Sunday, April 1, 2007
At least for securities regulation professors, the news this week was in the courtroom. The U.S. Supreme Court heard oral arguments in two important cases: Credit Suisse (does the 33 Act preempt the antitrust laws in the regulation of IPO practices) and Tellabs (what is the standard for pleading scienter under PSLRA). In addition, the Supreme Court has accepted certiorari in another securities case addressing again the aiding and abetting issue. In the lower courts, two trials got a great deal of attention -- Lord Conrad Black, on allegations that he treated Hollinger Int'l like his personal piggy bank, and Joseph Nacchio, on insider trading charges for selling Qwest Communications stock.
On the regulatory front, the SEC adopted a rule that will make it easier for foreign private issuers to deregister their shares.