Law & Regulation
The U.S. government is investigating Citadel, a Chicago-based hedge firm and market maker that manages some $25 billion in client money, for allegedly giving smaller investors a bad deal. The Department of Justice wants to know if the firm is taking advantage of the complexity of high-speed trading.
Texaco, the American oil company that Chevron acquired in 2001, once poured oil waste into pits used decades ago for drilling wells in Ecuador's northeastern jungle. Texaco's roughnecks are long gone, but black gunk from the pits seeps to the topsoil here and in dozens of other spots. These days the only Chevron employees who visit the former oil fields do so escorted by bodyguards toting guns. They represent one side in a bitter fight that is developing into the world's largest environmental lawsuit, with $27 billion in potential damages.
Jamie Leigh Jones was just 20 in 2005 when she took a leap of faith to work in Iraq for her employer, military contractor Kellogg, Brown & Root, then a subsidiary of Halliburton. She went on a mission she believed in. Shortly after her arrival in Iraq, however, Jones' ambitions were dashed in an alleged gang rape by co-workers.
Three lawsuits filed on Monday provided new details about what regulators say went on inside Bernard L. Madoff's long-running Ponzi scheme, including information about who might have helped perpetuate the fraud for so long.
Hedge funds were just handed an opportunity to make even more money under a new law signed by President Barack Obama last month. Consumer advocates say that unsophisticated investors may be at risk as a result.
Six major international banks - Bank of America, Barclays, Citibank, JPMorgan Chase, Royal Bank of Scotland (RBS) and Union Bank of Switerland (UBS) - have agreed to pay $5.6 billion in fines for rigging global foreign exchange markets. Four of the six have pleaded guilty to criminal behavior, an unprecedented admission.
An influential Republican senator says he will propose legislation requiring drug makers to disclose the payments they make to doctors for services like consulting, lectures and attendance at seminars.
This week the Project on Government Oversight released damning allegations of deviant hazing at a camp for security guards in Afghanistan. Sparking questions from the State Department, POGO warned the problems are "posing a significant threat to the security of the embassy and its personnel."