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Drug company lawyer taped trying to foil lawsuit
Legal Business |
2011/08/19 08:58
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International business can be an ethical jungle, but it's rare to get details of bare-knuckle tactics on tape.
A lawyer in Mexico for a leading U.S. drug manufacturer offered to pay an opposing expert in a lawsuit if he would leave the country on a key court date to undermine the case.
The company, Baxter International Inc., promotes itself as a champion of global anticorruption efforts. Baxter said the lawyer was not authorized to make any offers, and it has severed all ties with him.
The recording and its disclosure offer an unusual glimpse of fishy maneuvers in the global marketplace and come as the Justice Department and the Securities and Exchange Commission crack down on misconduct by U.S. companies abroad, part of a multinational effort to clean up commerce.
Based near Chicago, Baxter is a major manufacturer of intravenous drugs and medical devices. Its medications are used to treat people with hemophilia, kidney disease, immune system problems, infectious diseases, serious burns and other conditions.
The lawyer was talking to accountant Rafael Aspuru Alvarez, an expert witness for Translog, a trucking company embroiled in a $25 million legal dispute with Baxter's subsidiary in Mexico. |
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EEOC sues, argues man on treatment should be hired
Court Watch |
2011/08/18 09:18
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The U.S. Equal Employment Opportunity Commission has sued a national insurance company, contending the firm violated federal law by refusing to hire a North Carolina man after he disclosed he was participating in a methadone treatment program for a drug addiction.
The suit was filed Tuesday in U.S. District Court in Raleigh against United Insurance Co. of America, said EEOC attorney Lynette Barnes.
The complaint argues the firm violated federal disability discrimination law by refusing to hire Craig Burns, 30, who applied for a job in the firm's Raleigh office in December of 2009. The firm made a conditional offer of employment to Burns the following month, depending upon his passing a drug test, the complaint said.
The test showed the presence of methadone in his system, so Burns submitted a letter to the firm from his treatment provider saying he was participating in a supervised methadone treatment program and taking legally prescribed medication as part of the treatment, the complaint said.
Upon receiving this information, United Insurance notified Barnes he was not eligible to be hired and withdrew the employment offer, the complaint said. |
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NY court rejects $18M class action writers deal
Headline Legal News |
2011/08/18 09:18
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A federal appeals court in New York has rejected an $18 million class action settlement reached after freelance writers sued publishers.
The writers had said their copyrights were infringed upon when their works were reprinted online without permission.
The 2nd U.S. Circuit Court of Appeals in Manhattan said Wednesday the 2005 deal had to be scrapped because the plaintiffs didn't adequately represent all members of the class. It says more than 99 percent of claims wouldn't be covered by the settlement because they involved writers who hadn't registered copyrights.
The settlement was reached after the Supreme Court in 2001 ruled freelance writers have online rights to their work. The case largely applied to articles, photographs and illustrations produced 15 or more years ago. |
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Former CEO guilty in 'Ponzi' scheme
Headline Legal News |
2011/08/18 09:17
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The former CEO of an Austin-based investment firm was found guilty on Wednesday on federal charges that he schemed and defrauded investors out of millions of dollars.
Triton Financial CEO Kurt Branham Barton was named in a 39-count indictment alleging he used former NFL stars and church contacts to raise $50 million fraudulently from investors.
The counts against Kurt Branham Barton included money laundering, wire fraud and securities fraud. He is accused of using the money raised from investors "to support an expanding Ponzi scheme" and to enrich himself and the chief financial officer of his Triton Financial firm.
“It is regrettable that selfish, greedy individuals devise schemes to make themselves rich by victimizing honest and innocent people, often depriving the victims of their life savings," U.S. Attorney John E. Murphy said. "These con artists are usually very accomplished salesmen taking advantage of trusting investors, who unfortunately will never be made whole again."
Evidence presented during the eight-day trial showed that from December 2005 and December 2009, Barton devised a scheme to obtain money from investors under false pretenses. |
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EPA settles with owners of Mass. chemical plant
Headline Legal News |
2011/08/17 10:32
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The owners of a suburban Massachusetts chemical plant that exploded in 2006, destroying dozens of homes, have agreed to pay the federal government an estimated $1.3 million to help cover the cost of cleaning up the hazardous waste that was left behind.
The Environmental Protection Agency said a consent decree unveiled Monday requires the companies to pay for some of the $2.7 million spent by the agency to clean up the site after the explosion in Danvers, a town about 25 miles north-northeast of Boston.
The EPA said the action resolves claims against former operator CAI Inc. and property owners Sartorelli Realty LLC and Roy Nelson, of the Nelson Danvers Realty Trust.
The EPA also announced that CAI will pay $100,000 to settle allegations that conditions at the facility violated the federal Clean Air Act. The $1.3 million includes cash and the net proceeds from the sale of the property, assuming the property sells for its appraised value, the agency said.
A series of explosions at the ink and paint factory shared by CAI and Arnel Co. Inc. on Nov. 22, 2006, damaged 270 local homes and businesses. No one was killed or seriously injured. |
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