPE deals and loan syndicates are just a handful of the transactions benefiting from the JOBS Act. InvestorID FirmTM is a platform designed to help attorneys equip their clients with the workflow, marketing and compliance tools to publicly solicit a securities offering online. By providing clients with the tools to painlessly navigate the regulatory landscape of general solicitation, InvestorID FirmTM helps attorneys add value above just legal services.
The Jumpstart Our Business Startups Act (JOBS Act) went into effect in 2013 and permits Regulation D offerings of securities to be advertised publicly. This means that funds and companies can now use social media, emails and web sites to market transactions to new “accredited” investors.
However, with these new powers come new pain points. InvestorID FirmTM provides a secure, fully hosted, cloud-based platform with a breadth of tools for your clients, including: