Bloomberg – Level Global Investors LP co-founder Anthony Chiasson and ex-Diamondback Capital Management LLC portfolio manager Todd Newman claim they were wrongfully convicted because jurors at their trial were told they only had to find that the defendants knew tips they traded on weren’t public.
Today, the two men will make their case to the U.S. Court of Appeals in New York. If the panel of three judges agrees with them, it may make insider-trading prosecutions more difficult, while also calling into question one of the biggest victories won in the U.S. government’s seven-year crackdown on Wall Street.
