Stanford Fall-Out: Partner Leaves Proskauer And Chadbourne Sued

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The numbers of lawyers caught up in the fall-out from Allen Stanford’s alleged fraud continues to grow.

Chadbourne & Parke* has been added as a defendant to a shareholder class action lawsuit that also names Proskauer Rose and its former partner, Thomas V. Sjoblom. 

The suit claims defendants aided and abetted Stanford’s alleged fraud.

Sjoblom withdrew from the firm sometime after the class action was filed in August, The National Law Journal said.

NLJ:  The class action alleges that attorney [Sjoblom], while he worked at New York-based Chadbourne & Parke and later at New York’s Proskauer Rose, participated in a $7 billion investment fraud orchestrated by the Texas company…

Sjoblom’s withdrawal [from the Proskauer partnership] follows a guilty plea in August by former Stanford Chief Financial Officer James Davis, which appeared to implicate Sjoblom in a conspiracy to thwart a U.S. Securities and Exchange Commission investigation into the alleged fraud.

Sjoblom joined Proskauer in 2006 from Chadbourne.  Before that he spent 20 years at the SEC.

Chadbourne declined to comment to the National Law Journal. Proskaur said the plaintiffs have no basis for their claims against the firm. 

*I worked at Chadbourne in 2007 and 2008.

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