NEW YORK (AP) — A New York judge presiding over an insider trading trial says billionaire Steven A. Cohen's testimony to a financial regulatory agency cannot be shown to jurors.
U.S. District Judge Paul Gardephe's decision regarding the founder of SAC Capital Advisors came as a jury was being selected Wednesday at the trial of Mathew Martoma.
Martoma faces insider trading charges alleging he persuaded a medical professor to leak secret data from an Alzheimer's disease trial. The Boca Raton, Fla., resident has pleaded not guilty.
Martoma's lawyers wanted to use Cohen's testimony to show Cohen did not use Martoma's information to make pivotal trades. Prosecutors say Martoma's tips helped SAC earn a quarter-billion dollars illegally.
The judge said the Security and Exchange Commission's inquiry was fact-finding and not relevant for the criminal trial.