Brazilian Judge Serious About Due Diligence

Is it not considered normal for judges presiding over insider trading cases to take seized cars around for a spin?

Jurist's-eye view.

How could Flávio Roberto de Souza really get inside the head of accused insider-trading and general stock-market bad guy Eike Batista without seeing the world through his eyes? Or, in this case, his windshield? While he can, anyway.

The insider-trading trial of the troubled Brazilian businessman Eike Batista could be thrown into disarray after the judge in charge of his case was found to have been driving one of Mr. Batista’s seized cars...Mr. de Souza acknowledged to several local newspapers Tuesday night that he had indeed been in the car. But he said that he was merely moving it from the police parking lot, where it was exposed to rain and sun, to his own building’s garage, which is indoors, to ensure that the car remains in good condition. Mr. de Souza said he had informed the local Department of Motor Vehicles that he would be driving the car, and he denied any irregularity...An appeals court is to rule soon about whether to remove Mr. de Souza from the case, and two of the three appeals court judges have already indicated they will vote to do so.

Judge in Batista’s Insider Trading Case Acknowledges Driving Seized Porsche [DealBook]


Judge Jed Up SEC's Ass Again

These days, Judge Jed Rakoff’s name creates about as much agita inside the SEC as as Bernie Madoff. If Wall Street’s cops on the beat didn’t have enough to deal with already, now Judge Jed is up their ass about a seemingly meaningless legal settlement in the Galleon insider trading case.