Hickey & Chung, LLP Hickey & Chung, LLP 2026-07-28T11:18:47Z https://www.defender.law/feed/atom/ WordPress /wp-content/uploads/sites/1204775/2023/06/cropped-HC-fav-icon-32x32.png On Behalf of Hickey & Chung, LLP <![CDATA[How can digital rug pulls lead to criminal charges?]]> https://www.defender.law/?p=257751 2026-06-15T18:33:59Z 2026-06-15T18:33:59Z The world of digital assets moves fast, and so do the schemes that target hopeful investors. A rug pull is one of the most talked-about risks in this space, and it has drawn serious attention from federal authorities. A rug pull happens when the people behind a project pull their support and disappear, often taking investor money with them. They might drain the funds raised from buyers or quickly sell off their own holdings, leaving everyone else with an asset that has lost its value. The promises made at launch simply vanish.

When can you be held criminally liable for a rug pull?

So, when does this become a crime? Much of it comes down to intent and conduct. If founders or promoters raise money using claims they never planned to honor, that misrepresentation can form the basis of a fraud case. Hidden code is another major factor. When a smart contract is secretly built to trap investor funds or block people from selling, that design can serve as strong evidence of an intent to deceive. Courts may treat that code as proof that the scheme was planned from the start. Abandoning a project after collecting money raises further questions. Shutting down a website, closing community channels and walking away with the proceeds can look like deliberate fraud rather than a failed business. Moving that money through multiple wallets to hide its origin may add money laundering to the picture. Working with others can expand your exposure even more. When two or more people coordinate a scheme like this, prosecutors may bring conspiracy charges alongside fraud and money laundering allegations. The exact charges always depend on the specific facts. It is worth remembering that the same rules that apply to traditional investments also apply here. If you are facing charges for a project you were part of, you should seek legal guidance early to understand your rights and the defense options available to you.]]> On Behalf of Hickey & Chung, LLP <![CDATA[5 mistakes to avoid after a California licensing board notice]]> https://www.defender.law/?p=257749 2026-06-10T09:47:13Z 2026-06-10T09:47:13Z 1. Ignoring the notice Do not set the letter aside or assume it is only routine paperwork. A board notice may involve a patient complaint, an investigation or a formal Accusation, which is a document that lists specific charges and serves as an official statement that the board is seeking to take disciplinary action against your license. Some notices also come with strict deadlines that can affect your right to contest the allegations. If you are served with an Accusation, you generally have 15 days after service to officially notify the board that you intend to contest the charges and want to request a hearing to defend yourself.

2. Responding before you understand the issue

A prompt response is important, but speed alone does not protect you if the answer is incomplete or unsupported. If you respond before reviewing the allegations, patient records and timeline, you may leave out key details or say something that causes confusion.

3. Trying to explain everything to the investigator

An informal conversation with an investigator can still affect how the board evaluates the complaint. Even if you want to clear things up, offhand statements may be misunderstood or used against you later. Keep communications professional and avoid guessing.

4. Changing or deleting records

Never alter, delete, backdate or destroy records after receiving a notice. Those actions can damage your credibility before the board and may create disciplinary concerns beyond the original complaint. Instead, preserve patient charts, billing records, messages and other materials connected to the matter.

5. Contacting the complainant

Do not confront or pressure the person who made the complaint. That contact can make the situation worse, even if your goal is only to explain your side.

Protect your license from the start

A board notice calls for a careful, organized response rather than a rushed reaction. By staying organized, meeting deadlines and maintaining professional boundaries, you can better protect your reputation and your ability to continue practicing in your healthcare field.]]> On Behalf of Hickey & Chung, LLP <![CDATA[Careful recordkeeping is critical in government investigations]]> https://www.defender.law/?p=257742 2026-05-29T12:17:11Z 2026-05-29T12:17:11Z Being investigated by the government is a serious matter for any business. This can lead to the need to produce documentation such as emails, policies or contracts. Payroll records, benefit documents, meeting notes and financial records may also be requested. The issue is that these must be kept up to date so they can be handed over once you’re required to do so.  Careful recordkeeping isn’t just a random administrative task. Instead, it can protect information that can directly impact the investigation. If records are missing or difficult to verify, the result of the investigation may be skewed. 

Preserving evidence is necessary

Once an investigation is opened or is reasonably expected, evidence must be preserved. Some employees may be tempted to try to hide or destroy evidence that may have a negative appearance; however, destroying it could lead to legal trouble. This means that documentation can’t be deleted, changed, discarded or destroyed.  Records should be kept in a way that protects their context and original form. Dates, file names, authors, metadata, attachments and storage location are all important because a document that doesn’t have context may be impossible to understand.  Government investigations can move quickly, so having organized records is critical. When records are stored across different departments or on personal devices, it can be difficult to manage, so keeping track of what is kept where is important.  It may be beneficial to work with someone who’s familiar with government investigations so they can provide guidance throughout the process. They may also be able to help protect the company’s rights during the investigation and whatever comes after.   ]]> On Behalf of Hickey & Chung, LLP <![CDATA[Intent is a necessary component of tax fraud]]> https://www.defender.law/?p=257740 2026-05-15T21:35:29Z 2026-05-15T21:35:29Z Tax fraud allegations need to be taken very seriously. As a form of fraud, this is illegal and could result in criminal penalties. These could include financial fines or even incarceration. A conviction on fraud charges could also be highly detrimental to a person’s professional reputation and career. One important thing to keep in mind is that intent plays a major role with these cases. Tax fraud needs to be a willful action that was taken intentionally. The entire goal was for the individual in question to defraud the government of tax dollars that would otherwise be due.

Why is this distinction important?

This is a critical distinction because people are often worried about making tax mistakes. But a mistake is simply an example of negligence, not of willful action. That does not mean mistakes come without ramifications. If a business owner underpays on their taxes, there can be penalties and they may have to pay the balance that is due. But that is still much different than facing a criminal charge. Even if the government can show that a person did not pay the correct amount of taxes, that is not automatically evidence of tax fraud. It is just evidence of underpayment. In order to support tax fraud charges, the government would also have to demonstrate that this was done intentionally and willfully.

Your legal defense options

Tax fraud is just one potential type of financial fraud that could carry significant penalties upon conviction. If you are facing any serious allegations or criminal charges, it is critical that you know what legal defense options you have.  ]]> On Behalf of Hickey & Chung, LLP <![CDATA[When is a business at risk of Corporate Transparency Act charges?]]> https://www.defender.law/?p=257739 2026-04-30T09:01:21Z 2026-04-30T09:01:21Z When there are international owners Lawsuits in the federal courts have effectively halted the implementation of the CTA. Currently, the only businesses that must disclose BOI information to remain compliant with the CTA are organizations with major international investors or owners. When a foreign national holds a sizable stake in a company, the business must provide their identifying information to the Financial Crimes Enforcement Network (FinCEN). The CTA applies to existing businesses and to new companies formed after the implementation of the law. It is a federal regulation that applies to any business operating in the United States, although court rulings have limited its scope for the time being. Those accused of non-compliance with the CTA can limit their risk of incarceration and large fines by working with a federal business defense attorney. Staying up-to-date on the legal requirements imposed on businesses can help to minimize risk of unintentional statutory violations.]]> On Behalf of Hickey & Chung, LLP <![CDATA[FCPA risk in emerging markets: Where companies get exposed most]]> https://www.defender.law/?p=257738 2026-04-20T13:43:20Z 2026-04-20T13:43:20Z California is home to some of the world's largest multinational companies. From Silicon Valley tech giants to Los Angeles manufacturers, many of these firms operate in emerging markets across Asia, Latin America and Africa. This global reach comes with a serious legal risk: the Foreign Corrupt Practices Act (FCPA). The FCPA makes it illegal for U.S. companies to bribe foreign government officials to win or keep business. Violations can lead to massive fines and criminal charges. In California, companies face more risk. That's because the state's Unfair Competition Law also covers foreign bribery. Here is where companies are most at risk.

Third-party relationships

One of the biggest danger zones is using local agents, consultants or distributors. California companies often hire local partners to navigate foreign markets. If that partner pays a bribe on the company’s behalf, the company can face liability. They cannot use ignorance as an excuse. That's why due diligence is very important. Failing to run background checks or ignoring red flags can lead to federal and state prosecution.

Government contracts and licensing

In many markets, officials control contracts and permits. This creates pressure to make payments to speed things up. While the FCPA has a narrow exception for facilitating payments — small fees for routine, non-discretionary tasks like processing a visa—these are extremely risky. They are often illegal under local laws. They can also trigger a federal investigation to determine whether the payment was a bribe for a discretionary favor.

Weak internal controls

Internal controls are a company's best defense. When firms expand quickly, they sometimes skip building strong compliance systems abroad. Poor recordkeeping and weak auditing create openings for corruption. Companies must treat compliance as a core business function. Between federal oversight and California’s own strict laws, the cost of a mistake is far higher than the cost of doing things right. Working with an experienced FCPA attorney can make a real difference. A lawyer can review third-party contracts and flag compliance gaps. They can also help build internal controls before problems arise. If a company is already under investigation, an attorney can guide its response and help limit exposure. Early legal advice is almost always cheaper than damage control later.]]> On Behalf of Hickey & Chung, LLP <![CDATA[2 examples of cryptocurrency fraud]]> https://www.defender.law/?p=257736 2026-04-13T19:28:47Z 2026-04-13T19:28:47Z Cryptocurrency is a non-regulated type of digital currency. It has grown in popularity over the years and can often be spent on the internet. However, its use in physical stores and day-to-day life remains limited, so people often look at it as a way to invest. Because this is a relatively new type of technology, it is important for those involved to understand what is legally permitted and what is not. Certain actions could result in allegations of cryptocurrency fraud, which is a type of financial crime.

A rug pull

One common type of cryptocurrency fraud is known as a rug pull. This essentially happens when the team or company that created the coin inflates the value. They pump real financial assets into that coin, and its value seems to be increasing quickly. This brings in other investors who hope that they can benefit from the rise. But once the coin hits a certain value, the initial investment money and all of the gains are pulled out of the coin. The later investors still own their coins, but they are relatively worthless, so they have lost all of the financial capital they invested.

A fake coin scam

In other cases, the issue is that there is not a valid coin at all, and the entire investment was a scam from the very beginning. These scams often use social media to target potential investors. They will be told that there is an opportunity for rapid growth with a new coin, but the entire program will eventually be shut down, and they will lose all of the money that they invested. The coin never existed, but they were simply transferring bitcoin or other types of currency into a wallet held by the person operating the scam.

Complex defense options

These types of financial crimes are very complicated. If you are facing charges, it is important that you understand what legal defense options you have.  ]]> On Behalf of Hickey & Chung, LLP <![CDATA[The risk for students during Title IX investigations]]> https://www.defender.law/?p=257735 2026-03-28T15:08:25Z 2026-03-28T15:08:25Z thoroughly investigate credible claims of sexual harassment and misconduct on campus. Students may trust that the process should exonerate them, but they are at risk of significant consequences. Instead of waiting for the system to validate a student's assertion of innocence, it may be better for a student facing an investigation to secure legal representation promptly.

Investigations can lead to major consequences

Different schools have different policies regarding Title IX disciplinary hearings, but the possible consequences are significant. Students may lose their enrollment or financial aid. They may become ineligible for on-campus housing or participation in extracurricular activities, including collegiate sports. Legal representation at a disciplinary hearing can reduce the likelihood of an unfavorable determination and major penalties. In fact, representation throughout the investigation process is likely important for a student's protection. Investigations often involve school officials communicating with multiple other students who participate in the same sports, attend the same courses or live in the same dormitory as the student accused. They can damage a student's mental health, negatively affect their reputation and limit their opportunities. Students accused of misconduct in an educational setting may need someone to advocate for them and inform them of their rights. They may also need assistance in minimizing the penalties handed down by the school or avoiding an unfavorable determination. A lawyer’s support can have a profound impact on students accused of misconduct and facing a Title IX investigation. Understanding the potential implications of the investigation can help students and their parents make informed choices as they work to move forward.]]> On Behalf of Hickey & Chung, LLP <![CDATA[Things to avoid if facing a white collar criminal investigation]]> https://www.defender.law/?p=257734 2026-03-11T22:13:11Z 2026-03-11T22:13:11Z could lead to criminal charges, even if they don’t face any for the alleged original offense. Here are three errors to avoid.

Tampering with evidence

It might seem a simple thing to put some files that investigating authorities may want to look at through the shredder, or to go around deleting or altering files from computers and phones. Yet being found out could see you face charges of tampering with evidence. It may also be in vain, as those investigating the alleged crime may have other ways to get original copies of those materials, such as by subpoenaing an internet provider or social media company.

Fleeing arrest

Running from the police or resisting them when they try to arrest you is never a good idea. People often end up injured, or sometimes even dead, after an incident escalates. Prosecutors may also bring further charges against you for your actions, perhaps accusing you of resisting arrest, assaulting a police officer or endangering the public.

Lying under oath

Say that your company is at the center of a white collar investigation, and a colleague or your employer asks you to lie on their behalf. This might involve providing an alibi to say they were not at work when the alleged offense took place, or it might be lying about numbers. Lying under oath is a crime, and no matter how much someone pressures you or how much money they offer you to lie on their behalf, it is not worth doing. Keeping a cool head is essential if you believe you are being investigated for alleged white collar offenses. Seeking early legal guidance can be critical to your future.]]> On Behalf of Hickey & Chung, LLP <![CDATA[Do you have to answer questions from the police?]]> https://www.defender.law/?p=257731 2026-02-26T13:34:18Z 2026-02-26T13:34:18Z If you are facing criminal accusations, police officers, detectives and other investigators may want to ask you questions. This could happen in an informal setting, such as if they come to your home or your office during a white collar crime investigation, perhaps looking into issues like financial fraud. It could happen in a more formal setting if you have been arrested or detained, and the officers want to interrogate you at the police station. In these situations, it is important to remember that you do have a right to remain silent under the Fifth Amendment of the U.S. Constitution. You are not obligated to answer questions. It is often wise to be polite with the police officers, and you should certainly avoid lying or taking intentional steps to obstruct the investigation. But there is no obligation for you to provide answers to the questions that they pose, as they can use anything you say in a case against you.

You also have the right to legal representation

Moreover, this is not a situation that you have to face on your own. You do have a right to legal representation. For instance, if the police are trying to interrogate you on your own, hoping you will say something that could incriminate you, you can inform them that you are not interested in answering any questions until you have your attorney present. They need to respect your right to remain silent and your right to appropriate representation at this time.

Addressing serious charges

Federal charges for fraud or other financial crimes can bring about serious ramifications upon conviction. That is why it is so important for you to know exactly what legal defense options you have as you address these charges and work through the complex criminal justice system.]]>