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Securities Fraud California Securities

Allen Matkins

Department Of Financial Protection & Innovation Warns Investors About Nonexistent Class Action Settlement

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Yesterday, the California Department of Financial Protection & Innovation warned investors that an "entity calling itself “Hartman Cain & Associates,” which represents itself as a law firm based in California, and operates...more

Allen Matkins

Judge Rules Plaintiff Lacked Standing To Claim Damages Whilst Still Holding Securities

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Part 5 of the California Corporate Securities Law of 1968 sets forth a number of fraudulent and prohibited practices.  One of these practices is to "to offer or sell a security in this state, or to buy or offer to buy a...more

Allen Matkins

Are Securities Law And Unfair Competition Law Claims Miscible?

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Recently, I wrote about the ruling in Cress v. Nexo Financial LLC, 2023 WL 6609352 (Oct. 10, 2023).   Today's post covers a different issue addressed in that case - to what extent does California's securities law preclude...more

Allen Matkins

DFPI Goes Multimedia In Recent Crypto Enforcement Actions

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Early this week, the California Department of Financial Protection and Innovation issued desist and refrain orders alleging violations by the following individual and entities...more

Allen Matkins

A Truly Piscatory Exemption

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California's blue sky law, the Corporate Securities Law of 1968, generally requires that offers and sales of securities be qualified unless the security or transaction is exempt or not subject to qualification.  Most...more

Allen Matkins

Why Privity Matters

Allen Matkins on

In 2011, I posed the following question: Is Privity Required Or Not Required Under Section 25500?  Section 25500 of the California Corporations Code provides the remedy for violations of Section 25400 which declares unlawful...more

Allen Matkins

Insider Trading Under The CSL - There Is No Shadow Of Turning With Thee

Allen Matkins on

Last summer, the Securities and Exchange Commission charged yet another corporate insider, Matthew Panuwar, with insider trading.  This case was unusual because Mr. Panuwar did not trade in the securities of his employer,...more

Allen Matkins

Court Rules "Thoughtful," "Disciplined," and "Dynamic" Are But Short Blasts Of Wind

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Semper Midas Fund, Ltd was formed for to invest primarily in mortgage-related instruments.  Five months after investing over $300,000 in the fund, the Alan Kalin was told that that the fund had lost over 50% of its value. ...more

Allen Matkins

Securities Claim Fails Because Option Exercise Is Not A Sale

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A recent decision by the Nevada Supreme Court highlights the definition of "sale" in Section 25017 of the California Corporations Code.  The suit arose from the plaintiff's claim that certain facts were not disclosed to him...more

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