In S.E.C. Fraud Suit, Texas Brothers Stand Firm
By David Segal
New York Times
August 23, 2010

EXCERPT:

How strong is the case? “Pretty strong,” said Ronald J. Colombo, an associate professor of securities and corporate law at Hofstra University, “though not a no-brainer.”

Professor Colombo, based on his reading of the complaint, said the S.E.C. was likely to argue that assets in those trusts were under the control of the Wylys. He said that when a person can command a trust to buy specific paintings and jewels, at a specific price, on a specific date, as the Wylys regularly did, that person would seem to be controlling it.

Read the full article at nytimes.com.

The first director of CFPA
by Norman I. Silber
The Hill Congress Blog
August 18, 2010

EXCERPT:

Last month, Congress created an independent regulatory body within the Federal Reserve System, a body designed to address consumer financial products. The near-collapse of the banking system, and the economic and human devastation resulting from a dysfunctional lending market,precipitated this reform.

Echoes of the Wiley drama resound in this modern controversy. The question today is whether Professor Elizabeth Warren of the Harvard Law School and Chair of the TARP Congressional Oversight Panel should be appointed (by the President, with the advice and consent of the Senate) as the first Director of the new Bureau of Consumer Financial Protection.

Read the full article at thehill.com.

According to a new report authored by Professor James Sample, spending on state Supreme Court elections has more than doubled in the past decade, from $83.3 million in 1990-1999 to $206.9 million in 2000-2009, and deep-pocketed special interests play a dominant role in choosing state jurists.

The report, "The New Politics of Judicial Elections, 2000-2009: Decade of Change," features a Foreword by Justice Sandra Day O'Connor.

In an interview with the Associated Press, included here in the Los Angeles Times, Sample said: “These corporations and trial lawyers have millions of millions of dollars at stake, and they feel if they can just spend a few million dollars to influence the outcome, it’s worth it. We're sort of playing with fire when you're putting this much money into our courts.”

The Associated Press article was picked up by hundreds of news outlets around the country. To listen to a radio interview with Professor Sample on this topic, please click here.

To read the full report, click here.

A deep bench of substitute justices goes unused
By Robert Barnes
The Washington Post
August 9, 2010

EXCERPT:

And, at some point, theory steps aside and reality sets in. "It's an interesting idea," said James Sample, a Hofstra law professor who has specialized in studying judicial recusals. "The challenge is that it's so difficult to divorce discussion of the proposal from the individual justices who might end up replacing the recused justices."

Read the full article at washingtonpost.com.

SEC's fraud case against Wyly brothers may be strong, experts say
By ERIC TORBENSON
The Dallas Morning News
August 8, 2010

EXCERPT:

The Wylys likely violated the federal laws governing stockholder disclosures, said Ronald Colombo, a law professor at Hofstra University School of Law who recently published research on the disclosure law and its history. What that means in terms of penalty isn't clear; typically violators are required to simply disclose their positions accurately and possibly pay a fine, Colombo said.

"It's pretty rare that the SEC goes after anybody just for failing to correctly disclose their positions," he said. "They usually bring it with other allegations," because the consequences usually aren't that dire for failing to disclose ownership of shares.

Read the full article at dallasnews.com.