Ex-judge says potential rejection of Biden nominee Mangi 'toxic', new disclosure rules on judges’ free trips, DOJ to target pre-IPO frauds, and more??
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?? Good morning from The Legal File! Here is the rundown of today's top legal stories:
???? Ex-judge calls potential rejection of Biden judicial nominee Mangi 'toxic'
Former 3rd Circuit judge Timothy Lewis told U.S. Senate leaders he is "deeply disturbed" by Republican-led attacks on Adeel Mangi, President Joe Biden’s nominee for the Philadelphia-based appeals court, who would become the nation's first Muslim federal appeals court judge if confirmed.
In a letter made public by the White House, Lewis warned Senate Majority Leader Chuck Schumer and Minority Leader Mitch McConnell that rejecting Mangi would "have a toxic long-term impact on the entire federal judiciary.”
Mangi, a partner at the law firm Patterson Belknap Webb & Tyler, faced?stiff Republican opposition in January, when the Senate Judiciary Committee narrowly advanced his nomination for confirmation by the full Senate.
During a December hearing, Republican Judiciary Committee members prodded Mangi about his views on the Israel-Hamas war and the September 11, 2001, attacks on the World Trade Center. A conservative group later began running ads calling him "antisemitic."
The White House and Senate Democratic leaders have called the attacks an Islamophic smear, and Lewis in his March 7 letter urged senators to reject the "baseless attacks."
"This is a nominee who should – and ordinarily would – have widespread bipartisan support," Lewis wrote.
Lewis, one of two Black appellate court judges appointed by Republican former President George H.W. Bush, said the courts need more diversity, but people from underrepresented communities will think twice about seeking a nomination if they believe they will be "unfairly attacked, stereotyped, and rejected by the Senate."
?? US Supreme Court justices, judges face new rules for disclosing free trips
U.S. Supreme Court justices and federal judges can no longer avoid disclosing the value of travel-related gifts they receive by classifying such free trips as "reimbursements" on their financial disclosure forms under new regulations now in effect.
The regulations follow revelations that conservative U.S. Supreme Court Justice Clarence Thomas had not disclosed luxury trips paid for by a wealthy benefactor. Following media reports on those trips, Thomas filed a delayed financial disclosure report listing private jet trips provided by Texas businessman Harlan Crow. Thomas listed many of the expenses as “reimbursements” and not as gifts, which would require their value to be disclosed.
In doing so, Thomas cited advice from the staff of the U.S. Judicial Conference's Financial Disclosure Committee, and said his disclosure was "consistent with previous filings by other filers."
The new policy took effect on March 13. The federal judiciary's notice said the disclosure policies were updated "to reflect past statutory changes more clearly and help ensure complete reporting of gifts and reimbursements consistent with statutory requirements."
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?? DOJ to target pre-IPO artificial intelligence frauds, top attorney says
The U.S. Justice Department's top prosecutor in San Francisco, Ismail Ramsey, is targeting AI and other tech start-ups that defraud investors before they go public.
Ramsey, who became U.S. attorney for the Northern District of California a year ago, said his office is uniquely positioned to crack down on tech start-ups that mislead investors on the path to initial public offerings (IPOs) given his proximity to Silicon Valley venture and angel investors.
"These 'fake it till you make it' pre-IPO frauds erode the integrity of public and private financial markets," he told Reuters.
To generate interest in a prospective offering, entrepreneurs may be tempted to mislead investors about key information. High-profile examples of such frauds include Theranos, whose founder Elizabeth Holmes was convicted for deceiving investors about the start-up's blood-testing technology.
"As with any such emerging technologies, AI is fertile ground for fraudsters to make false and exaggerated claims," said Ramsey, adding that AI will be a key focus.
?? Washington adopts new lawyer licensing paths as other states mull bar exam bypasses
The Supreme Court of Washington approved several new ways for attorneys to become licensed that bypass the bar exam — adding momentum to the burgeoning alternative licensure movement.
The court approved “in concept” two new licensing pathways, including a new apprenticeship program for law school graduates who would work under lawyer supervision for six months then submit a portfolio of work for evaluation. A separate option would allow law students to complete 12 credits of skills coursework and 500 hours of hands-on legal work before graduation, then submit a work portfolio to the Washington State Bar to become licensed.
High courts in California, Minnesota and Utah are also currently considering proposals to license attorneys without the bar exam, while Nevada and South Dakota are among the states developing such proposals.
?? That's all for today, thank you for reading?The Legal File, and have a great day!
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