In response to the recent article “Special Education for Schools a Delicate Balancing Act,” a partner at the law firm of Littman Krooks LLP has stated: “It is imperative for lawmakers to understand the ramifications of cutting back funds for special education.  The IDEA and Part 200 of the Regulations of the Commissioner of Education…

In two separate incidents, FINRA recently punished two firms for reneging compensation from their employees. Arbitration found that both Barclays and Merrill Lynch had unfairly decided not to pay employees in the midst of recent mergers and collapses.

Barclays was forced to pay one investment banker $715,000, plus a 4 percent interest change and trial fees, after Lehman Brothers collapsed. The banker had a compensation agreement when he worked for Lehman Brothers, which Barclays attempted to renege upon their acquisition of the firm.

On February 1, 2011, a Manhattan Federal Court Judge rendered a decision in D.A. v. New York City Dept. of Education, 09 Civ. 5097 (S.D.N.Y. Feb 1, 2011) that reaffirmed a family’s right to seek and obtain “direct” tuition funding for a private school education where the family proves that the local school district failed to provide a free and appropriate public school education (FAPE) to the student.

Experts believe that disputes over U-5 termination forms will increase due to a new set of FINRA directives. FINRA’s Regulatory Notice 10-39 warns member firms to be more detailed when completing U-5 forms after firing employees. The notice focuses on a section of the form that asks why an employee is being fired and says…

The U.S. Congress has greatly expanded incentives for whistle-blowers in the financial industry by creating a $451 million fund for reward payments. Prior to the new plan, regulators decided how much to pay insiders for evidence of wrongdoing, which led to only $160,000 in payouts over the last two decades. Despite this, over 90 percent…

On Tuesday, January 25, 2011, the Securities and Exchange Commission (the “SEC”) issued a release announcing the proposed new language of the net worth standard for “accredited investors” under the Securities Act of 1933 (the “1933 Act”).  The proposed amendments will align the standards for determining whether an investor is an “accredited investor” under the…

Media reports on January 18 indicate that Goldman Sachs has halted its private placement of Facebook stock due to ‘regulatory concerns’ with respect to the enormous publicity the transaction has received in both traditional press and new media. It is a cornerstone of the private placement exemption that no ‘publicity’ is utilized in the transaction…

Supplemental Security Income, or SSI, provides monthly payments for children with disabilities who are under 18 who meet the government’s definition of disability, and who have little or no income and resources.  The amount of SSI that the child will receive varies by state.  To qualify, the household’s total income and resources must be below a certain amount, and the child cannot earn more than a certain dollar amount each month.

According to the FINRA Website, the FINRA Board of Governors took action regarding various rulemaking items at its December 8, 2010, meeting.  The following was announced with respect to private placements: Private Placements The Board considered proposed amendments to expand FINRA Rule 5122 (Private Placements of Securities Issued by Members) to govern all private placements…

New York State Department of Health Launches Medicaid Excess Income Program Website New York State Department of Health has launched a new web page entitled “Medicaid Excess Income Program.” It provides consumers with information about this program, which is often referred to as the “Spend-down Program” or the “Surplus Income Program.” The “Medicaid Excess Income Program” provides…