In court papers asking the justices to hear an appeal of that ruling, U.S. Solicitor General Donald Verrilli said the appeals court decision was a “roadmap for unscrupulous insiders”.
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But, the justices Monday stood by a previous appeals court ruling that said the immunization rule does not violate students’ constitutional right of religious freedom.
The December decision by the New York-based 2nd U.S. Circuit Court of Appeals reversed the convictions of Anthony Chiasson and Todd Newman.
The Manhattan appeals court ruled that Wall Streeters who received insider tips had to know that the tipper was compensated for the info – and that the compensation couldn’t be just friendship but had to be of “some outcome”. Newman, a former Diamondback Capital Management portfolio manager, and Chiasson, co-founder of Level Global Investors, were convicted in 2012 and sentenced to 4-1/2 years and 6-1/2 years in prison, respectively.
Several people convicted in Bharara’s widespread crackdown on insider trading have publicly declared that they, too, see their convictions overturned due to the appeals court decision. “The Second Circuit Court of Appeals’ pronouncement of Mr. Chiasson’s innocence, as well as that court’s harsh chiding of the government’s tactics, has withstood all challenges and is now final”.
The Daily Progress of Charlottesville reports (http://bit.ly/1LdlZMz ) that the Supreme Court on Monday will review a petition that defense attorneys for 27-year-old George Huguely V filed in June.
“We think there’s a category of conduct that arguably will go unpunished going forward”, Bharara said on a conference call with reporters.
Almost $62 million of the profits came as a result of tips from a Dell employee to a former Dell worker who spread the information among friends, a few of whom worked at five investment houses, including three hedge funds.
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The case is United States v. Newman, 15-137.
