Search

Discusses the legal troubles of Appleton Papers. Dangers of working with the company's carbonless copy paper (CCP); Allegations that Appleton has mounted a campaign to conceal a potential health hazard involving its most profitable product; Complaints of plaintiffs regarding the company's intimidation and harassment during cases; Evidence linking CCP to health symptoms.

The article discusses the lawsuit filed by the Association of Western Pulp & Paper Workers (AWPPW) in the U.S. District Court of Porland, Oregon, against the U.S. Council on Wage & Price Stability (COWPS), its director Barry Bosworth, anti-inflation chief enforcer Alfred E. Kahn, and Federal Procurement Policy administrator Lester A. Fettig to challenge the authority of COWPS to set wage standards in the paper industry.

Recounts how California surfers with the help of the Surfrider Foundation, sued two polluting pulp mills. Expectation of a heavy penalty on the mills; Impact of the untreated toxic soup on the water of the Pacific; Efforts of the mills to cleanse effluent.

Focuses on documents related to the merger of Lockheed Martin and Northrop Grumman. Refusal of the United States Justice Department to return documents to Lockheed Martin; Their reasons; Reaction of Federal Judge Emmet Sullivan.

The article reports on a lawsuit filed by the Independent Bankers Association of Texas (IBAT) against the Citizens Federal Credit Union in the Dallas federal court on banking violation charges with respect to the issuance of so-called checklike share drafts. There are speculations that IBAT members are willing to tolerate checklike instruments from credit unions due to profits. It explains that naming First National Bank and the Federal Reserve System as defendants allow IBAT to challenge the method of handling the drafts.

Informs about the consequences of Hedged-Investments Associates Inc.'s action of filing for Chapter 11 in the U.S. Bankruptcy Court in Denver, after losing all of its assets to investments in United Airlines Inc. (UAL). Analysis of Hedged President James D. Donahue's plan regarding the working of investments; Report that the U.S. Securities & Exchange Commission and the Colorado Division of Securities are looking into Hedged-Investments, and the Federal Bureau of Investigation is probing possible criminal charges; List of some of the stunned investors; Fact that Donahue faces a law-suit in the U. S. District Court in Denver from Weyerhaeuser Co., which charges fraud in connection with the UAL investment. INSET: Donahue's program for success..

Presents business news briefs. Report that European regulators have prepared a final ruling in the five-year-old case requiring Microsoft to sell two versions of its Windows operating system; Report that rivals Johnson & Johnson and Guidant have joined forces to thwart a challenge in the coronary stent market from Boston Scientific; Report that the SEC has said it would give companies an extra five months to comply with new rules that require executives of public companies to assess the adequacy of their internal controls at the end of each fiscal year; Report that diaper and tissue maker Kimberly-Clark has announced that it is considering a tax-free spin-off of its paper and pulp businesses; More.

The article describes the business practices of companies that purchase consumer debt obligations that have been discharged by bankruptcy courts. The market for discharged debts encourages some companies to pressure consumers to pay them. Van Rathavongsa, whose debt was canceled by a bankruptcy court, sued credit card company Capitol One Financial in 2003 for failing to update his credit report to indicate the debt was discharged. INSET: DEBT THAT WON'T DIE.

The article considers how the proposed tobacco settlement announced by Mississippi Attorney General Mike Moore may prevent the disclosure of documents that would have come to light through litigation. Critics of the deal now charge that Moore's declaration is an empty boast. When the settlement was announced, tobacco foes immediately pounced on how the pact limits nicotine regulation and treats company liability. But Minnesota Attorney General Hubert H. Humphrey has said that document disclosure is an issue of equal importance. The main criticism of the deal's disclosure provisions is that they let the industry continue shielding incriminating papers behind attorney-client privilege. The tobacco papers can be unsealed under the proposed settlement--but in each case a panel of three federal judges must rule on whether the privilege protection should be waived.

The article offers news briefs related to business in the U.S. Trimm F. Crull has been appointed as president and chief operating officer of Norton Simon Inc. Franklin Container Corp. and Tim-Bar Paper Co. have filed an antitrust lawsuit in the U.S. District Court in Philadelphia, Pennsylvania against the country's nine largest paper-box makers. It announces the resignation of H. Johannes Witteveen as managing director of the International Monetary Fund (IMF).

The article reports on the announcement of Equal Employment Opportunity Commission (EEOC) Chairman Eleanor Holmes Norton that declares their rejection of the proposed job discrimination charges against International Paper Co. and four labor unions in the U.S. According to Norton, the case against International Paper Co. requires seniority and the commission has no authority in doing so. However, it is stated that EEOC can still testify for discrimination but it cannot tackle seniority system.

This article looks at Dr. Steven E. Nissen, a gadfly and clinical trials leader to determine the effectiveness and safety of drugs. Nissen was one of the first to raise alarms about Merck's Vioxx and Pfizer's Celebrex. Nissen speaks out about the safety of drugs even though he has ties to some of the pharmaceutical companies. He helped device companies create and test a device for measuring a drug's cardiovascular therapies. His report on the diabetes drug Pargluva from Bristol-Myers Squibb and Merck may have killed the drug. INSET: Med Maverick.

Highlights the First Amendment case filed against the periodical `Business Week' concerning its coverage of the racketeering charges against Bankers Trust Co. Lawyer Steven Holley's provision of `Business Week' with a copy of sealed court documents.

The article focuses on the sentence for president Robert J. Rodgers of H. S. Crocker Co. of San Bruno, California and other chief executive officers (CEOs) of nine paper-label companies due to price-fixing charges. It states that the U.S. District Court Judge Charles B. Renfrew handed the novel sentence for Rodgers and other CEOs such as 10,000 to 15,000 dollars corporate fines and 4,000 to 15,000 dollars personal fines. It mentions that one CEO says that price-fixing cannot be stopped.

The article reports on the Erie, Pennsylvania-based firm Hammermill Paper Co., which is involved in a lawsuit over the plan to merge it to other company. Hammermill president Albert F. Duval is rejecting the move by New York-based arbitrageur Carl C. Icahn and his group to force the company into a merger. Icahn's group has acquired a 10.5% stake in the firm for 20.2 million dollars with a sole aim to force the company into a merger.

This section offers global business news briefs as of April 14, 1980. A lawsuit was filed by Hammermill Paper Co. against New York broker Carl C. Icahn for violating federal securities laws for not revealing his true purpose in buying 10.2 percent of the firm's stocks. The 13-week steel strike in Great Britain has ended on April 1 after a pay settlement between by steelworkers and British Steel Corp. The Canadian government has decided to cancel a deal with Syncrude Canada Ltd. and Suncor Inc.

Elite Model Management, the largest modeling network in the world, has been at the center of a $50 million class action. The lawsuit, originally filed on behalf of some 10,000 models against Elite and 12 other agencies, went to trial on June 1. The models allege rampant, decades-long price-fixing. The suit was just part of Elite's legal woes. In a separate case last year, a jury awarded $5.2 million to Victoria Gallegos, a former executive trainee who sued Elite over a hostile work environment -- they smoked, she had asthma -- and wrongful termination. Elite is appealing. Largely because of that judgment, Elite Model Management New York filed for bankruptcy in February. Its assets, including Elite Los Angeles, Elite Miami, and other North American subsidiaries, are now for sale. According to class-action court papers, models could still go after the assets of Elite founder John Casablancas, who cashed out for millions in 1999, as well as assets they claim were diverted to Switzerland. Lawyers fighting Elite are questioning whether the Swiss parent, headed by President Gérald Marie and Larpin, and Elite New York, both private outfits, have hidden and diverted assets through a tangled web of subsidiaries, franchisees, and Swiss bank accounts to dodge taxes and court awards. The class action, filed in the U.S. District Court for the Southern District of New York, alleges that Elite, founded in 1972, was a pivotal player in price-fixing for more than 20 years. Under the auspices of the International Model Management Assn. trade group, lawyers allege, the agencies met monthly at fancy Manhattan restaurants primarily to discuss fees.

Focuses on the impact of the indictment of Arthur Andersen because of charges of shredding papers related to the accounting firm's audit work at Enron Corp. Possibility that 85,000 Andersen workers will lose their jobs; Impact on the other audit clients of Andersen who will have to switch firms; Loss of retirement savings by Enron shareholders, who were trying to receive funds from Andersen; Outlook for what legal action will follow after the indictment.

This article presents information about an impending legal problem for General Electric Co. (GE). GE and Bayer are being sued in more than 400 lawsuits for their liability in cases involving certain persons suffering from nephrogenic systemic fibrosis. The lawsuits allege that a contrast agent named Omniscan that is injected in patients having a magnetic resonance image (MRI) scan has caused the disease in patients with weak kidneys.

The article reports on troubles faced by financial services company UBS AG. The U.S. auction-rate securities market collapsed in 2008, and UBS faces lawsuits from regulators in Massachusetts and New York alleging fraud. According to regulators, UBS purchased more auction-rate securities than it could handle and deceptively marketed the securities to consumers as safe investments.

The article reports on the move of Westinghouse Electric Corp. to file an antitrust suit against 29 uranium producers in the U.S. It mentions that the action of the company was not wholly expected, but the rumors that a sub-rosa cartel has been propping up uranium prices influenced it. It reveals that the rumor on cartels caused big trouble for Westinghouse and with this, dozens of utilities were using them for some two billion dollars.

The article focuses on the indictment of Sol Shearn Rovinsky, former treasurer of Dallas, Texas-based Zale Corp., which greatly affects the company's reputation in 1976. It indicates that Zale Corp. has five million dollars worth of business losses which result from the misapplied funds. It asserts that Rovinsky's indictment causes a shortage of more than one million dollar. It also says that the issue of publicity fallout is even more damaging than the misused funds.

The article reports that attorney Carl E. Person plans to offer 100,000 shares in a lawsuit, in which the interest would be used to pay the costs of the suit.

The article reports on several actions taken by antitrusters of the administration of U.S. President Gerald Ford to vigorously enforce antitrust laws. The problems faced by antrusters are highlighted by inflation and recession. As of December 14, 1974, antitrusters have revived prosecutions of several big companies such as ITT and three television networks. Congress also raised maximum fines to 1-million U.S. dollars.

The article reports on the demand of Iran to unfreeze and return to the country over 11 billion-dollar worth of assets that have been blocked by a Presidential order for more than a year in the U.S. It mentions that the postulation came after the Iranian hostage crisis ended and asserts that over 250 lawsuits have been filed among U.S. courts which include those expropriated by the Islamic revolutionary government. It affirms that there will again be a possibility for hostage settlement papers.

The article reports on the copier problem inherited by the German automaker Volkswagenwerke when it acquired the Royal brand marketed by Litton Industries Inc. Royal dealers have filed lawsuits against Litton for selling them defective equipment. In response to the charges, Litton claimed that they were without merit but Royal Business Machines Inc. was hit with 1.2 million U.S. dollars in damages.

Focuses on a wrongful-dismissal suit involving General Electric Co. (GE) and spotlighting price-fixing charges. Federal District Court jury hearing in Cincinnati, Ohio to hear evidence on why GE vice-president Ed Russell was fired; Russell's claim of being dismissed after revealing a diamond price-fixing scheme involving GE; Counterclaims of GE. INSET: All that sparkles doesn't shine: GE's diamond mess..

The article discusses the two biggest court cases in the history of the U.S. antitrust laws as of 1981. These cases are the government's massive antitrust case against American Telephone & Telegraph Co. and the blockbuster of the Justice Department against International Business Machines Corp. The article notes that the cases are particularly difficult because both delve into the intricacies of computer and communications technology.

The article discusses the investigation for those who are associated with the mortgage crisis. Federal securities regulators, U.S. attorneys, and state attorneys general are investigating people at the highest levels of finance, according to the article. The June 2008 arrests of former Bear Stearns hedge fund managers Ralph Cioffi and Matthew Tannin for alleged fraud has been the only high-profile case thus far. The exception loans that investigators are focusing on are discussed. INSET: THE SCOPE OF THE PROBES.

This article introduces Ronald Astin, a Vinson & Elkins partner, who sent a memo to the management committee of his law firm in Houston, Texas. Astin complained that he should be receiving a higher paycheck for work that he was doing with a Vinson & Elkins client called Enron. This article describes how Vinson & Elkins is more than happy to give Astin that credit in the midst of the Enron class action lawsuits.

This article reports on a campaign against the pirating of computer software in Italy launched by the Business Software Association (BSA). The pirating of computer programs in the country costs manufacturers $500 million a year. Armed with court orders, Italian court officials and lawyers for the BSA are coming in on companies to see if their software has been purchased legally or illegally copied. The first lawsuit was filed on April 6, 1989 against chemical company, Montedison SpA. BSA claims that 100 of the 120 personal computers inspected at Montedison were using illicit copies of Lotus Development Corporation's 1-2-3 spreadsheet program and Ashton-Tate Incorporated's dBase program. According to Gianni Catalfamo of Lotus, Lotus lawyers met with Montedison representatives in 1988 to discuss the problem, but were brushed off.

The article reports on issues pertaining to the legal battle between Pennzoil Co. and Texaco Inc. in the United States citing a court decision in favor of Pennzoil. Despite the decision, Texaco's stock failed to recover with credit-rating agencies downgrading the company's senior debt and commercial paper to below investment grade. Texaco is also expected to experience some troubles because of the retirement of its Chairman John K. McKinley.

The article reports on the U.S. District Court decision upholding the contention of Berkey Photo Inc. that Eastman Kodak Co. unlawfully monopolized the market for film, cameras and color-print paper in Manhattan, New York City in February 1978. Lawyers believe that the case would pose a major threat to industry leaders if Berkey wins an appeal. It mentions that Kodak has settled similar lawsuits filed by Bell & Howell. Also explained is the rationale behind the request of Kodak for a jury trial.

Reports on the business ventures of football player O.J. Simpson to help him pay for his legal defense in the United States. Request for his attorneys to file registration papers to trademark either his O.J. or Juice nicknames; Other ventures of Simpson including the publication of his book "I Want to Tell You"; Use of the money to pay for his legal defense.

Discusses the investigation of American International Group Inc. by the Securities & Exchange Commission and the U.S. Justice Department that may bring civil securities-fraud charges against the company. Description of the four warnings issued in three weeks by the two regulators; Opinion of AIG that the investigation is unwarranted; History of AIG's legal struggles; Analysis of securities industry regulation post-Enron. INSET: Why AIG Is on the Outs.

The article focuses on the complications in the case filed against Reserve Mining Co. by the environmental groups for continuing the practice of dumping asbestos containing waste from its Silver Bay plant in Minnesota. A hearing officer stated that the company must build an on land disposal site with an estimated cost of 440 million dollars within a year or shutdown. However, Reserve has already stated that it cannot afford the site recommended by the officer.

The article discusses the approach of California Computer Products Inc., Memorex Corp., and Telex Corp. in managing a giant lawsuit against the International Business Machine Corp. (IBM) in the U.S. The three companies hoped to net million dollars or more from damages in the antitrust lawsuit. Officials in California Computer, Telex, and Memorex have spent several months in amassing mounting of data for alleged IBM's monopoly in the market for disk drives and computer peripherals.

The article focuses on how media companies in the U.S. fight libel suits. It relates the cases of American Broadcasting Cos. (ABC) and "Penthouse" magazine wherein they convinced the juries that they have not committed libel. It mentions that media companies have been purchasing libel insurance to protect themselves against big judgments. Moreover, media defendants are following a strategy to make plaintiffs pay some of the defense costs to discourage libel suits.

This article discusses an antitrust lawsuit filed by Cable News Network (CNN) against television networks ABC, CBS and NBC in the U.S. District Court in Atlanta, Georgia. CNN accused the networks of monopolizing the coverage of major news events. The lawsuit also contended that the administration of President Ronald Reagan prefers the old networks. Robert E. Turner, owner and chairman of CNN, criticized the three networks of combining their resources to prevent CNN from competing.

The article focuses on the effort of the U.S. Court of Appeals for the District of Columbia to cut legal paperwork. In the legal challenge filed against a set of clean air regulations issued by the U.S. Environmental Protection Agency, the court faces a more manageable task than many simpler cases they have considered because of a civil appeals management plan that the court is testing on multiparty cases. Information on how the court's chief staff counsel, Michael Davidson, implements the plan is offered.

Reports on how New York Attorney General Eliot Spitzer filed suit against some of the biggest companies in the insurance industry on allegations of fraud. Consideration of how the current system allows each state to oversee insurance in its own way with separate state commissioners, laws, and rates; Lobbying by insurers with the federal government for the proposal of a new system that would take power away from individual states; How a congressional bill called State Modernization & Regulatory Transparency crafted by Representative Richard Baker would require states to adopt common standards and allow for the acceleration of the process for getting products to market.

Reports that Wal-Mart Stores Inc. is trying to forestall pretrial evidence-gathering in the largest sex discrimination case in U.S. history. Details of the suit, which covers over a million current and former female workers; Argument by Wal-Mart to freeze discovery because of what it feels is excessive information gathering.

The article offers news briefs related to business. The financial services company Merrill Lynch is selling the majority of its collateralized debt obligations (CDO's) to the investment company Lone Star Funds. New York Attorney General Andrew Cuomo filed lawsuits against U.S. brokerage units of the Swiss bank UBS. Kohlberg Kravis Roberts (KKR), a private equity firm, announced that it would go public

The article focuses on the National Arbitration Forum (NAF), a Minneapolis, Minnesota for-profit company that advertises itself to consumers as an unbiased, quick and inexpensive claim resolver. It is suggested that, in fact, NAF operates as a a major tool for debt collection, and it is suggested that NAF is nothing more than an arm of the collection industry. The use of NAF for collection-arbitration cases by patrons such as JPMorgan Chase and Bank of America is also discussed. INSET: ARBITRATION STEP BY STEP.

This article discusses a lawsuit filed by Tanya Anderson against the recording industry claiming that their efforts to limit piracy entailed the invasion of personal privacy, conspiracy and intimidation. The lawsuit names the Recording Industry Association of America, SafeNet MediaSentry, TimeWarner Music Group, EMI Group, Sony BMG Music Entertainment and the Settlement Support Center as plaintiffs. It describes the probable legal strategy for the plaintiffs.

The article presents news briefs on world business and financial events. The March 16, 2008 purchase of Bear Stearns by JPMorgan Chase is discussed. The accusation of Democratic Senators Barack Obama and Hillary Clinton that the North American Free Trade Agreement is to blame for the U.S. economic downfall of 2008 is noted. A new trial on insider trading for former Qwest Communications chief executive officer Joseph Nacchio has been granted by a federal appeals court.

Informs that Martha Stewart is facing obstruction of justice charges from federal prosecutors in the U.S. for allegedly partaking in insider trading of ImClone Systems stock. A Merrill Lynch sales assistant who disputes the reasons both Stewart and her broker gave for selling the stock; Affect of the scandal on the value of Martha Stewart Living Omnimedia shares; Reaction of Stewart to the allegations.

The article profiles Hank Greenberg, who was ousted as chairman and chief executive of American International Group (AIG), the insurance empire he built. Greenberg believes that New York Attorney General Eliot Spitzer went after him for political reasons and damaged his reputation in the press. Greenberg is targeting AIG, saying that the company betrayed him. He plans to fight for everything and regards AIG as already diminished. Greenberg refuses to give up any of the $21 billion in AIG shares he controls through Starr International, but his battles are far from over.

Focuses on accusations of Albert Dunlap by the United States Securities & Exchange Commission (SEC) for financial fraud. Charges that he falsely pumped up Sunbeam's earnings to boost the value of their holdings; Dunlap's opinion of the SEC accusations; Investigations of the SEC of dozens of audit failures.

Reports on the investigation of Italian businessman Paolo Berlusconi for embezzlement. His relationship to Italian prime ministerial candidate Silvio Berlusconi; Focus on possible misappropriation of funds by his company Simec.