Frank A. Rubino , ESQ.

FEDERAL AND INTERNATIONAL CRIMINAL DEFENSE

Coral Gables: 305-858-5300
Houston: 713-574-7716
Toll-Free: 1-866-718-3994
Main Menu
Practice Area

White Collar Crime: What We'll See In 2013, Part 2

Our last post introduced the four big categories that experts believe will dominate white collar crime developments in the upcoming year. These broad categories include LIBOR manipulation cases (discussed in the previous post), corruption and bribery, insider trading, and misconduct by rogue traders.

Corruption has always existed in the business world and many managers have faced federal criminal cases under statutes like the United States' Foreign Corrupt Practices Act. While 2012 saw a number of medical companies encountering criminal penalties for engaging in bribery, attempting to use corruption in a contract with the federal government can also result in aggressive prosecutions.

2013 may be the year in which the government takes its first steps to prosecute the extraordinarily successful Steven Cohen for insider trading. Cohen and his hedge fund, SAC Capital, have attracted the DOJ's attention for years and prosecutors brought an insider trading case against one of his employees in 2011. Based on those allegations, Cohen may also face an insider trading case in the near future.

Finally, rogue trading is a final area that will probably continue to receive attention in 2013. Rogue trading involves unauthorized and generally risky trades - while investment banks are often happy to reap the rewards when they pay off, the same managers turn on traders when trades bring losses.

This might seem like a completely private business in which a company takes responsibility for its employees' behavior. However, as the prosecution of former UBS trader Kweku Adoboli showed in 2012, governments do pursue criminal cases against individual traders. In that case, evidence of intentional wrongdoings were important - that evidence might not be as readily available in other alleged rogue trading incidents.

As the new year begins to unfold, businessmen and investors around the nation will continue to fall under investigation. For these new defendants, an experienced white collar defense lawyer could make all the difference for 2013.

Source: The New York Times, "Looking Ahead to Civil and Criminal Cases to Come," Peter J. Henning, Dec. 31, 2012

No Comments

Leave a comment
Comment Information

Coral Gables Office

Frank A. Rubino, Esq.
550 Biltmore Way Suite 780
Coral Gables, FL 33134

Local: 305-858-5300
Toll Free: 1-866-718-3994
Coral Gables Law Office Map
Email the Firm

Houston Office

Frank A. Rubino, Esq.
712 Main St
Houston, TX 77002

Local: 713-574-7716
Toll Free: 1-866-718-3994
Map and Directions
Email the Firm