{"id":5430,"date":"2013-03-27T00:00:00","date_gmt":"2013-03-27T05:00:00","guid":{"rendered":"https:\/\/institutionalinvestorsecuritiesblog.blawgcloud.com\/2013\/03\/institutional_investment_fraud_3"},"modified":"2022-05-04T13:36:02","modified_gmt":"2022-05-04T18:36:02","slug":"institutional-investment-fraud-3","status":"publish","type":"post","link":"https:\/\/www.investorlawyers.com\/blog\/institutional-investment-fraud-3\/","title":{"rendered":"Institutional Investment Fraud and The Courts: District Court Won\u2019t Stay Derivatives Case Alleging FCPA Violations, Control Person Claims Against Over Revenue Bond Purchases Can Proceed, Ex-Hedge Fund Manager Gets Enhanced Securities Fraud Sentence"},"content":{"rendered":"<p><strong>District Court Won\u2019t Stay Derivatives Case Alleging FCPA Violations<\/strong><\/p>\n<p>The U.S. District Court for the Eastern District of Louisiana decided not to stay a <a href=\"https:\/\/www.investorlawyers.com\/derivative-securities-derivatives-mortgage-backed-securities-mbs.html\">shareholder derivative lawsuit<\/a> accusing Tidewater Inc. of violating the Foreign Corrupt Practices Act. Judge Jane Triche Milazzo believes that a stay would burden not just the court but also the defendants. The court threw out the case last year, concluding that shareholder plaintiff Jonathan Strong, who did not make a presuit demand on the Tidewater board, failed to plead with particularity why such a demand was futile.<\/p>\n<p>Per Strong, the offshore energy services provider violated the act when it ignored payments of about $1.76M that a subsidiary made to government officials in Nigeria, allegedly to get around custom regulation to be able to import vessels into that nation\u2019s waters, and Azerbaijan, allegedly as bribes over tax audits. The derivatives lawsuit was filed after the Tidewater and the subsidiary agreed to pay about $15.5 million in a related settlement with the US Department of Justice and the Securities and Exchange Commission.<\/p>\n<div class=\"read_more_link\"><a href=\"https:\/\/www.investorlawyers.com\/blog\/institutional-investment-fraud-3\/\"  title=\"Continue Reading Institutional Investment Fraud and The Courts: District Court Won\u2019t Stay Derivatives Case Alleging FCPA Violations, Control Person Claims Against Over Revenue Bond Purchases Can Proceed, Ex-Hedge Fund Manager Gets Enhanced Securities Fraud Sentence\" class=\"more-link\">Continue Reading \u203a<\/a><\/div>\n","protected":false},"excerpt":{"rendered":"<p>District Court Won\u2019t Stay Derivatives Case Alleging FCPA Violations The U.S. District Court for the Eastern District of Louisiana decided not to stay a shareholder derivative lawsuit accusing Tidewater Inc. of violating the Foreign Corrupt Practices Act. Judge Jane Triche Milazzo believes that a stay would burden not just the court but also the defendants. [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[3959,3748,3741],"tags":[],"class_list":["post-5430","post","type-post","status-publish","format-standard","hentry","category-derivatives","category-hedge-funds","category-securities-fraud"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Institutional Investment Fraud and The Courts: District Court Won\u2019t Stay Derivatives Case Alleging FCPA Violations, Control Person Claims Against Over Revenue Bond Purchases Can Proceed, Ex-Hedge Fund Manager Gets Enhanced Securities Fraud Sentence &#8212; Investor Lawyers Blog &#8212; March 27, 2013<\/title>\n<meta name=\"description\" content=\"District Court Won\u2019t Stay Derivatives Case Alleging FCPA Violations The U.S. District Court for the Eastern District of Louisiana decided not to stay a &#8212; March 27, 2013\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.investorlawyers.com\/blog\/institutional-investment-fraud-3\/\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"Institutional Investment Fraud and The Courts: District Court Won\u2019t Stay Derivatives Case Alleging FCPA Violations, Control Person Claims Against Over Revenue Bond Purchases Can Proceed, Ex-Hedge Fund Manager Gets Enhanced Securities Fraud Sentence &#8212; Investor Lawyers Blog &#8212; March 27, 2013\" \/>\n<meta name=\"twitter:description\" content=\"District Court Won\u2019t Stay Derivatives Case Alleging FCPA Violations The U.S. District Court for the Eastern District of Louisiana decided not to stay a &#8212; March 27, 2013\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Shepherd Smith Edwards &amp; Kantas, LLP\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Institutional Investment Fraud and The Courts: District Court Won\u2019t Stay Derivatives Case Alleging FCPA Violations, Control Person Claims Against Over Revenue Bond Purchases Can Proceed, Ex-Hedge Fund Manager Gets Enhanced Securities Fraud Sentence &#8212; Investor Lawyers Blog &#8212; March 27, 2013","description":"District Court Won\u2019t Stay Derivatives Case Alleging FCPA Violations The U.S. District Court for the Eastern District of Louisiana decided not to stay a &#8212; March 27, 2013","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.investorlawyers.com\/blog\/institutional-investment-fraud-3\/","twitter_card":"summary_large_image","twitter_title":"Institutional Investment Fraud and The Courts: District Court Won\u2019t Stay Derivatives Case Alleging FCPA Violations, Control Person Claims Against Over Revenue Bond Purchases Can Proceed, Ex-Hedge Fund Manager Gets Enhanced Securities Fraud Sentence &#8212; Investor Lawyers Blog &#8212; March 27, 2013","twitter_description":"District Court Won\u2019t Stay Derivatives Case Alleging FCPA Violations The U.S. District Court for the Eastern District of Louisiana decided not to stay a &#8212; March 27, 2013","twitter_misc":{"Written by":"Shepherd Smith Edwards &amp; Kantas, LLP","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.investorlawyers.com\/blog\/institutional-investment-fraud-3\/#article","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/institutional-investment-fraud-3\/"},"author":{"name":"Shepherd Smith Edwards &amp; Kantas, LLP","@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"headline":"Institutional Investment Fraud and The Courts: District Court Won\u2019t Stay Derivatives Case Alleging FCPA Violations, Control Person Claims Against Over Revenue Bond Purchases Can Proceed, Ex-Hedge Fund Manager Gets Enhanced Securities Fraud Sentence","datePublished":"2013-03-27T05:00:00+00:00","dateModified":"2022-05-04T18:36:02+00:00","mainEntityOfPage":{"@id":"https:\/\/www.investorlawyers.com\/blog\/institutional-investment-fraud-3\/"},"wordCount":682,"articleSection":["Derivatives","Hedge Funds","Securities Fraud"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/www.investorlawyers.com\/blog\/institutional-investment-fraud-3\/","url":"https:\/\/www.investorlawyers.com\/blog\/institutional-investment-fraud-3\/","name":"Institutional Investment Fraud and The Courts: District Court Won\u2019t Stay Derivatives Case Alleging FCPA Violations, Control Person Claims Against Over Revenue Bond Purchases Can Proceed, Ex-Hedge Fund Manager Gets Enhanced Securities Fraud Sentence &#8212; 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