Category Archives: Insider Trading

Fight the Power, Part III: The David Ganek Complaint

In Part I of the series, I introduced the idea that defense counsel are increasingly fighting back against DOJ in creative ways. In Part II, we talked about Sheldon Silver and his defense counsel’s efforts to use DOJ’s very public … Continue reading

Posted in civil case, DOJ policy and practice, Fifth Amendment, Fourth Amendment, Insider Trading, Prosecutorial misconduct, Search warrant, Securities fraud | Tagged | 2 Comments

The SEC Finally Surrenders in Insider Trading Case

The SEC finally gave up the ship in its insider trading case against former hedge fund managers Anthony Chiasson and Todd Newman. After the Second Circuit reversed their convictions and the Supreme Court denied cert, the SEC decided not to … Continue reading

Posted in Appeal, Insider Trading, SEC Investigation | Tagged | Leave a comment

When the Good Wife Faces Criminal Forfeiture: The Government’s Efforts to Seize a Spouse’s Assets after Conviction

The federal government’s aggressive approach to criminal forfeiture unquestionably targets innocent bystanders to crime. In fact, the law makes it easy—and profitable—for the government to do so. A recent high-profile insider trading case in New York is a prime example … Continue reading

Posted in Criminal Forfeiture, Insider Trading | 4 Comments

Where Are They Now? An Update on Past Posts

Several of the cases I’ve featured in my posts over the last year have had significant developments or come to a close. It’s always interesting—and moderately depressing—to see how things turned out.

Posted in Bribery, FCPA, Insider Trading, Plea Agreement, Sentencing, Uncategorized | Tagged | Leave a comment

Second Circuit to Preet Bharara: Quit Using “Doctrinal Novelty” to Prosecute Insider Trading Cases

The Second Circuit today issued a landmark decision reversing the convictions of the defendants in United States v. Newman, an insider trading case. It held that the government has to prove that the defendant knew that the tipper of inside … Continue reading

Posted in Appeal, Insider Trading | Leave a comment

How Much Cooperation Is Enough to Avoid Prison?

How much cooperation with the government does your client have to provide to avoid prison? If portfolio manager Reema Shah is any example, the answer is…over a year. On May 21, 2014, Ms. Shah pleaded guilty to conspiracy to commit … Continue reading

Posted in Insider Trading, Securities fraud, Sentencing | Tagged | Leave a comment

A Look-Back Review Gone Wrong – SEC Charges Wells Fargo Compliance Consultant with Altering Records Related to Insider Trading

The SEC has charged Judy Wolf, a former compliance consultant for Wells Fargo Advisors, with falsifying records that were submitted to the SEC during the investigation of a registered Wells Fargo representative. Ms. Wolf allegedly falsified her internal investigation logs … Continue reading

Posted in Insider Trading, Obstruction, SEC Investigation | Tagged | Leave a comment

Betraying a Client’s Trust: Wilson Sonsini Employee and CEO of Investor Relations Firm Separately Accused of Insider Trading

The Department of Justice and the Securities and Exchange Commission are not specifically tasked with protecting client confidentiality of U.S. corporations. But the calculus changes when service providers use their client’s confidential information to profit from insider trading. An information … Continue reading

Posted in Insider Trading | Tagged | 1 Comment

Where Are They Now? An Update on Past Posts

Every few weeks, I review the press releases for the U.S. Attorneys’ Offices across the country. In the blur of stories about drug busts and indictments for low-level health care fraud, sometimes a name sounds familiar. No, not because it’s … Continue reading

Posted in Conviction After Jury Trial, FCPA, Government contracting fraud, Insider Trading, Sentencing | Tagged | 2 Comments

Why Is It So Hard To Defend Against Insider Trading Charges? Qualcomm Employees Face SEC and Criminal Charges

In February 2014, Chinese antitrust regulators announced that they suspected wireless technology company Qualcomm Inc. of overcharging its customers and abusing its powerful market position. According to reports, Qualcomm could face fines of up to $1 billion (cue Austin Powers-like … Continue reading

Posted in Indictment, Insider Trading, SEC Investigation, Securities fraud, Uncategorized | Tagged | 2 Comments