Q: You have also received criticism from some on the left– including writer Matt Taibbi and Wall Street documentarian Charles Ferguson– who say that while you’ve convicted insider traders, you’ve missed the big guys who committed the mortgage fraud that led to the financial crisis. How do you respond do that? A: I would suggest that some of these critics go to law school and apply themselves and become prosecutors and make the case that they think we should be making. This is by reputation and track record the most aggressive office in white-collar crime in the country ever, and if we’re not bringing a certain kind of case, it’s because the evidence is not there. Pure and simple. [Worth]
Preet Bharara is a big-picture kind of guy. He’s won more than 80 insider-trading convictions. Sure, there’s the one that got away, mostly because the judge presiding was, in Preet’s considered opinion, a fucking idiot. And, sure, it hurt. Still does. But he’s not going to let that get him down. No. He’s going to start a new streak right now. Read more »
Hiring Lawyers To Tell You That You Can Do Whatever You Want Proves To Be Less-Than-Airtight Legal Strategy For BNP ParibasBy Jon Shazar
Preet Bharara Can Laugh About People Relieving Themselves On Subpoenas, As Long As They’re Outer Borough SubpoenasBy Bess Levin
At a conference in Orlando this year, for example, Mr. Bharara recalled a scene from the movie “The Wolf of Wall Street,” when a character threw a subpoena in a trash can to urinate on it. Mr. Bharara told the crowd that he grew agitated, struggling to understand why anyone would show such disdain for a subpoena. “Then I realized something very important,” he said, pausing for effect. “It was sent by prosecutors in Brooklyn” rather than from his office in Manhattan, he added to an eruption of laughter. “And then I totally calmed down.” [Dealbook via Matt]
The sudden disappearance of what was once the world’s largest bitcoin exchange—and all of the bitcoins “contained” therein—is apparently not a good reason to stop speculating in fake currencies. Read more »
So, the insider trader formerly known as Ajai Mathew Thomas has been convicted of said insider trading, just like everyone else who’s been charged with it in the last five years. But forget this nobody grain of sand. How does it impact his former boss and conversation partner?
Answer: Probably not at all.
From a public relations standpoint, his conviction signifies another blow for Cohen, who had already been forced to drop all of his clients in converting SAC Capital into an investment vehicle for his $9 billion fortune.
Unless prosecutors leverage yesterday’s verdict to convince Martoma to turn against his former boss, however, his conviction is likely to have little bearing in their on-going pursuit of Cohen.