Media Mentions
2008
Andrew D. Kaizer was quoted in the May 22 issue of HedgeWorld Daily News in an article regarding the regulatory risks for hedge funds that trade the debt of troubled companies. To protect against litigation, a "big boy letter," in which a buyer agrees not to sue a seller for holding back private information, can be used by hedge funds that sit on failing companies’ creditor committees and that may be privy to inside information. Mr. Kaizer warns, however, that these letters draw the attention of the SEC as the parties of the letter admit to trading on non-public information. "You can’t use private contracts to get around federal securities laws. The SEC can still bring an action," he said.
Andrew D. Kaizer, SEC Defense, Trial
Andrew D. Kaizer was quoted in the May 21 issue of HedgeWorld Daily News in an article regarding the listing of special purpose acquisition companies (SPACs) in exchanges governed by different rules. Mr. Kaizer noted that some traders purchase warrants when volatility increases at the end of an SPAC’s life cycle. The purchase of warrants just a few months before the announcement of an acquisition target, however, can attract the attention of U.S. regulators and result in allegations of insider trading. Mr. Kaizer noted that some traders may prefer to do business in London where regulators take a principles-based approach and insider trading is less likely to result in criminal prosecution.
Andrew D. Kaizer, SEC Defense, Trial
Andrew D. Kaizer was quoted in the January 1 issue of Financial Services Law 360 regarding mortgage-related class action litigation. "There's going to be considerably greater information available about the seizing up of credit markets in the coming weeks," Mr. Kaizer said. "And as more information becomes available, there will be more unhappy individuals turning to the courts for relief." In the same issue, he was quoted on the Klein & Co. Futures v. Board of Trade of New York case. "The appellee said it would have an enormous economic impact," Mr. Kaizer said. "But the facts of this particular case involve a narrow statutory interpretation. Therefore, in deciding this case, the Supreme Court will probably want to take a narrow approach to correctly interpret section 25(b)."
2007
Andrew D. Kaizer was quoted in the June issue of Corporate Secretary in an article regarding the protection of company employees who bring inappropriate or illegal action to light. Mr. Kaizer commented on the comfort level that most companies have with using hotlines to protect the employee. "They have an interest in finding out themselves whatever issues exist, correcting them and as appropriate, self-reporting them” he said. “First, companies want to get it right, for its own sake. Second, they can point to the whistleblower hotline structure, if the DoJ or SEC come calling. It doesn't have to be perfect, but it must be a real genuine effort," Mr. Kaizer concluded.
Andrew D. Kaizer, SEC Defense, Securities Litigation, Trial, White-Collar Criminal Defense
Andrew D. Kaizer was quoted in a May 30 article published by Compliance Week regarding the Security and Exchange Commission’s current problems targeting insider trading. Mr. Kaizer explains that in order for the SEC to be effective, it needs to keep up with the changing times. "There are derivative ways to trade that don't appear obvious. This makes it a more daunting task for regulators," Mr. Kaizer stated.
Andrew D. Kaizer, SEC Defense, Trial
Andrew Kaizer was quoted in a May 22 Compliance Week article on SEC enforcement actions against those who aid and abet securities fraud. The article notes that it is more difficult to hold these secondary players liable in civil suits. Citing a 1994 Supreme Court ruling, Mr. Kaizer said, “After Central Bank, there is no provision for a private litigant to pursue someone for aiding and abetting.”
Andrew D. Kaizer, SEC Defense, Securities Litigation, Trial
Andrew Kaizer was quoted by Compliance Week on May 1 in an article on an appeals court ruling that may reduce the number of fraud prosecutions based on the "honest services" theory. Mr. Kaizer said of federal mail and wire fraud law, "There were concerns that it was so broad, anyone who engages in a breach of fiduciary duty could be called a criminal."
