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Second Circuit Affirms Convictions of Defendants Who Traded On Press Releases Hacked From Major Newswires | Patterson Belknap Webb & Tyler LLP

In United States v. Korchevsky, the Second Circuit ( Walker, Parker, Carney) affirmed two defendants’ conspiracy and securities fraud convictions over defendants’ myriad claims of error, which included challenges to the sufficiency of the evidence, including as to venue; and contentions that the government constructively amended the indictment, that the district court improperly instructed the jury on conscious avoidance, and responded to a jury note in impermissible fashion.  Despite a number of close calls, the Court rejected all of these arguments, as discussed below. Background Defendant Vitaly Korchevsky was a hedge fund manager and investment advisor; Defendant Vladislav Khalupsky owned a trading company in Ukraine.  In 2010, Korchevsky was approached by two brothers, the Dubovoys.  The Dubovoys had access to a server holding pre-publication press releases containing important financial information:  they were working with Ukrainian hackers who would steal the pres

NCLA Hires Former Asst Atty Gen Jeff Clark to Join Battle Against Unlawful Administrative Power

NCLA Hires Former Asst Atty Gen Jeff Clark to Join Battle Against Unlawful Administrative Power
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