Why are any Shaw longs still hanging around if you can sell for 46.49 now vs. holding until the CBI acquisition closing? Deal is for $41 per share in cash and 0.123 shares of CBI which equates to $46.63 as of 12/26/12. If you want to hold the CBI portion, sell now and use some to the proceeds to buy CBI. All you do by continuig to hold is risk the deal falling apart and the subsequent price decrease. I realize both the shareholders of CBI and Shaw have approved the deal, however, that doesn't mean it a "done deal".
Man Charged in Wire Fraud Scheme
U.S. Attorney’s Office
November 27, 2012
Middle District of Louisiana
BATON ROUGE—First Assistant United States Attorney Walt Green announced today that the U.S. Attorney’s Office has charged James M. Bernhard, III, 36, of Baton Rouge, with wire fraud. Bernhard faces a maximum sentence of 20 years in prison and a fine of up to $250,000, or twice the gross gain or loss from the offense, whichever is larger.
The bill of information alleges that Bernhard, using his position as an attorney in a law firm in Baton Rouge, devised a scheme to defraud the law firm and fraudulently obtain client money from the law firm’s trust account using material false and fraudulent pretenses, promises, and representations. In doing so, Bernhard knowingly caused certain interstate wirings to occur. In all, the bill of information alleges that Bernhard fraudulently directed approximately $453,123 from the law firm’s trust account for his own personal use and benefit.
The investigation of this matter was conducted by the Federal Bureau of Investigation. The case is being prosecuted by Assistant United States Attorney Rich Bourgeois who serves as Deputy Criminal Chief.
A bill of information is a determination by the U.S. Attorney that probable cause exists to believe that an offense has been committed by a defendant. The defendant is presumed innocent until and unless proven guilty at trial.
By Stephanie Riegel
Published Jun 11, 2012 at 9:00 pm (Updated Jun 11, 2012)
James “Tres” Bernhard has reached a partial settlement with the law firm Crawford Lewis, which last month filed a lawsuit against him for fraud, theft, forgery and malpractice over the alleged sale of bogus movie industry tax credits.
The $1.5 million settlement will go to five unnamed investors, who thought they were purchasing from Bernhard legitimate tax credits that could be used against their state tax bills this year.
“The whole transaction was a forgery,” says Mary Olive Pierson, who represents Crawford Lewis. “These five investors had purchased [the credits] for use on May 15. That's why it was very important for us to refund their money.”
Bernhard, son of The Shaw Group's founder and chairman, Jim Bernhard, paid for the settlement with money from his trust fund, Pierson says. “I don't know what the name of the trust is or who the trustees are,” she says.
Bernhard permanently surrendered his law license in early May in lieu of disciplinary action from the state Office of Disciplinary Counsel. His attorneys have declined to comment. But Pierson says the case is far from over. Her client still has several outstanding issues to resolve with Bernhard, who allegedly sold bogus movie tax credits and pocketed proceeds from the sale of ?legitimate credits that did not belong to him.
Says Pierson of the developments: “It's very positive. He seems to be cooperating and trying to resolve some of the problems.”
I just did the math, not going to post the numbers but right now if I sold I would get 6 more bucks than it would be worth if the deal happened to today except I'd pay 10 for the trade and be down 4 bucks. Seens priced basically perfectly.