JURIST - Paper Chase: Corporations and securities brief ~ Jury selection begins in first Enron criminal case

In Monday's corporations and securities law news, jury selection in the trial of two former Enron executives and four former Merrill Lynch executives who are being tried on fraud and conspiracy charges began today in Houston. US District Judge Ewing Werlein called in 150 potential jurors but sent home 28 this morning after jurors completed a survey on their ties to the energy giant. Read the indictment against the six people on trial here[PDF]. Read more about the actions that led to the indictments here. The Houston Chronicle has more.

In other news...

Massachusetts Secretary of State William Galvin announced two Franklin Templeton Investments units will pay $5 million and admit to allowing market timing to settle a complaint alleging the firm allowed a big hedge fund investor to make inappropriate mutual fund trades. Read the consent order between Massachusetts and Franklin Templeton here [PDF]. AP has more.
As reported earlier on JURIST's Paper Chase, Computer Associates International Inc. and federal prosecutors are close to a settlement that would end the two-year accounting fraud investigation against the company. AP has more.
An eight-month investigation by federal regulators into mortgage giant Fannie Mae has uncovered a pattern of manipulation in its earnings similar to the one found at rival Freddie Mac. AP has more.
Nigeria has placed an embargo on government contracts to the subsidiary of Halliburton as a result of negligence in security and safety matters. AFP has more.
The SEC filed a complaint against iShopNoMarkup.com, Inc. for conducting a fraudulent offering scheme which defrauded over 350 investors of approximately $2.3 million iShop stock. Read the SEC litigation release here.

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