And then the investigators came marching in...
In the midst of the current financial turmoil, firms can expect a rise in the number of e-discovery requests they have to respond to, experts predict.News emerged over the weekend that former Lehman Bros CEO Richard Fuld as well as 11 other Lehman executives have been subpoenaed by federal prosecutors in an investigation into the collapse of the bank.
Earlier reports suggest that AIG, Freddie Mac, Fannie Mae and a number of other firms are also now the subject of federal investigations.
As the financial crisis continues to unfold and investigators zoom in on individual firms, a number of e-discovery vendors are promoting new services and technologies which should enable firms across the industry to respond to e-discovery requests in a more efficient way, they say.
One of these is Recommind , which just released Insite Legal Hold, a solution allowing enterprises to explore information where it resides, before it is collected and placed on hold in response to an investigation or lawsuit.
The solution allows enterprises to collect and hold only the data necessary for a given proceeding, rather than having to index and aggregate large amounts of data without the ability to determine their relevance prior to collection, according to Recommind.
The solution is platform-agnostic and customizable, and features pre-integration with numerous enterprise data sources, including content management systems, email and archiving systems, intranets and portals.
Additional features include integrated conceptual, full Boolean and keyword search, as well as the ability to manage myriad data sources, custodians and matters simultaneously, and built-in processing of data (i.e. deduplication, near-duping, email threading, etc.)
"The financial crisis has heightened the need for a practical, accurate Legal Hold solution as enterprises prepare for increased regulations and potential lawsuits. Recommind sees the downturn as a major growth opportunity and recently announced $7.5 million in private-equity funding, which it plans to use to ramp up its sales and marketing teams," Recommind said in a release.
Vivian Tero, program manager for compliance infrastructure at IDC , confirms that e-discovery has recently experienced a spike in activities. "The selling cycle [for e-discovery products and services] has become shorter , the need is immediate. Firms have regulators breathing down their back. A lot of this is related to subprime investigations," she says.
"Many companies are very worried and concerned and want systems to respond [to potential e-discovery requests]. We're also seeing a lot of companies say we need to do a better job of documenting transactions with customers," Tero told WS&T.And then the investigators came marching in... In the midst of the current financial turmoil, firms can expect a rise in the number of e-discovery requests they have to respond to, experts predict. Melanie Rodier has worked as a print and broadcast journalist for over 10 years, covering business and finance, general news, and film trade news. Prior to joining Wall Street & Technology in April 2007, Melanie lived in Paris, where she worked for the International Herald ... View Full Bio