David Ganek: 1, Preet Bharara: 0.
A federal judge dealt a blow to Manhattan U.S. Attorney Preet Bharara on Thursday, saying he found it plausible that prosecutors and FBI agents violated the constitutional rights of hedge-fund founder David Ganek when they raided his offices in 2010. The ruling advances a lawsuit brought by Mr. Ganek against Mr. Bharara and current and former Federal Bureau of Investigation agents and prosecutors involved in an insider-trading investigation of the hedge fund, Level Global. It also means the defendants in the suit, Mr. Bharara and the prosecutors and agents, will have to turn over documents related to obtaining a search warrant of Level Global’s offices. In his suit, Mr. Ganek asserts that evidence was fabricated to obtain the warrant.