Wednesday, 27 August 2014
Last updated 3 hours ago
Dec 18 2013 | 12:21pm ET
Former SAC Capital Advisors trader Mathew Martoma will face all three insider-trading charges against him—and in full—at his trial next month.
U.S. District Judge Paul Gardephe yesterday rejected a motion from Martoma's lawyers to dismiss one of the two securities fraud allegations against him and to cut back on the related conspiracy charge. Martoma's legal team cited a 2010 U.S. Supreme Court ruling that U.S. securities laws do not cover transactions on foreign exchanges.
One of the companies Martoma is accused of illegally trading is Elan Corp., an Irish pharmaceutical company.
But, Gardephe noted, Martoma traded Elan American depositary receipts traded on the New York Stock Exchange. "The formation of contracts for those trades, the passing of title to those securities, and the incurring of liability on the part of sellers and purchasers of those ADRs occurred in the United States," the judge ruled.
Martoma's trades in Elan and Wyeth LLC were based on tips from Sidney Gilman, a doctor overseeing drug trials for the companies, according to prosecutors. The trades allegedly earned or saved SAC a combined $276 million.
Martoma's trial is set to begin on Jan. 6.
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...