Three news to start your week: February 19
Trump to pay $450 million penalty in civil fraud case
(The New York Times)
A judge in New York ruled against Donald J. Trump in his civil fraud case. The judge held him accountable for conspiring to manipulate his net worth and demanded that he pay a penalty of nearly $355 million, plus interest that could reach $450 million. This could completely deplete his cash reserves.
The decision by Justice Arthur F. Engoron brings a decisive conclusion to a lengthy and tumultuous case in which the attorney general of New York challenged President Trump's assertions regarding his wealth. The judge's ruling imposes severe penalties that could harm the former president's business, while he also faces multiple criminal prosecutions and aims to return to the White House.
Justice Engoron has banned Trump for three years from holding top roles at any New York company, including his own Trump Organization. He has also imposed a two-year ban on Trump's adult sons, ordering them to pay over $4 million each. This ruling raises uncertainty about whether any member of the family can manage the business in the near future.
Morgan Stanley accused of duping ECB with fake Frankfurt job title
(Financial Times)
A senior banker claims that Morgan Stanley created a fake job title to trick European regulators into thinking that the bank had relocated important personnel to Frankfurt to obey post-Brexit regulations.
The banker joined Morgan Stanley in Frankfurt in April 2021 on a salary of €375,000 plus bonus. He was promoted to the executive director, a rank below managing director, and officially named "head of loan trading."
During a hearing challenging his termination from Morgan Stanley, the banker informed a Frankfurt court that a senior executive had directed him not to use his title actively. During the court hearing in December, the banker revealed that his superior had informed him that the title of "head of loan trading" was merely a fictitious position created to fulfill regulatory obligations.
Former Stericycle Executive Faces Foreign Bribery Charges
(The Wall Street Journal)
A former Stericycle senior executive has been charged by US prosecutors for his suspected involvement in a corrupt operation at the medical waste management company. This operation entailed the unauthorized payment of $10.5 million to officials in Mexico, Brazil, and Argentina, as part of a foreign bribery scheme.
Mauricio Gómez Báez, former senior vice president of Stericycle's Latin American division, is charged with conspiring to violate the Foreign Corrupt Practices Act.Gomez Baez appeared Thursday in Miami federal court and was released on a $1 million bond.
Gómez Báez was charged without a grand jury and will have a change-of-plea hearing this month, suggesting that he will probably plead guilty.
