Securities / Financial Fraud

For the past four decades, CPM has been one of the preeminent securities litigation firms throughout the United States, returning money by way of settlements and jury verdicts to shareholders and pensions.

RECENT CASES OF NOTE

In re BP Securities Litigation
USDC Southern District of Texas
CPM is Co-Lead Counsel for investors who purchased American Depository Receipts ("ADRs") issued by BP, and suffered damages following the Gulf of Mexico explosion and oil spill.  Plaintiffs allege that BP and its senior executives falsely touted BP’s safety and risk management practices relating to its deep sea drilling operations.  Plaintiffs prevailed at the Motion to Dismiss stage and are waging in discovery with defendants.

In re Medical Capital Securities Litigation
USDC Central District of California
CPM is Co-Lead Counsel for noteholders who invested in Medical Capital, a receivable company that turned out to be a ponzi scheme. The case against Medical Capital's indenture trustees, Wells Fargo and Bank of New York, is set for trial in April 2013. 

In re Homestore.com, Inc. Securities Litigation
USDC Central District of California
CPM was Lead Counsel in a securities fraud class action representing CALSTRS against Homestore.com, Inc., its senior officers and directors, its auditors, and other companies who engaged in  fraudulent "roundtripping" transactions, increasing revenues by false accounting methods.  In 2004 the court approved a settlement in which Homestore agreed to reform its corporate policies and pay approximately $93 million in stock and cash.  In 2011, CPM obtained a jury verdict against a Homestore executive for securities fraud. (Jury Verdict 2011)

Weili Dai et al. v. Goldman Sachs & Co. et al.
FINRA Arbitration
CPM represents Weili Dai and Sehat Sutardja – the co-founders of Marvell Technology Group, a leading global semiconductor company – in a securities fraud action against Goldman Sachs and two account executives.  The Statement of Claims alleges Goldman put Dai and Sutardja in unsuitable investments, and contrived a margin call during the 2008 financial collapse, defrauding Dai and Sutardja of hundreds of millions of dollars.

Lehman Brothers Litigation
USDC Southern District of New York
CPM serves as liaison counsel and represents San Mateo County, Monterey County, the cities of Auburn, San Buenaventura, Burbank, and Zenith Insurance Company in a securities action relating to their investment losses in Lehman Brothers. Defendants allegedly hid the company’s exposure to mortgage-related losses, as it reported record profits and gave lucrative bonuses to its executives.

Pay By Touch Litigation
San Francisco Superior Court
CPM represented investors, including the Getty family trusts, in a securities action against UBS Securities and former executives of Pay By Touch alleging fraud and negligent misrepresentation. (Settled 2011).

California State Teachers’ Retirement System v. Qwest Communications
San Francisco County Superior Court
CPM represented CALSTRS in a securities action for losses in excess of $100 million. The complaint charges certain Qwest executives and directors, its accountants, and banks with violations of state securities laws and alleges that defendants made false and misleading statements about Qwest's financial condition. (Settled 2007).

California State Teachers’ Retirement System v. AOL Time Warner
Los Angeles County Superior Court
CPM represented shareholders in a securities action against AOL for misrepresenting its financials and artificially inflating its stock price. (Settled 2007)