January 10, 2019

Second Circuit upholds insider trading conviction of former lawyer

The Second Circuit upheld the insider trading conviction of Robert Schulman, a former patent attorney at Hunton & Williams, convicted in 2017 for tipping his investment adviser, Tibor Klein, to Pfizer’s planned acquisition of King Pharmaceuticals in 2010.  Schulman appealed a decision rejecting his motion to vacate his conviction on grounds of insufficient evidence.  In affirming that decision, the Second Circuit concluded that the jury was not required to credit Schulman’s testimony that he intended only to brag about his knowledge of the merger to a friend.