Law firms flipping shelf and shell companies – is it the practice of law? Can it go through a bank trust account?

Shell games US law enforcement agencies recently signalled that they were stepping up enforcement, inter alia, in two ways: (a) as against professional money launderers; and (b) as against shell and shelf companies that law firms flip to clients. Professional money launderers under scrutiny the FBI explained recently, are accountants, hawalas, lawyers and individuals, as [...]

Indicted US lawyer who resold and flipped multiple shell companies for whopping profit, and wrote false closing opinion for Canadian entity, settles with SEC

SEC Settlement A New Jersey lawyer, Gregg Jaclin, entered into a settlement agreement with the US Securities Exchange Commission (“SEC“) earlier this fall in respect of several allegations, including over the practice of the creation and resale and flipping of what are called “shell” companies, flipped to clients for hundreds of thousands of dollars and in respect [...]