Westlaw Topical Highlights: Securities, July 18, 2013

July 18, 2013

Reuters ImageTopical Highlights for Securities provides summaries of significant federal and state judicial decisions and legislative and administrative activities affecting Securities law. A Westlaw subscription is required to access the documents linked from this page

Industry Regulation: Rule requiring disclosure of payments made to foreign governments in connection with commercial development of oil was invalid.  American Petroleum Institute v. S.E.C. 2013 WL 3307114 (D.D.C.) A Securities and Exchange Commission (SEC) rule promulgated pursuant to the Dodd-Frank Act, requiring public disclosure of payments made to foreign governments in connection with the commercial development of oil, natural gas, or minerals, was based not on SEC’s own judgment, but on its misreading of the statute to mandate public disclosure. As a result, the agency’s action was invalid. The statute said nothing about “public” filing of reports, its public availability requirement was limited to a compilation of information, and the Exchange Act as a whole used the word “report” to refer to disclosures made to SEC alone. The appropriate remedy was vacatur. 2013 WL 3307114  (The full-texts of the rest of the Topical Highlights are available within Westlaw Next, subscription required)

Fraud: Role of counsel could not be emphasized in action relating to offering of synthetic CDO.  S.E.C. v. Tourre 2013 WL 3089031 (S.D.N.Y.)

Fraud: Securities and Exchange Commission sufficiently pled that chief executive officer’s statements were materially misleading.  S.E.C. v. Goldstone 2013 WL 3456875 (D.N.M.)