Martoma Lawyer Says Supreme Court Ruling Bars Charges

Jul 9 2013 | 12:22pm ET

Mathew Martoma, the former SAC Capital Advisors portfolio manager accused of insider-trading, is trying to have the case against him cut in half.

Martoma's lawyers have asked U.S. District Judge Paul Gardephe to dismiss allegations related to trading in Elan Corp. American depositary receipts. Since Elan is a foreign corporation whose shares trade abroad, Richard Strassberg argues, the Securities and Exchange Commission is barred from bringing a case about it by a 2010 U.S. Supreme Court decision.

"Mr. Martoma respectfully requests that this court dismiss all charges related to transactions in the securities of Elan Corp., Plc, an Irish corporate with stock publicly traded on the Irish and London stock exchanges." In Morrison v. National Australia Bank, the Supreme Court ruled that U.S. securities laws do not protect foreign investors who buy stocks on overseas exchanges.

Strassberg said he was not seeking the dismissal of the other charges against Martoma, related to trades in New Jersey-based Wyeth LLC, but that he might do so later.

Martoma's trial is set to begin in November.


In Depth

Q&A: Executive Recruiter Talks Hedge Fund Closures, Hiring Trends

Dec 19 2014 | 6:58am ET

This year, hedge funds have been closing at a rate not seen since the financial...

Lifestyle

Cooper-Hohn Won't Contest Divorce Settlement

Dec 18 2014 | 9:51am ET

The ex-wife of hedge fund billionaire Christopher Hohn will not contest a divorce...

Guest Contributor

Alternative Investment Funds Face A Communications Imperative

Dec 19 2014 | 6:10am ET

A handful of the top alternative investment firms on both sides of the Atlantic...

 

Sponsored Content

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

December 2014 Cover

Futures 2014 person of the year

Jeff Sprecher was simply looking for a platform to trade energies when launching ICE 14 years ago but it has grown to reach the pinnacle of both the listed futures and equities world.

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.