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In The Courts

BY ALM Staff
August 01, 2003

Court Dismisses Rule 10b-5 Count of Indictment

Southern District of New York Dismisses Rule 10b-5 Count of Indictment Because the Relationship Between the Defendant and the Tipper Did Not Give Rise to Misappropriation Liability.

In United States v. Cassese, No. 03 CR. 302 (RWS), 2003 WL 21710765, (S.D.N.Y. July 23, 2003), Defendant John J. Cassese was indicted for two counts of securities fraud. Cassese moved to dismiss Count Two of the Indictment as legally insufficient. Count Two charged Cassese with securities fraud, in violation of 15 U.S.C. '' 78j(b) and 78ff, 17 C.F.R. '240.10b-5 and 18 U.S.C. ' 2.

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