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2011年10月11日星期二

U.S. judge puts brakes on SEC's Deloitte case

AppId is over the quota
AppId is over the quota

* Questions why SEC doesn't go through Hague

* Asks SEC to file additional briefs next week

* Lawyers for Deloitte have not yet appeared in case

By Aruna Viswanatha

WASHINGTON Oct 7 (Reuters)- A federal judge on Friday put the brakes on the U.S. government's attempt to quickly get documents related to possible accounting fraud at Chinese companies listed on U.S. stock exchanges.

U.S. Magistrate Judge Deborah Robinson questioned whether she could force a Chinese unit of accounting firm Deloitte & Touche to hand over records to the U.S. Securities and Exchange Commission.

In September the SEC asked the court to enforce a subpoena it sent to Deloitte seeking information about its Chinese unit's audits of Longtop Financial Technologies Ltd , a Chinese company under investigation by the SEC.

Dozens of China-based companies have disclosed auditor resignations and booking-keeping irregularities in the past year, prompting a broad SEC and Justice Department review.

But the probes have stalled as investigators face difficulties in obtaining documents and evidence from auditors in China.

On Friday, Robinson asked why the agency was not going through procedures set up by the Hague Convention to access that information and is instead going through U.S. courts.

That route would mean a long delay, SEC lawyer Mark Lanpher said in court. "We're talking about months and months," he said. "Time is of the essence."

Lawyers for Deloitte have not formally acknowledged to the court that they are representing Deloitte or have the motion, since Deloitte is not technically a defendant, a status that slows the process further.

Robinson ordered the SEC to submit by next Friday a brief outlining precedent for the court to force Deloitte to respond, and to show the SEC doesn't have to go through the Hague first.


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2011年10月10日星期一

Bankruptcy judge denies Dodgers request for Selig details

AppId is over the quota
AppId is over the quota

n" readability="60">Oct 7 (Reuters) - U.S. Bankruptcy Judge Kevin Gross denied a request by the Los Angeles Dodgers to expand the team's access to data regarding Major League Baseball Commissioner Bud Selig's handling of other teams.

"The court's focus is and shall remain on LAD and Mr. McCourt on the one hand and the commissioner on the other," Gross said, referring to the Dodgers, their owner Frank McCourt and commissioner Selig.

"The discovery LAD seeks would improperly shift the spotlight to the 29 other teams," he said in a filing released on Friday.

The MLB declined comment, while the Dodgers took the ruling like good sports.

"We appreciate Judge Gross' careful consideration of our arguments. We look forward to the opportunity to demonstrate that Commissioner Selig has not acted in good faith with respect to the Dodgers, and that the Dodgers have fully complied with the Baseball Agreements and have not engaged in any wrongdoing," the Dodgers said in a statement,

An evidentiary hearing in the contentious Dodgers bankruptcy case is set to begin on Oct. 31 as the two sides continue to spar over control of the team and the Dodgers' plan to auction its TV rights.

The team, which filed for bankruptcy in June, wants to move forward with an auction of its broadcast rights. The auction is expected to help refinance the team and allow McCourt hold onto it after bankruptcy.

MLB has disputed the team's need for bankruptcy and have questioned McCourt's personal interests and spending. [ID:nS1E78Q0MD].

Judge Gross of the U.S. Bankruptcy Court for the District of Delaware last week scheduled an evidentiary hearing for Oct 31, Nov 1, 2 and 4.

The case is In re: Los Angeles Dodgers LLC, U.S. Bankruptcy Court, District of Delaware, No. 11-12010.

(Editing by Bernard Orr)


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