HSBC Is Fined $2.46 Billion in Securities Fraud Case (Reuters)
A unit of the British bank HSBC was hit on Thursday with a record $2.46 billion final judgment in a securities class-action lawsuit in Chicago against a lender formerly known as Household International. The judgment, by Judge Ronald Guzman of Federal District Court, was the largest in a securities fraud class-action suit that went to a trial, according to a statement from the Robbins Geller Rudman & Dowd law firm, which represented investors.
Morgan Stanley to Face Class Suit by Singapore Investors (Bloomberg)
A group of Singapore investors who lost money on $154.7 million in credit-linked notes may pursue their suit against Morgan Stanley as a class, a federal judge in Manhattan ruled. U.S. District Judge Jesse Furman said today the investors may represent a class of all persons who bought any of seven series of Pinnacle Notes issued in 2006 and 2007. The investors sued in 2010, claiming the notes were a “bait and switch” scheme designed to benefit Morgan Stanley at the expense of customers.
Lenovo Approaches BlackBerry (WSJ)
Lenovo Group Ltd. is actively considering a bid for all of struggling Canadian smartphone maker BlackBerry Ltd., according to people familiar with the matter, the latest sign of the voracious appetite of Chinese companies for foreign acquisitions. The Chinese personal-computer maker has signed a “nondisclosure” agreement that allows it to look at BlackBerry’s books, one of the people said, joining a list of potential bidders for the company, which has put itself up for sale.
GOP Civil War Erupts: Business Groups v. Tea Party (Bloomberg)
A battle for control of the Republican Party erupted Thursday as an emboldened Tea Party is moving to oust senators who voted to reopen the government, and business groups began mobilizing to defeat allies of the small-government movement. “We are going to get engaged,” said Scott Reed, senior political strategist for the U.S. Chamber of Commerce. “The need is now more than ever to elect people who understand the free market and not silliness.” The chamber spent $35.7 million on federal elections in 2012, according to the Center for Responsive Politics, a Washington-based group that tracks campaign spending. Meanwhile, two Washington-based groups that finance Tea Party-backed candidates said today that they’re supporting efforts to defeat Mississippi Senator Thad Cochran, a 35-year veteran who voted for the deal ending the 16-day shutdown and avoiding a government debt default.
Former Primary Global employee avoids jail in insider case (Reuters)
A former technology analyst at expert networking firm Primary Global Research LLC avoided jail time on Thursday after a judge praised his “very substantial assistance” in cooperating with a government insider-trading investigation. Bob Nguyen, 34, who pleaded guilty in January 2011 to leaking confidential corporate information to hedge funds, received two years of probation from U.S. District Judge Jed Rakoff in federal court in New York…Rakoff said Nguyen’s sentence should not be seen as a suggestion that insider trading is a minor issue. Instead, he said, it was a reflection of the fact that such prosecutions frequently require cooperation to succeed.
Rex Ryan tells NY Jets players no messing around before Patriots game (NYDN)
Ryan, in a team meeting Wednesday, told the Jets they need to be well-rested when Tom Brady and Co. hit MetLife Stadium on Sunday, and, according to Josh Cribbs, added “Don’t do nothing for your wife.” To defensive lineman Sheldon Richardson, that not only meant avoiding things like taking out the garbage, it also included any activities in the bedroom. “Most definitely,” Richardson told the Daily News with an ear-to-ear grin, when asked if Rex’s message included hanky panky. Richardson’s comments sparked Jet mayhem reminiscent of the good old days, forcing Ryan to come into the press room and tell the gathered media that sex is not part of his no-no list for the weekend. It was good for a few laughs, but the message was clear: focus on the Patriots and nothing else. “He was like … rest your legs, you go home, don’t do nothing for your wife,” Cribbs said. “Say baby, next week. You’ll take out the trash next week. I’ll take the kids to practice next week but I’ve got to rest for this game. I’m going to tell him to put it on paper so when I give it to my wife, I can be like, ‘Rex said that I don’t got to take out the trash.’ So he might get a call.”
After Pause, Resupplying Economic Data (NYT)
The most eagerly awaited number, the update from the Labor Department’s Bureau of Labor Statistics on unemployment and job creation in September, will come out Tuesday, Oct. 22, two and a half weeks after it was originally supposed to be released. And the October jobs report, originally set for a Nov. 1 release, will be delayed until Friday, Nov. 8.
‘Taper talk’ may be dead until next year (CNBC)
“One thing we know for sure, as much as we know anything, is that short-term interest rates are going to stay low for as far as the eye can see,” DoubleLine CEO and chief investment officer Jeff Gundlach said on “Squawk on the Street.” “Quantitative easing is not even going away. It seems with this budget wrangling, it’s going to keep going up.”
Goldman Sachs trims pay pool to $319K per employee (NYP)
The smaller pile of cash is enough to pay each of the firm’s 32,600 employees about $319,755 — down from $336,442 last year through nine month. That’s about $16,700 less per employee.
Illinois biker claims he was speeding to the bathroom — at 140 mph (NYDN)
A Pekin police officer clocked Adam Lester’s motorcycle at 140 mph — not that he needed the radar gun to know the bike was flying. “The blur was the first clue,” Detective Mike Eeten told the Daily News. Lester, 26, and a passenger screamed down the highway, slowing slightly before they blew through a red light and disappeared from sight, police said. The dogged cop kept going and spotted the highway racer and a girl hiding between a bar and a bowling alley, Eeten said. Lester was wearing a woman’s coat, and he told the officer he “had to pee.” “I’d have to go the bathroom, too, if I was going that fast,” Eeten said. The 16-year-old girl reportedly told the officer Lester saw the patrolman on the road before he ducked into his hiding spot. The chivalrous master of disguise then asked her to switch jackets with him, she said.