judge's ruling in s.e.c.'s insider trading case

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  • 8/3/2019 Judge's Ruling in S.E.C.'s Insider Trading Case

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    TLFRDB _RKRD_ BF_RXFOR ONTXR

    LNXRMDXL BF_RXFOR NE FAAFLNF_

    DK_RDXL BFUF_FNL

    _DOTXFRFD_ KLB D]OMKL@D &ONJJF__FNL! &

    &Sakflrfee! &

    &u, & Ln, ;3 OU 485=

    &ITKL IN_D EDXLKLBDY @KXOFK &klb &ATF_ JKXRFL OKXN _KLOMDY! &

    &Bdedlbklr, &

    JDJNXKLBTJ NSFLFNL KLB NXBDX

    JKXUFL D, K_SDL! Bfrxfor Itb`d9

    Sxddlrav hdenxd t f k jnrfnl enx tjjkxv itb`jdlr fl k okd rmkr flunaud kaad`krfnl ne

    flfbdx rxkbfl` hkdb nl rmd stxomkd klb kad ne Snrkm Onxsnxkrfnl ne _kgkromdpkl! Flo,

    -Snrkm& okaa nsrfnl onlrxkor, Rmd Tlfrdb _rkrd _dotxfrfd klb D}omkl`d Onjjffnl -_DO&

    nxf`flkaav hxnt`mr rmf korfnl k`kflr rpn bdedlbklr! Itkl Ind Edxlklbdy @kxofk klb Atf Jkxrfl

    Okxn _klomdy, Bdedlbklr @kxofk thd{tdlrav drradb pfrm rmd _DO klb f ln anl`dx skxrv rn rmd

    korfnl,

    _klomdy f k ?0*vdkx nab _sklfm ofrfydl xdfbfl` fl Jkbxfb! _skfl, -Bde, 45,; _rkr,

    ;2,& Nl Kt`tr ;8 klb ;?! 83;3! _klomdy stxomkdb xdakrfudav xfgv Snrkm okaa nsrfnl,

    Snrkm! hkdb fl _kgkromdpkl! Oklkbk! f rmd pnxab akx`dr sxnbtodx ne snrkm klb rmd donlb

    klb rmfxb akx`dr sxnbtodx ne lfrxn`dl klb smnsmkrd! xdsdorfudavkaa ne pmfom kxd sxfjkxv

    oxns ltrxfdlr tdb rn sxnbtod edxrfafydx, -Sa, 45,; _rkr, 4,& Snrkm rxkbd nl rmd Ldp Vnxg

    ;

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d ; ne ?3 Sk`dFB /9;=8;

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    _rnog D}omkl`d -LV_D& klb rmd Rnxnlrn _rnog D}omkl`d7 nsrfnl nl fr rnog kxd rxkbdb nl

    rmd Omfok`n Hnkxb Nsrfnl D}omkl`d -OHND& klb nrmdx nsrfnl d}omkl`d, -Fb, 4,&

    Nl Kt`tr ;0! 83;3! Snrkm jkbd k sthafo kllntlodjdlr rmkr fr mkb xdodfudb klb

    xdidordb kl tlnafofrdb sxnsnka exnj HMS Hfaafrnl Sao -HMS& rn ko{tfxd Snrkm enx ";?3 sdx

    mkxd! k sxdjftj ne ;5$ nudx Snrkm oanfl` rnog sxfod nl Kt`tr ;5, -Fb, 5,& K k xdtar!

    rmd rnog sxfod ne Snrkm floxdkdb xnt`mav 80$! klb _klomdy pk khad rn daa mf nsrfnl enx k

    sxnefr ne "265!64?,??! k xdrtxl ne ;!325$, -Fb, 0! 2;7 Onjsa, ;?,& Rmd _DO oakfj rmkr

    _klomdy tsfofnt rxkbfl`! mf fjsaktfhad d}saklkrfnl! klb mf nhrxtorfud snr*efafl` onlbtor

    teefod rn tssnxr k itxv udxbfor fl rmd _DO ekunx, -Xds, kr ?,& _klomdy! nl rmd nrmdx mklb! kx`td

    rmkr rmd _DO mk lnr fbdlrfefdb k onlldorfnl hdrpddl _klomdy klb klv flfbdx htr flrdkb mkl` fr

    mkr nl hkxd kdxrfnl khntr tsfofnt rxkbd, -Jdj, kr ;,& Koonxbfl`av! _klomdy mk jnudb enx

    tjjkxv itb`jdlr, Enx rmd xdknl dr enxrm hdanp! pd `xklr rmd jnrfnl,

    FF, HKOG@XNTLB

    Tlad nrmdxpfd flbfokrdb! rmd ekor bdoxfhdb mdxdfl kxd tlbfstrdb klb otaadb exnj rmd

    skxrfd Anoka Xtad 45,; rkrdjdlr ne ekor klb koonjsklvfl` d}mfhfr,

    K, _klomdy Rxkbfl` Hkog`xntlb

    _klomdy rdrfefdb kr mf bdsnfrfnl rmkr md rkxrdb rxkbfl` fl rnog klb nsrfnl pmdl md

    pk kssxn}fjkrdav ;5 nx ;0 vdkx nab klb mk rxkbdb fl d{tfrfd nl hdmkae ne mf ekjfav onjsklv

    enx vdkx, -Bde, 45,; _rkr, D}, E,& Mf d}sdxfdlod stxsnxrdbav floatbd stxomkd fl dotxfrfd!

    nsrfnl! enxdf`l d}omkl`d rxkbd! onlrxkor enx bfeedxdlod! pkxxklr! klb d}omkl`d rxkbdb etlb!

    tfl` k ukxfdrv ne rxkbfl` rxkrd`fd7 jklv ne rmdd rxklkorfnl pdxd nl hdmkae ne mf ekjfav

    htfld, -Sa, 45,; _rkr, ;57 Bde, 45,; _rkr, ;5,& _klomdy rkrd rmkr mf sxfjkxv inh nx

    8

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 8 ne ?3 Sk`dFB /9;=88

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    afudafmnnb flunaud mklbafl` mf sdxnlka fludrjdlr fl xdka drkrd klb rnog d}omkl`d! rmkr md

    mk thrklrfka sdxnlka kdr klb f`lfefoklr jnlrmav okm eanp! klb rmkr md mk rxkbdb fl

    nsmfrfokrdb eflklofka flrxtjdlr pfrm k f`lfefoklr kjntlr ne oksfrka kr rkgd, -Bde, 45,; _rkr,

    ;4,& Rmdd kdxrfnl kxd lnr bfxdorav tssnxrdb hv dufbdlod hdenxd rmd ontxr, Fr f tlbfstrdb!

    mnpdudx! rmkr _klomdy rxkbdb fl rmd pkxxklr ne entx _sklfm*hkdb dlrfrfd fl 8330, Kerdx

    adrrfl` jnxd rmkl 8!433!333 ne rmnd pkxxklr d}sfxd pnxrmad! _klomdy trkfldb and

    k``xd`krfl` ;!828!5;? dtxn, -Sa, 45,; _rkr, D}, O*; kr 6=7Fb, D}, B ?47Fb, D}, B*8;,&

    _klomdy mk jkflrkfldb kl Flrdxkorfud Hxngdx -FH& koontlr flod Itld 833=, -Fb, D},

    K =! 67Fb, D}, K*; kr ;,& FH f k `anhka jkxgdr jkgdx klb hxngdx sdofkafyfl` fl needxfl`

    xntrfl` ne nxbdx klb d}dotrfl` klb sxnodfl` rxkbfl` fl k ukxfdrv ne eflklofka flrxtjdlr nl 63

    dadorxnlfo d}omkl`d klb rxkbfl` udltd kxntlb rmd pnxab, -Bde, 45,; _rkr, ?;,& Fl bnotjdlr

    thjfrrdb pmdl nsdlfl` rmd koontlr! _klomdy flbfokrdb rmkr md mkb entx vdkx ne rnog

    d}sdxfdlod klb rpn vdkx ne d}sdxfdlod fl nsrfnl! onjjnbfrfd! klb enxdf`l d}omkl`d rxkbfl`,

    -Sa, 45,; _rkr, D}, K*; kr 80,& Md etxrmdx flbfokrdb rmkr md jkbd jnxd rmkl ;33 rxkbd klltkaav

    klb mkb d}rdlfud d}sdxfdlod fl rnog! nsrfnl! onjjnbfrfd! klb enxdf`l d}omkl`d, -Fb,&

    Hdrpddl Ikltkxv ;! 83;3 klb Kt`tr ;8! 83;3! _klomdy tdb mf FH koontlr nlav rn rxkbd etrtxd

    klb enxdf`l d}omkl`d sxnbtor, -Fb, D}, B 86,&

    _klomdy rdrfefdb rmkr md mk kapkv hddl flrdxdrdb fl rmd edxrfafydx flbtrxv! htr hdenxd

    rmd Snrkm stxomkd! md mkb ldudx fludrdb fl edxrfafydx onjsklfd, -Fb, D}, H*; kr 87Fb, D}, O*;

    kr 5=56,& Jnxdnudx! _klomdy ldudx stxomkdb Snrkm dotxfrfd hdenxd nx kerdx rmd rxklkorfnl

    fl {tdrfnl klb bfb lnr fludr fl nrmdx edxrfafydx onjsklfd kerdx rmd Snrkm stxomkd, -Fb, D}, H*

    ; kr ?7Fb, D}, O*; kr 5=56,&

    ?

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d ? ne ?3 Sk`dFB /9;=8?

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    H, Rmd Snrkm Rxkbd

    Nl Kt`tr ;;! 83;3! _klomdy jkbd k bdoffnl rn htv Snrkm nsrfnl, -Sa, 45,; _rkr, D},

    K*?7Fb, D}, H*; kr ?,& _klomdy bfb lnr! mnpdudx! mkud ktrmnxfrv rn stxomkd nsrfnl fl mf FH

    koontlr klb rmt xd{tdrdb sdxjffnl rn bn n nl rmd kjd bkv, FH dlr! klb _klomdy xdodfudb

    klb xdrtxldb! k xfg bfoantxd enxj nnl kerdx, -Fb, D}, K ;8-k&7Fb, D}, K*;7Fb, D}, K*? kr

    ;8,& Rmd kssxnuka sxnod rnng anl`dx rmkl _klomdy klrfofskrdb! klb md onlrkordb FH otrnjdx

    dxufod, Kerdx hdfl` flenxjdb rmkr kssxnuka jf`mr rkgd ts rn 2= mntx! md flbfokrdb rmkr md

    pntab kssxdofkrd fe rmd sxnod pntab jnud k {tfogav k snfhad, -Fb, D}, K*?,& FH `xklrdb

    _klomdy sdxjffnl rn rxkbd nsrfnl nl Kt`tr ;8! klb _klomdy hd`kl sakofl` nxbdx enx

    _dsrdjhdx ;84 Snrkm Okaa; ad rmkl rdl jfltrd kerdx rxkbfl` nsdldb enx rmd bkv, -Fb, D}, K

    ;8-b&7Fb, D}, B 887Fb, D}, B*;5,&

    Nl Kt`tr ;8 klb ;?! 83;3! _klomdy stxomkdb k rnrka ne ??; _dsrdjhdx ;84 Snrkm Okaa

    nsrfnl, _klomdy skfb k rnrka ne "20!266 rn stxomkd rmdd okaa, -Fb, D}, B 837Fb, D}, B*;47

    Onjsa, ?5,& _sdofefokaav! nl Kt`tr ;8 _klomdy dlrdxdb df`mr afjfr nxbdx rn htv ;5; Snrkm

    ; K tdb fl rmf nsflfnl! _dsrdjhdx ;84 Snrkm Okaa xdedx rn k okaa nsrfnl nl Snrkmdotxfrfd pfrm k rxfgd sxfod ne ";84 klb btd rn d}sfxd nl _dsrdjhdx ;=! 83;3, Kl d{tfrv okaansrfnl `fud fr htvdx rmd xf`mr! htr lnr rmd nhaf`krfnl! rn stxomkd ;33 mkxd ne k onjsklvtlbdxavfl` rnog kr k dr sxfod -rxfgd sxfod& hdenxd k odxrkfl bkrd -d}sfxkrfnl bkrd&, Rmdnsrfnl mk ukatd tlrfa rmd d}sfxkrfnl bkrd xd`kxbad ne pmdrmdx rmd rnog f khnud nx hdanp rmdrxfgd sxfod hdoktd rmd rxkbdx okl daa rmd nsrfnl snfrfnl nl rmd nsdl jkxgdr, Mnpdudx! fe rmdrxkbdx bnd lnr d}dxofd nx daa rmd okaa nsrfnl sxfnx rn rmd d}sfxkrfnl bkrd! rmd nsrfnl hdonjdpnxrmad klb odkd rn d}fr k k eflklofka snfrfnl, -Sa, 45,; _rkr, ;;7 Bde, Xds, rn Sa,45,; _rkr, ;;,& Kr klv `fudl rfjd! k rxkbdx okl stxomkd sdofefo nsrfnl pfrm k ukxfdrv ned}sfxkrfnl jnlrm klb rxfgd sxfod7 nsrfnl dr rn d}sfxd kr {tkxrdx dlb -Jkxom! Itld!_dsrdjhdx! Bdodjhdx& rvsfokaav needx rmd mf`mdr rxkbfl` unatjd, -Sa, 45,; _rkr, ;?7 Bde,Xds, rn Sa, 45,; _rkr, ;?,& Kr rmd xdaduklr rfjd! _klomdy ontab kan mkud stxomkdb! klb on*

    bdedlbklr @kxofk bfb stxomkd! Snrkm okaa nsrfnl pfrm kl d}sfxkrfnl bkrd ne Kt`tr 8;! 83;3,-_dd Onjsa, 85,&

    2

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 2 ne ?3 Sk`dFB /9;=82

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    okaa7 entx ne rmd df`mr nxbdx pdxd d}dotrdb kr rmd nxf`flka hfb sxfod! rmd nrmdx entx oadkxdb nlav

    kerdx _klomdy xkfdb mf hfb sxfod, -Sa, 45,; _rkr, ?;,& Rmd stxomkdb onlrxkor sxfod xkl`db

    exnj ";,3= rn ";,4= sdx onlrxkor pmfad rmd tlbdxavfl` rnog pk rxkbfl` hdrpddl ";35,45 klb

    ";;8,==! nx 6,03$ rn ;2,04$ hdanp rmd ";84 rxfgd sxfod, -Fb, 86,& Btxfl` rmd rxkbfl` nl

    Kt`tr ;8! _klomdy xd{tdrdb k rxkledx ne xnt`mav 84!333 dtxn exnj mf Hklon Skrnx koontlr

    rn mf FH koontlr, -Fb, ?8,& FH oxdbfrdb rmd jnldv rn _klomdy koontlr nl Kt`tr ;? kr 89;5

    kj, -Fb,& Nl Kt`tr ;?! _klomdy stxomkdb klnrmdx ;03 _dsrdjhdx ;84 Snrkm Okaa nsrfnl,

    Rmd onlrxkor sxfod nl rmdd nsrfnl xkl`db exnj ";,?? rn ";,4;! klb Snrkm rnog pk rxkbfl`

    6,=3$ rn ;;,64$ hdanp rmd ";84 rxfgd sxfod, -Fb, ?4,& Kaa ne rmd _dsrdjhdx ;84 Snrkm Okaa

    nsrfnl stxomkdb hv _klomdy pdxd ntr*ne*rmd*jnldv,8

    Hdenxd rxkbfl` nl rmd LV_D nx OHND nsdldb nl Kt`tr ;0! 83;3! Snrkm kllntlodb

    rmkr fr mkb xdodfudb klb xdidordb kl tlnafofrdb sxnsnka exnj HMS rn ko{tfxd Snrkm enx ";?3

    sdx mkxd! k sxdjftj ne ;5$ nudx Snrkm oanfl` rnog sxfod nl Kt`tr ;5, -Fb, 5,& Fr kan

    xdadkdb k onsv ne k adrrdx exnj HMS rn Snrkm jdjnxfkafyfl` k jddrfl` hdrpddl rmd rpn

    onjsklfd omfde d}dotrfud neefodx k pddg dkxafdx khntr HMS tlnafofrdb hfb, -Fb, 5,&

    Snrkm rnog {tfogav floxdkdb "?3,65 sdx mkxd! nx 80,5;$! nudx rmd oanfl` sxfod exnj rmd

    sxdufnt bkv! rn nsdl kr ";2?,;;, -Fb, 0,& Rmd mkxd oandb nl Kt`tr ;0 kr ";2?,;0, K k

    xdtar! kaa ne _klomdy _dsrdjhdx ;84 Snrkm Okaa nsrfnl pdxd fl*rmd*jnldv klb fl ekor {tfrd

    ukatkhad, -Fb, ?6,& _klomdy nab mf dlrfxd snfrfnl ne ??; Snrkm okaa enx "422!248,?0 rmkr

    bkv klb jkbd k sxnefr ne "265!64?,??! d{tka rn k xdrtxl ne ;!325$, -Fb, 23! 2;,&

    8 Okaa kxd onlfbdxdb ntr*ne*rmd jnldv fe rmdv mkud k rxfgd sxfod khnud rmd sxfod nermd tlbdxavfl` rnog, Okaa kxd onlfbdxdb fl*rmd*jnldv pmdl rmdv mkud k rxfgd sxfod hdanprmd sxfod ne rmd tlbdxavfl` rnog, -Sa, 45,; _rkr, ;8,&

    4

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 4 ne ?3 Sk`dFB /9;=84

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    Nl Kt`tr ;=! 83;3! _klomdy krrdjsrdb rn pfrmbxkp 2;8!333 dtxn exnj mf FH koontlr

    klb rxkledx rmd etlb rn mf Hklon Skrnx koontlr fl Jkbxfb! _skfl, -Fb, 2?,& _klomdy snflr

    ntr rmkr rmd kjntlr ne jnldv rmdl fl rmd FH koontlr `xdkrav d}oddbdb mf mfrnxfoka kudxk`d

    hkaklod enx rxkbfl` korfufrv fl rmkr koontlr, -Bde, Xds, rn Sa, 45,; _rkr, 2?,& Mnpdudx!

    flrdkb ne rxkledxxfl` rmd jnldv! FH rdjsnxkxfav exnyd mf koontlr! lnrfevfl` _klomdy rmkr fr pk

    onlbtorfl` k xntrfld xdufdp xdakrdb rn xdodlr rxkbfl` korfufrv fl mf FH koontlr, -Sa, 45,; _rkr,

    22,& FH onjsafklod rnab _klomdy rmkr fr pntab onlrkor mfj nlod xdufdp pk onjsadrd7

    _klomdy lnldrmdad onlrfltdb rn jkgd krrdjsr rn rxkledx rmd jnldv, -Fb,& _klomdy kdxr

    rmkr rmdd thd{tdlr krrdjsr pdxd tlbdxrkgdl kr rmd bfxdorfnl ne FH rkee, -Bde, Xds, rn Sa,

    45,; _rkr, 22,&

    Rmd skxrfd bfstrd rmd xdaduklod ne mfrnxfoka Snrkm rnog sxfod! htr rmd ekor flbfokrd

    rmd enaanpfl`, Nl Itav 8=! 83;3! Snrkm rnog oandb kr "60,0;, Hv Kt`tr 5! 83;3 fr mkb

    kssxdofkrdb ldkxav 83$ rn k bkfav mf`m ne ";;5,26, Rmd rnog bdoafldb kerdx Kt`tr 5 rn fr oand

    nl Kt`tr ;3 kr ";;;,05, Rmd sxfod edaa etxrmdx nl Kt`tr ;;! 83;3! oanfl` kr ";3=,83rmf

    xdsxddlrdb rmd akx`dr bnpl*bkv enx Snrkm rnog hdrpddl Itav 86! 83;3 klb Kt`tr ;0! 83;3!

    fl rdxj ne hnrm khnatrd bnaakx klb sdxodlrk`d an, Nl Kt`tr ;8! 83;3! rmd rnog k`kfl

    nsdldb anpdx! kr ";35,=4! htr oafjhdb rmxnt`m rmd bkv rn oand kr ";;8,32, -Sa, 45,; _rkr, D}, B*

    ;,&

    Btxfl` xnt`mav rmd kjd rfjd sdxfnb! Itav 86! 83;3 rn Kt`tr ;0! 83;3! rmd _%S 433

    Flbd} sdkgdb nl Kt`tr 6! oanfl` kr k ukatd ne ;;8=, Nl Kt`tr ;3 klb ;; rmd _%S flbd} edaa

    3,58$ klb 8,=4$! xdsdorfudav, -Fb, D}, B*;?,& Fl n bnfl`! rmd flbd} rxkbdb rmxnt`m klb oandb

    pdaa hdanp fr 833*bkv d}snldlrfka jnufl` kudxk`d, -Fb, 6,& Kt`tr ;; pk rmd akx`dr bnpl

    5

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 5 ne ?3 Sk`dFB /9;=85

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    bkv enx rmd _%S nudx rmf rfjd sdxfnb7 fr pk kan rmd jnr unakrfad rxkbfl` dfnl nudx rmd

    sdxfnb, Rmd _%S onlrfltdb rn bdoafld nl Kt`tr ;8 klb ;?! ekaafl` 3,25$ dkom bkv, -Fb, D}, B*

    ;?,&

    O, Fludrf`krfnl

    Koonxbfl` rn rmd FH Bfxdornx ne Onjsafklod Nsdxkrfnl! pmn eak``db _klomdy Snrkm

    rxkbd! md flrfrtrdb rmd mnab fl skxr hdoktd ne rmd d}rxdjdav akx`d sxnefr _klomdy flotxxdb

    xdakrfud rn rmd rfjfl` ne Snrkm sthafo kllntlodjdlr, -Fb, 24,& FH onjsafklod rmdl xdufdpdb

    rmd rxkbd klb xdsnxrdb rmdfx eflbfl` rn rmd _DO, -Fb, 24,& Rmd _DO fjjdbfkrdav efadb rmf

    korfnl,

    Kerdx _klomdy entlb ntr khntr rmd tfr! md {tfogav pdlr rn Omfok`n klb unatlrkxfav jdr

    pfrm xdsxddlrkrfud exnj rmd _DO klb nrmdx edbdxka k`dlofd7 rmd flrdxufdp akrdb rmdxd mntx!

    klb _klomdy bfb lnr hxfl` ad`ka ontlda, -Bde, 45,; _rkr, 2,& Rmd _DO mk flod onlbtordb kl

    d}rdlfud fludrf`krfnl! floatbfl` flrdxufdp klb onjjtlfokrfnl pfrm bnjdrfo klb

    flrdxlkrfnlka onjsklfd klb `nudxljdlr k`dlofd, -Fb, ?,& K skxr ne rmd fludrf`krfnl!

    _klomdy mk sxnbtodb hklg! rdadsmnld! klb mfrnxfoka rxkbfl` xdonxb! k pdaa k k mkxb bxfud

    klkavf, -Sa, Xds, rn Bde, 45,; _rkr, 4,& _klomdy kr enx k etaa bkv bdsnfrfnl nl Itav ;!

    83;;, -Bde, 45,; _rkr, 5,&

    Rmd _DO kbjfr rmkr fr mk vdr rn adkxl ne klv ntxod rmkr ontab mkud sxnufbdb _klomdy

    pfrm lnl*sthafo! jkrdxfka flenxjkrfnl xd`kxbfl` Snrkm, -Sa, Xds, rn Bde, 45,; _rkr, 88,&

    Rmd _DO mk lnr fbdlrfefdb rmd sdofefo flenxjkrfnl _klomdy stxsnxrdbav xdodfudb nx exnj pmnj

    _klomdy ontab mkud nhrkfldb rmd flenxjkrfnl, -Bde, 45,; _rkr, 88! 8?7 Sa, Xds, rn Bde,

    45,; _rkr, 88! 8?,& Hdoktd rmd _DO mk lnr fbdlrfefdb rmd ntxod ne rmd kaad`db flfbd

    0

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 0 ne ?3 Sk`dFB /9;=80

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    flenxjkrfnl! fr mk lnr sxddlrdb dufbdlod rmkr rmd kaad`db ntxod hxdkomdb k efbtofkxv btrv,

    -Bde, 45,; _rkr, 84,& Rmd enaanpfl` ekor xdakrdb rn rmd rxkbd pdxd xdudkadb rmxnt`m rmd

    fludrf`krfnl,

    F, D}saklkrfnl enx _klomdy Snrkm Rxkbd

    Fjjdbfkrdav kerdx adkxlfl` ne rmf tfr! _klomdy rxkudadb exnj _skfl rn rmd edbdxka

    ontxrmntd fl Omfok`n klb unatlrkxfav jdr pfrm xdsxddlrkrfud ne rmd _DO, -Fb, 4,& _klomdy

    kr enx k rmxdd mntx flrdxufdp nl Kt`tr 84! 83;3 pfrmntr kl krrnxldv, -Sa, 45,; _rkr, D}, H*;,&

    Rmd flrdxufdp pk onlbtordb fl _sklfm klb Dl`afm7 _klomdy sngd fl hnrm akl`tk`d klb kl

    _DO xdsxddlrkrfud kordb k rxklakrnx, -Fb,& _klomdy rkrdb rmkr md mkb hddl rxkogfl` Snrkm enx

    jnlrm sxfnx rn stxomkfl` rmd okaa nsrfnl, _sdofefokaav! md kfb rmkr md xddkxomdb fr rnog klb

    nsrfnl unatjd! nhdxudb fr rnog hfb.kg sxdkb! xdkb onjsklv ldp! klb klkavydb fr {tkxrdxav

    dkxlfl` klb rnog sxfod7 md kan anngdb flrn rmd edxrfafydx flbtrxv `dldxkaav, -Fb, 20,&

    _klomdy hxnt`mr rn rmd flrdxufdp ukxfnt ldp kxrfoad klb nrmdx xddkxom onlodxlfl` Snrkm!

    floatbfl` rpn Oxdbfr _tfd klkavr xdsnxr bkrdb Jkv 83! 83;3 klb Itav 86! 83;3, -Fb, 2=7Fb,

    D}, B*47Fb, D}, B*5,& _njd ne rmdd kxrfoad pdxd sthafmdb kerdx md mkb rkxrdb stxomkfl` rmd

    okaa nsrfnl, -Fb, 2=,& Rmd _DO kdxr rmkr _klomdy oakfjdb rn mkud xdafdb nl rmdd

    bnotjdlr pmdl md bdofbdb rn rxkbd, -Fb,& Mnpdudx! fl mf bdsnfrfnl! _klomdy rkrd rmkr md

    bfb lnr xdav nl rmdd bnotjdlr sxfnx rn rxkbfl`! htr rmkr md hxnt`mr rmdj rn rmd flrdxufdp k

    dufbdlod rmkr Snrkm rnog pk k `nnb stxomkd, -Bde, Xds, rn Sa, 45,; _rkr, 2=7 Sa, 45,;

    _rkr, D}, O*; kr ;;0;?4,&

    Fl mf bdsnfrfnl! _klomdy fbdlrfefdb ekornx rmkr md xdafdb nl pmdl jkgfl` mf bdoffnl

    rn htv Snrkm okaa, Md rdrfefdb rmkr md anngdb `dldxkaav kr pmdkr sxfod! k`xfotartxka htfld!

    =

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d = ne ?3 Sk`dFB /9;=8=

  • 8/3/2019 Judge's Ruling in S.E.C.'s Insider Trading Case

    9/30

    klb rmd dldx`v dornx hdenxd htvfl` rmd Snrkm okaa, -Sa, 45,; _rkr, 20,& Md kan rkrdb rmkr fl

    Jkxom nx Ksxfa 83;3 md mdkxb xtjnx rmkr HMS jf`mr hd flrdxdrdb fl stxomkfl` Snrkm! htr md

    bfontlrdb rmf k k ekornx fl mf bdoffnl, -Fb, 43,& Nrmdx ekornx md xdafdb nl floatbdb

    rdomlfoka f`lka! onlefxjkrfnl ne rmd rdomlfoka f`lka! klb flrtfrfnl, -Fb,& Rmd enaanpfl`

    d}saklkrfnl stxsnxrdbav etxrmdx tssnxr _klomdy onloatfnl rmkr Snrkm mkb k f`lfefoklr

    tsfbd fl rmd mnxr rdxj,

    _klomdy d}sakfldb rmkr md xdodfudb mf efxr rdomlfoka f`lka rn htv nl Kt`tr 8! 83;3

    pmdl md nhdxudb k oxnnudx f`lka fl rmd d}snldlrfka jnufl` kudxk`d enx rmd sxfod ne Snrkm

    rnog, -Fb, 4;7Fb, D}, O*; kr =?=5,& Rmd _DO kdxr rmkr _klomdy jkbd ln jdlrfnl ne rmf

    f`lka btxfl` mf Kt`tr 84 flrdxufdp! htr _klomdy snflr ntr rmkr rmd flrdxufdp pk onlbtordb

    pfrmntr k odxrfefdb! ldtrxka rxklakrnx klb rmkr ln udxhkrfj tjjkxv f kukfakhad7 fl kbbfrfnl! md

    kx`td rmkr rmd lnrd ne rmd jddrfl` sxnbtodb hv rmd _DO bdjnlrxkrd rmkr md hxnt`mr ts fjfakx

    f`lka btxfl` rmd flrdxufdp, -Bde, Xds, rn Sa, 45,; _rkr, 4;,&

    _klomdy rdrfefdb rmkr md xdodfudb mf onlefxjkrfnl ne rmd rdomlfoka f`lka nl Kt`tr ;3!

    83;39

    [9 _n pmv bfblr vnt htv nl Kt`tr 8lb>K9 Hdoktd rdomlfokaav fr f lnr k `nnb fbdk * fr f lnr k `nnb fbdk rn stxomkd kr rmd rfjd ne

    rmd efxr f`lka, Fr f xdonjjdlbdb rn pkfr enx k onlefxjkrfnl ne rmkr f`lka! hdoktdlnxjkaav rmdxd jklv ekad f`lka ne rmkr rvsd fl rmd jkxgdrsakod,

    [9 _n pmdl bfb vnt xdodfud rmd onlefxjkrfnl fl rmf okd>K9 Rmd onlefxjkrfnl F xdodfudb kssxn}fjkrdav nl Kt`tr ;3rm,[9 Pmkr enxj bfb rmd onlefxjkrfnl rkgd>

    K9 Rmkr onlefxjkrfnl F mkb hdoktd rmdxd pk k onlnafbkrfnl ne rmd fjstad ne rmd oxn ne

    jdbftj! kudxk`d! klb rmkr onlnafbkrfnl f glnpl k staa*hkog! klb onlfr ne k af`mrbxns fl rmd sxfod kerdx k stm enx k mf`mdx sxfod, Klb rmdxd pk k mnad rmkr pk efaadb * k`ks rmkr pk sxnbtodb btxfl` rmd floxdkd * rmd sxdufnt floxdkd,

    6

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 6 ne ?3 Sk`dFB /9;=86

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    -Sa, 45,; _rkr, D}, O*;,& Pmfad rmd _DO k`kfl kx`td rmkr _klomdy jkbd ln jdlrfnl ne rmf

    onlefxjkrfnl btxfl` rmd flfrfka flrdxufdp! _klomdy xdfrdxkrd rmkr rmd flrdxufdp pk onlbtordb

    pfrmntr k odxrfefdb! ldtrxka rxklakrnx klb rmkr ln udxhkrfj tjjkxv f kukfakhad, -Bde, Xds,

    rn Sa, 45,; _rkr, 4?,&

    Eflkaav! rn jkgd mf bdoffnl! _klomdy d}sakfldb rmkr md xdafdb kan nl mf flrtfrfnl,

    Pmfad kbjfrrfl` fr f mkxb rn d}sakfl flrtfrfnl! _klomdy rdrfefdb rmkr md anngdb kr rmd rxkbfl`

    unatjd ne rmd rnog klb rmd `dldxka jkxgdrsakod, -Sa, 45,; _rkr, 43,& _sdofefokaav! _klomdy

    rdrfefdb rmkr kerdx xdufdpfl` ukxfnt jkxgdr flbd}d md mkb rmd fjsxdfnl rmkr rmd jkxgdr pntab

    floxdkd, Md d}sakfldb rmkr rmd flbd}d pntablr onlefxj mf flrtfrfnl htr pntab kor k

    kbbfrfnlka dadjdlr, Enx d}kjsad! md d}sakfldb! fe k oxn f sxnbtodb! htr rmd jkxgdr f

    bxnssfl` {tfrd k hfr! fr f lnr xdonjjdlbdb * rn rkgd snfrfnl f lnr xdonjjdlbdb, Htr fe rmd

    jkxgdr f sdkodeta! rmdxd lnr hkb ldp fl rmd donlnjfo dlufxnljdlr! vnt okl kv! @n kmdkb,

    -Fb, D}, O*; kr 6264,& Rmd _DO snflr ntr! mnpdudx! rmkr hnrm Snrkm rnog klb rmd _%S 433

    pdxd bdoaflfl` fl unakrfad rxkbfl` nl Kt`tr ;;! 83;3, -Fb, 42,&

    Fl mf bdsnfrfnl! _klomdy d}sakfldb mf omnfod rn htv nsrfnl! xkrmdx rmkl rmd tlbdxavfl`

    dotxfrv! k kl krrdjsr rn floxdkd rmd xfg aduda ne mf nudxkaa snxrenafn, -Fb, D}, O*; kr =?=5,&

    Pmfad! _klomdy d}sakfldb rmkr md bfb lnr onlfbdx rmd _dsrdjhdx ;84 Snrkm Okaa nsrfnl rn

    onlrkfl k skxrfotakxav mf`m aduda ne xfg! md bfb tlbdxrklb rmkr nsrfnl kxd k xfgv fludrjdlr klb

    rmkr kl fludrnx pmn rxkbd fl nsrfnl mk rn hd khad rn ktjd rmd an ne rmd fludrjdlr, -Fb,&

    _klomdy jkflrkfl rmkr md pk tlkpkxd ne HMS needx kr rmd rfjd md rxkbdb Snrkm nsrfnl,

    -Sa, Xds, rn Bde, 45,; _rkr, 83,&

    ff, Kaad`db _snfakrfnl

    ;3

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d ;3 ne ?3 Sk`dFB /9;=?3

  • 8/3/2019 Judge's Ruling in S.E.C.'s Insider Trading Case

    11/30

    _klomdy npldb rpn onjstrdx fl Kt`tr 83;39 k aksrns onjstrdx klb k bdgrns

    onjstrdx, -Sa, 45,; _rkr, D}, O*; kr ;;3,& Rmd skxrfd bfstrd pmdrmdx _klomdy flrdlrfnlkaav

    rmxdp kpkv rmd aksrns rn mfbd xdaduklr flenxjkrfnl klb pmdrmdx md oxthhdb mf bdgrns

    onjstrdx rn bdrxnv nx kardx onjstrdx efad, -Fb, ;7 Bde, Xds, rn Sa, 45,; _rkr, ;,&

    Koonxbfl` rn mf bdsnfrfnl! _klomdy bfb mkud k bdgrns klb kl nab aksrns fl Kt`tr

    83;3! htr md bfb lnr exd{tdlrav td rmd nab aksrns, -Sa, 45,; _rkr, D}, O*; kr ;;;,& _klomdy bfb

    lnr xdokaa pmdrmdx md dudx d}dotrdb k rnog rxklkorfnl nl rmd aksrns! htr kfb rmkr fr pk udxv

    anp klb rmkr md rmxdp fr ntr fl Bdodjhdx 83;3, -Fb, D}, O*; kr ;;8;2,& Md etxrmdx rkrdb rmkr

    md onlbtordb kaa mf xddkxom enx klb hnt`mr rmd Snrkm rnog nl rmd bdgrns onjstrdx, -Fb, D},

    O*; kr ;;8,&

    Hv k ontxr nxbdx ftdb nl Kt`tr 83! 83;3! _klomdy pk bfxdordb rn sxddxud kaa

    bnotjdlr klb flenxjkrfnl rmkr xdedx nx xdakrd rn rmd kaad`krfnl bdoxfhdb fl rmd Onjjffnl

    Onjsakflr! floatbfl` klv flenxjkrfnl xdakrdb rn FH, -Fb, D}, O*8 kr 0,& Nl Kt`tr 82! ontlda

    enx rmd _DO dlr kl djkfa rn _klomdy d}sakflfl` rmkr md mkb rn sxddxud kaa xdaduklr bnotjdlr7

    rmd djkfa dlbdb pfrm k `dldxka xd{tdr rn sxddxud kaa ne vntx onjstrdx rmkr vnt mkud tdb

    flod kr adkr Ikltkxv ;! 83;3, -Fb, D}, O*?,& Rmd _DO dlr k xd{tdr enx sxnbtorfnl ne

    bnotjdlr nl Kt`tr 85! 83;3 rmkr xd{tdrdb rmd sxnbtorfnl ne K onsv ne rmd mkxb bxfud enx kaa

    onjstrdx tdb hv vnt nx nl vntx hdmkae btxfl` rmd sdxfnb Ikltkxv ;! 833= rn rmd sxddlr, -Fb,

    D}, O*2 kr 2,& Kbbfrfnlka djkfa pdxd d}omkl`db hdrpddl ontlda xdakrfl` rn kortka sxnbtorfnl

    ne rmd mkxb bxfud! -Fb, D}, O*47Fb, D}, O*57Fb, D}, O*07Fb, D}, O*=& klb k fjfakx djkfa pk

    ;;

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d ;; ne ?3 Sk`dFB /9;=?;

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    12/30

    dlr rn _klomdy bfxdorav nl Ikltkxv ?;! 83;;,? -Fb, D}, O*;3,& _klomdy onlrdlb rmkr rmdd

    bnotjdlr mnp rmkr rmd _DO xdsdkrdbav lkxxnpdb klb enotdb fr fl{tfxv tsnl _klomdy

    bdgrns! bdsfrd fr kbjfrrdb glnpadb`d rmkr _klomdy mkb jtarfsad dadorxnlfo bdufod, -Bde,

    Xd, rn Sa 45,; _rkr, ;,& Fr f rxtd rmkr rmd onxxdsnlbdlod rkxrfl` nl Lnudjhdx ;0! 83;3

    xdedxxdb rn rmd mkxb bxfud pmfad sxfnx adrrdx xdedxxdb rn mkxb bxfud, -Onjskxd Sa, 45,; _rkr,

    D}, O*5! D}, O*0! D}, O*= pfrm Sa, 45, _rkr, D}, O*?! D}, O*2,& Mnpdudx! kl djkfa dlr nl

    Ikltkxv ?;! 83;;! ofrfl` rmd Kt`tr 85! 83;3 bnotjdlr xd{tdr! k`kfl xdedx rn mkxb bxfud,

    -Sa, 45,; _rkr, D}, O*;3,& _klomdy etxrmdx kdxr rmkr rmd mkxb bxfud rmkr pk sxnbtodb btxfl`

    bfonudxv pk exnj rmd onjstrdx rmkr md tdb rn stxomkd Snrkm nsrfnl klb rn onlbtor kaa ne

    mf xddkxom, -Bde, Xds, rn Sa, 45,; _rkr, ;,&

    Rmdxd f kl kbbfrfnlka bfstrd xdakrdb rn _klomdy fSmnld, -Sa, 45,; _rkr, ;,& Pmfad rmd

    _DO kdxr rmkr _klomdy bfb lnr sxnufbd k afr ne mf onlrkor nx kood rn mf fSmnld xdonxb!

    _klomdy kdxr! klb rmd xdonxb mnp! rmkr _klomdy bfb lnr mkud mf fSmnld pfrm mfj kr rmd

    bdsnfrfnl, -Fb, D}, O*; kr ;;8;?,& Rmd skxrfd bn lnr snflr rn klv nrmdx bfotfnl khntr rmd

    smnld nx fr onlrkor afr,

    Nl Jkv ;0! 83;;! _klomdy sxnbtodb bnotjdlr rn rmd _DO exnj k onjstrdx mkxb bxfud

    rmkr pk klkavydb hv ERF Onltarfl` -ERF& hkdb nl kl k`xddb*tsnl sxnrnona, -Fb, 8,& Rmd

    klkavf xdudkadb rmkr rmd Pflbnp nsdxkrfl` vrdj flrkaadb nl rmd mkxb bxfud onlbtordb bfg

    bdexk`jdlrkrfnl kr sdxfnbfo flrdxuka k k omdbtadb hkog`xntlb rkg, -Fb, D}, O*;8 kr 8,& Fr

    kan xdudkadb rmkr _klomdy mkb k sxn`xkj okaadb OOadkldx nl mf onjstrdx! k exdd nsrfjfykrfnl

    ? Nl Bdodjhdx ;5! 83;3! _klomdy flenxjdb rmd _DO rmkr md pk ddgfl` kardxlkrfudxdsxddlrkrfnl, -Sa, 45,; _rkr, D}, O*6,& Nl Ikltkxv ?;! rmd _DO pk rfaa pkfrfl` rn hdonlrkordb hv mf ldp ontlda, -Fb, D}, O*;3,&

    ;8

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d ;8 ne ?3 Sk`dFB /9;=?8

  • 8/3/2019 Judge's Ruling in S.E.C.'s Insider Trading Case

    13/30

    klb oadklfl` nerpkxd rmkr f kbudxrfdb k jkgfl` k onjstrdx ekrdx klb jnxd dotxd, Rmd

    sxn`xkj mkb akr xtl fl Ikltkxv 83;;, Pmdl flrkaadb fl Ksxfa 83;3! rmd sxn`xkj pk

    onlef`txdb rn bdadrd rdjsnxkxv efad! rdjsnxkxv flrdxldr efad! klb rmd xdovoad hfl! klb pfsd exdd

    skod, Koonxbfl` rn ERF! rmd sxn`xkj mkb xdodlrav bdadrdb nx pfsdb kssxn}fjkrdav 833 efad

    onlfrfl` ne rdjsnxkxv efad! efad fl rmd xdovoad hfl! klb rdjsnxkxv flrdxldr efad, -Fb,&

    FH xdonxb klb jkflrkfl flenxjkrfnlfloatbfl` rmd FH koontlr ltjhdx! rmd tdx lkjd!

    rmd Flrdxldr Sxnufbdx -FS& kbbxd! rmd Jdbfk Kood Onlrxna -JKO& kbbxd! klb rmd rfjd

    klb bkrdpmdldudx k tdx an` nlrn FH Rxkbdx Pnxgrkrfnl rxkbfl` sakrenxj rn kood rmdfx

    koontlr, -Fb, ?,& Rmd xdonxb mnp rmkr hdrpddl Lnudjhdx ?3! 833= klb Kt`tr 82! 83;3!

    rmfxrddl bfeedxdlr JKO kbbxdd pdxd knofkrdb pfrm _klomdy rxkbfl` koontlr,2 -Fb, ?,&

    Rmd xdonxb kan mnp rmkr rpn bfeedxdlr JKO kbbxdd kooddb rmd koontlr hdrpddl Kt`tr

    ;;! 83;3 klb Kt`tr 82! 83;3, _klomdy kdxr rmkr ERF onltarfl` klkavydb rmd nlav mkxb bxfud

    klb onjstrdx md tdb enx rxkbfl` fl Snrkm klb rmkr rmd nrmdx JKO kbbxd knofkrdb pfrm rmd

    koontlr btxfl` rmf sdxfnb pk lnr an``db fl btxfl` k rfjd pmdl rxkbfl` korfufrv rnng sakod,

    -Bde, Xds, rn Sa, 45,; _rkr, ?,&

    fff, Enxjdx On*Bdedlbklr @kxofk Snrkm Rxkbd

    @kxofk pk rmd mdkb ne rmd Dtxnsdkl D{tfrv Bdxfukrfud bfuffnl kr Hklon _klrklbdx! kl

    kbufnx rn HMS fl onlldorfnl pfrm fr rdlbdx needx ne Snrkm, -Bde, 45,; _rkr, 86,& Rmd _DO

    kaad`db rmkr nl Kt`tr ;8! ;?! klb ;5! 83;3! @kxofk stxomkdb 8=8 okaa nsrfnl! enx

    kssxn}fjkrdav ";?!566, Rmd ukr jkinxfrv ne rmdd okaa pdxd dr rn d}sfxd nl Kt`tr 8;! 83;3,

    2 Ldfrmdx skxrv d}sakfl pmkr k JKO kbbxd f! karmnt`m rmd _DO fjsafd rmkr dudxvdadorxnlfo bdufod mk k bfeedxdlr JKO kbbxd,

    ;?

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d ;? ne ?3 Sk`dFB /9;=??

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    -Fb, 8=,& Kerdx rmd kllntlodjdlr nl Kt`tr ;0! @kxofk nab mf okaa nsrfnl enx k sxnefr ne

    kssxn}fjkrdav "405!333, -Fb, 8=,& @kxofk dudlrtkaav onldlrdb rn k Eflka Itb`jdlr fl rmf

    jkrrdx nl Jkv ?! 83;;, Rmd drradjdlr floatbdb kl flitlorfnl! kl nxbdx rn bf`nx`d "405!3?8,66

    fl sxnefr exnj mf Snrkm rxkbd! klb k ofufa sdlkarv ne "43!333, -Fb, ?3,&

    Hnrm _klomdy klb @kxofk xdfbd fl Jkbxfb! _skfl klb hnrm trfafydb FH rn d}dotrd rmdfx

    Snrkm rxkbd, -Fb, ?;,& Rmdd kxd rmd nlav drkhafmdb onlldorfnl hdrpddl rmd rpn

    onbdedlbklr, Fl 83;3! FH mkb kssxn}fjkrdav ;4=!333 flrfrtrfnlka klb flbfufbtka hxngdxk`d

    otrnjdx, -Bde, 45,; _rkr, ?;,& Klb rmd snstakrfnl ne Jkbxfb f nudx 5 jfaafnl, -Jdj, kr =,&

    _klomdy rdrfefdb rmkr md bnd lnr glnp @kxofk! klb rmd _DO mk lnr bdjnlrxkrdb klv nrmdx

    onlldorfnl hdrpddl _klomdy klb @kxofk, -Bde, 45,; _rkr, ?8,& Fl ekor! rmd _DO kbjfr rmkr fr

    mk ln bfxdor dufbdlod ne klv onlldorfnl hdrpddl _klomdy klb @kxofk, -Sa, Xds, rn Bde,

    45,; _rkr, ??,&

    B, Sxnodbtxka Mfrnxv

    Rmd _DO efadb k onjsakflr klb Djdx`dlov Jnrfnl enx k Rdjsnxkxv Xdrxkflfl` Nxbdx nl

    Kt`tr 83! 83;3, -Bgr, Ln, ;! =! ;3,& Rmd onjsakflr kaad`d rmkr _klomdy dl`k`db fl mf`mav

    sxnefrkhad klb mf`mav tsfofnt rxkbfl` hv rxkbfl` Snrkm Okaa nl jkrdxfka! lnl*sthafo

    flenxjkrfnl khntr HMS sxnsndb ko{tffrfnl ne Snrkm, -Onjsa, ;7 Bde, 45,; _rkr, 8;,&

    _klomdy bdlfd kaa rmd kaad`krfnl, -Klpdx 2?7 Bde, 45,; _rkr, 8;,& Kerdx kl d} skxrd

    mdkxfl`! rmd bfrxfor ontxr nxf`flkaav `xklrdb rmd _DO jnrfnl enx k rdjsnxkxv xdrxkflfl` nxbdx

    rn exddyd kdr nl Kt`tr 83! 83;3, -Bgr, Ln, ;3,& Rmd xdrxkflfl` nxbdx pk akr d}rdlbdb nl

    _dsrdjhdx ;! 83;; klb f otxxdlrav dr rn d}sfxd nl Edhxtkxv ;5! 83;8, -Bgr, Ln, ;3?,& _klomdy

    ;2

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d ;2 ne ?3 Sk`dFB /9;=?2

  • 8/3/2019 Judge's Ruling in S.E.C.'s Insider Trading Case

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    efadb rmd otxxdlr jnrfnl enx tjjkxv itb`jdlr nnl kerdx! nl _dsrdjhdx 88! 83;;, -Bgr, Ln,

    ;34,&

    FFF, _RKLBKXB NE XDUFDP

    _tjjkxv itb`jdlr f sxnsdx nlav pmdl rmdxd f ln `dltfld bfstrd k rn klv jkrdxfka

    ekor klb rmd jnuklr f dlrfradb rn itb`jdlr k k jkrrdx ne akp, Edb, X, Ofu, S, 45-k&, K `dltfld

    ftd enx rxfka d}fr pmdl rmd dufbdlod f tom rmkr k xdknlkhad itxv ontab xdrtxl k udxbfor enx

    rmd lnljnufl` skxrv, Klbdxnl u, Afhdxrv Anhhv! Flo,! 200 T,_, 828! 82=! ;35 _, Or, 8434!

    84;3 -;6=5&, Rmf rklbkxb sakod rmd flfrfka htxbdl nl rmd jnufl` skxrv rn fbdlrfev rmnd

    snxrfnl ne rmd xdonxb rmkr fr hdafdud bdjnlrxkrd rmd khdlod ne k `dltfld ftd ne jkrdxfka

    ekor, Odanrd} Onxs, u, Okrxdrr! 200 T,_, ?;0! ?8?! ;35 _, Or, 842=! 844? -;6=5& -flrdxlka

    {tnrkrfnl njfrrdb&, Nlod rmd jnufl` skxrv jddr rmf htxbdl ne sxnbtorfnl! rmd lnljnufl`

    skxrv jtr `n hdvnlb rmd sadkbfl` klb fbdlrfev snxrfnl ne rmd xdonxb bdjnlrxkrfl` rmkr k

    jkrdxfka ekor f `dltfldav bfstrdb, Fb,7 Edb, X, Ofu, S, 45, Rmf f rxtd dudl pmdxd rmd

    dufbdlod f afgdav rn hd pfrmfl rmd sndfnl ne rmd bdedlbklr! k anl` k rmd sakflrfee mk mkb k

    etaa nssnxrtlfrv rn onlbtor bfonudxv, Klbdxnl! 200 T,_, kr 845! ;35 _, Or, kr 84;4, Fl

    bdofbfl` pmdrmdx tjjkxv itb`jdlr f kssxnsxfkrd! pd jtr koodsr rmd lnljnufl` skxrv

    dufbdlod k rxtd! klb bxkp kaa xdknlkhad fledxdlod fl rmkr skxrv ekunx, _dd fb,! 200 T,_, kr

    844! ;35 _, Or, kr 84;?,

    FU, BF_OT__FNL

    ;4

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d ;4 ne ?3 Sk`dFB /9;=?4

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    Rmd _DO mk kaad`db rmkr _klomdy rxkbdb fl Snrkm dotxfrfd fl ufnakrfnl ne _dorfnl

    ;3-h& klb ;2-d& ne rmd D}omkl`d Kor, _dorfnl ;3-h& ne rmd D}omkl`d Kor jkgd fr tlakpeta rn

    WrZn td nx djsanv! fl onlldorfnl pfrm rmd stxomkd nx kad ne klv dotxfrv , , , klv jklfstakrfud

    nx bdodsrfud bdufod nx onlrxfuklod fl onlrxkudlrfnl ne tom xtad klb xd`takrfnl k rmd

    Onjjffnl jkv sxdoxfhd, ;4 T,_,O, 0=i-h&, Stxtklr rn fr rkrtrnxv ktrmnxfrv! rmd _DO

    mk sxnjta`krdb Xtad ;3h*4! pmfom sxnufbd9

    Fr mkaa hd tlakpeta enx klv sdxnl! bfxdorav nx flbfxdorav! hv rmd td ne klv jdkl nxflrxtjdlrkafrv ne flrdxrkrd onjjdxod! nx ne rmd jkfa nx ne klv ekofafrv ne klv lkrfnlkadotxfrfd d}omkl`d!

    k, Rn djsanv klv bdufod! omdjd! nx kxrfefod rn bdexktb!

    ) ) )o, Rn dl`k`d fl klv kor! sxkorfod! nx ontxd ne htfld pmfom nsdxkrd nx pntabnsdxkrd k k exktb nx bdodfr tsnl klv sdxnl!

    fl onlldorfnl pfrm rmd stxomkd nx kad ne klv dotxfrv,

    ;0, O,E,X,, 823,;3h*4, Tlbdx rmd rxkbfrfnlka nx oakfoka rmdnxv ne flfbdx rxkbfl` afkhfafrv!

    ;3-h& klb Xtad ;3h*4 kxd ufnakrdb pmdl k onxsnxkrd flfbdx rxkbd fl rmd dotxfrfd ne mf

    onxsnxkrfnl nl rmd hkf ne jkrdxfka! lnlsthafo flenxjkrfnl, T,_, u, NMk`kl! 48; T,_, 528!

    54;48! ;;0 _, Or, 8;66! 8830 -;660&, Rmd jfkssxnsxfkrfnl rmdnxv d}rdlb rmd xdkom ne Xtad

    ;3h*4 rn ntrfbdxrmnd pmn pntab lnr nxbflkxfav hd bddjdb efbtofkxfd ne rmd onxsnxkrd

    dlrfrfd fl pmnd rnog rmdv rxkbd, _,D,O, u, Omdxfe! 6?? E,8b 23?! 236 -0rm Ofx, ;66;&, Rmt rn

    drkhafm flfbdx rxkbfl` hv kl ntrfbdx! rmd _DO jtr sxnud! kjnl` nrmdx rmfl`! rmkr kl flfbdx!

    rfssdx! snddb jkrdxfka lnlsthafo flenxjkrfnl! rmkr rmd rfssdx `kud rmf flenxjkrfnl rn rmd

    ntrfbdx! rfssdd! klb rmkr rmd rfssdd rxkbdb hkdb nl rmf flenxjkrfnl, _dd _,D,O, u, Jkfn! 4;

    E,?b 58?! 5?; -0rm Ofx,;664& -WKZ sdxnl ufnakrd Xtad ;3h*4 hv jfkssxnsxfkrfl` klb rxkbfl`

    ;5

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d ;5 ne ?3 Sk`dFB /9;=?5

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    tsnl jkrdxfka flenxjkrfnl dlrxtrdb rn mfj hv ufxrtd ne k efbtofkxv xdakrfnlmfs,&7 Omdxfe! 6??

    E,8b kr 236;3 -lnrfl` rmd jfkssxnsxfkrfnl rmdnxv enotd nl pmdrmdx rmd flfbdx hxdkomdb k

    efbtofkxv btrv rn klv akpeta sndnx ne jkrdxfka lnl*sthafo flenxjkrfnl,&, _fjfakxav! ;2-d&

    ne rmd D}omkl`d Kor sxnmfhfr klv exktbtadlr! bdodsrfud! nx jklfstakrfud kor nx sxkorfod! fl

    onlldorfnl pfrm klv rdlbdx needx, ;4 T,_,O, 0=-l&-d&, Exktbtadlr! bdodsrfud! nx

    jklfstakrfud kor nx sxkorfod! k bdoxfhdb hv Xtad ;2d*?! floatbd rxkbfl` nl jkrdxfka!

    lnlsthafo flenxjkrfnl xdakrdb rn k sxnsndb rdlbdx needx! fe rmd flenxjkrfnl f nhrkfldb exnj

    -;& Rmd needxfl` sdxnl! -8& Rmd ftdx ne rmd dotxfrfd nt`mr nx rn hd nt`mr hv tom rdlbdx

    needx! nx -?& Klv neefodx! bfxdornx! skxrldx nx djsanvdd nx klv nrmdx sdxnl korfl` nl hdmkae ne

    rmd needxfl` sdxnl nx tom ftdx, ;0 OEX 823,;2d*?, K rmd _DO jtr sxnud sndfnl ne

    jkrdxfka lnlsthafo flenxjkrfnl nhrkfldb exnj kl flfbdx tlbdx hnrm xtad! klb rmd tjjkxv

    itb`jdlr jnrfnl fl exnlr ne t f hkdb nl rmd stxsnxrdb akog ne tom sxnne! pd kbbxd rmd rpn

    oakfj rn`drmdx,4

    Rmd _DO xdr fr okd nl rpn onlrdlrfnl9 -;& rmd _DO okl drkhafm flfbdx rxkbfl`

    rmxnt`m stxdav ofxotjrklrfka dufbdlod! klb -8& _klomdy ekfatxd rn sxnbtod kaa ne mf

    dadorxnlfokaav rnxdb flenxjkrfnl mntab sxnmfhfr tjjkxv itb`jdlr, Jnxd sdofefokaav! btd rn

    rmd akog ne dufbdlod onlldorfl` _klomdy rn kl flfbdx! rmd _DO f kgfl` t rn bn rpn ddjfl`av

    tlsxdodbdlrdb rmfl`, Efxr! fr pklr t rn xtad rmkr k itxv ontab eflb _klomdy rxkbdb nl flfbdx

    flenxjkrfnl! dudl rmnt`m rmd _DO mk ln flbfokrfnl rmkr _klomdy gldp kl flfbdx, _donlb! fr

    pklr t rn fjsnd kl kbudxd fledxdlod k`kflr _klomdy hdoktd md rxkmdb k onjstrdx! dudl

    4 Rmd _DO jtr sxnud fr okd hv k sxdsnlbdxklod ne rmd dufbdlod, _dd Xnpd u,Jkxdjnlr Onxs,! =43 E,8b, ;885! ;8?2 -0rm Ofx, ;6==&,

    ;0

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d ;0 ne ?3 Sk`dFB /9;=?0

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    rmnt`m rmd _DO mk ln flbfokrfnl rmkr rmdxd pk xdaduklr flenxjkrfnl nl rmd onjstrdx, Rmd

    sxnhadj enx rmd _DO f rmkr fr okllnr snflr t rn klv okd pmdxd k ontxr kaanpdb dfrmdx ne rmdd

    xd{tdr rn tooddb, K bfotdb fl bdrkfa hdanp! _klomdy bnd lnr! klb ontab lnr! xdetrd rmkr

    flfbdx rxkbfl` okd okl hd hkdb nl ofxotjrklrfka dufbdlod, Flrdkb! _klomdy onluflofl`av

    kx`td rmkr rmd _DO mk lnr sxnbtodb dlnt`m ofxotjrklrfka dufbdlod rn `n rn rxfka, Fl dudxv

    rfssdd flfbdx rxkbfl` okd ofrdb hv rmd _DO! rmd _DO drkhafmdb ekor rmkr mnpdb onlrkor

    hdrpddl kl fbdlrfefdb flfbdx klb rmd kaad`db rfssdd, Pd k`xdd rmkr njd onlldorfnl rn kl

    flfbdx f ddlrfka fl kl flfbdx rxkbfl` okd! klb fl rmf okd rmdxd f ln tom dufbdlod, K tom!

    rn eflb enx rmd _DO! k itxv jtr ktjd rmkr rmd jffl` dadorxnlfo flenxjkrfnl pntab mkud

    drkhafmdb k xdakrfnlmfs pfrm kl flfbdx! klb exnj rmkr rmd itxv pntab mkud rn fledx rmkr _klomdy

    xdodfudb jkrdxfka lnl*sthafo flenxjkrfnl exnj rmf flfbdx nl pmfom md dudlrtkaav rxkbdb,5

    K rmd fledxdlod rmkr okl hd bxkpl exnj rmd jffl` dadorxnlfokaav rnxdb flenxjkrfnl

    pfaa bforkrd pmkr dufbdlod rmd _DO okl xdav nl rn sxnud fr ofxotjrklrfka okd! pd rkxr hv

    kbbxdfl` rmd snafkrfnl ftd, Pd rmdl bfot pmdrmdx! hkdb nl rmd tlbfstrdb

    ofxotjrklrfka dufbdlod! klb bxkpfl` kaa fledxdlod fl ekunx ne rmd _DO! k xdknlkhad itxv ontab

    xdrtxl k udxbfor enx rmd _DO,

    K, _snafkrfnl

    _snafkrfnl nootx pmdl k skxrv bdrxnv dufbdlod xdaduklr rn kl ftd fl rmd okd, _jfrm

    u, Tlfrdb _rkrd! 86? E,?b 6=2! 6== -0rm Ofx, 8338&, Rmd bdrxtorfnl ne dufbdlod sxdtjsrfnl

    mk rpn dadjdlr9 -;& rmd rnrkafrv ne rmd ofxotjrklod jtr mnp rmkr rmd bdrxtorfnl pk fl hkb

    5 Nx! k _klomdy ontlda sxdedx rn str fr9 fe pd mkb njd d``! pd ontab mkud njdmkj klb d``! fe pd mkb njd mkj, -Bde, Xdsav kr 8,&

    ;=

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d ;= ne ?3 Sk`dFB /9;=?=

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    ekfrm! klb -8& fe rmd efxr sxnl` f jdr! rmdl rmd ontxr jkv fledx exnj rmf rkrd ne jflb rmkr rmd

    onlrdlr ne rmd dufbdlod pntab hd tlekunxkhad rn rmd skxrv fe flrxnbtodb fl ontxr, Jflrda

    Flrdxl, @xnts! Arb, u, Lddx`mddl! Ln, 3=*ou*?6?6! 83;3 PA ;240=5 kr )0 -L,B, Faa, Ikl ;8!

    83;3& -ofrfl` _,O, Inmlnl % _nl! Flo, u, Antfufaad % Lkmufaad Xkfaxnkb On,! 564 E,8b 84?!

    84= -0rm Ofx, ;6=?&&, K tom! Wk bdedlbklrZ bdrxtorfnl ne nx flkhfafrv rn sxnbtod k

    bnotjdlr! rklbfl` kanld! bnd lnr pkxxklr kl fledxdlod rmkr rmd bnotjdlr! fe sxnbtodb! pntab

    mkud onlrkfldb flenxjkrfnl kbudxd rn rmd WbdedlbklrZ okd, Skxg u, Ofrv ne Omfok`n! 860 E,?b

    535! 5;4 -0rm Ofx, 8338& -ofrfl` Xtjjdxv u, Faa, Hdaa Rda, On,! 843 E,?b 44?! 44= -0rm Ofx, 833;&&,

    Rmd _dudlrm Ofxotfr mk d{tkrdb hkb ekfrm rn rmd bdrxtorfnl ne bnotjdlr enx rmd stxsnd ne

    mfbfl` kbudxd flenxjkrfnl, Jkrmf u, Inml Jnxbdl Htfog! Flo,! ;?5 E,?b ;;4?! ;;44 -0rm Ofx,

    ;66=&7dd kan Ekk u, _dkx! Xndhtog % On,! 4?8 E,?b 5??! 522 -0rm Ofx, 833=&, Rmt! rmd

    oxtofka dadjdlr f lnr rmkr dufbdlod pk bdrxnvdb htr xkrmdx rmd xdknl enx rmd bdrxtorfnl,

    Skxg! 860 E,?b kr 5;4 -ofrfl` _,O, Inmlnl % _nl!Flo,! 564 E,8b kr 84=&,

    Rmd _DO kdxr rmkr hkb ekfrm f drkhafmdb pmdl k skxrv bdrxnv dufbdlod kerdx rmd

    nssnfl` skxrv fl afrf`krfnl mk xd{tdrdb tom dufbdlod, -Xds, kr 83 -ofrfl` JkoLdfa

    Ktrnjnrfud Sxnbtor Arb, u, Okllnl Ktrnjnrfud Arb,! Ln, 36*ou*;?6! 83;3 PA 4632;82! kr )5

    -L,B, Faa, Lnu, 8! 83;3&7Gxtjpfdbd u, Hxf`mrnl Kno,! AAO! Ln, 34*ou*?33?! 8335 PA

    ;?3=586! kr )= -L,B, Faa, Jkv =! 8335&,& Mnpdudx! rmd _DO ofrkrfnl f lnr pmnaav kootxkrd, Fl

    JkoLdfa! rmd ontxr kbnsrdb k sxdufnt ontxr eflbfl` rmkr fr pk hkb ekfrm rn kaanp sdofefo

    xdaduklr bnotjdlr rn hd bdrxnvdb, JkoLdfa83;3 PA 4632;82! kr )5 -eflbfl` hkb ekfrm pmdl

    rmd djsanvdx rnab djsanvdd lnr rn bdrxnv djkfa xd`kxbfl` rmd sakflrfee! htr bfb lnr jdlrfnl

    xdrkflfl` djkfa xd`kxbfl` rmd djsanvdd kootdb ne rmd d}tka mkxkjdlr&, Gxtjpfdbd

    ;6

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d ;6 ne ?3 Sk`dFB /9;=?6

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    fjfakxav rkrd9 Nlod k skxrv f nl lnrfod rmkr efad nx bnotjdlr fl rmdfx sndfnl kxd

    xdaduklr rn sdlbfl` afrf`krfnl! rmd ekfatxd rn sxdudlr rmd bdrxtorfnl ne xdaduklr bnotjdlr oxnd

    rmd afld hdrpddl ld`af`dlod klb hkb ekfrm, Gxtjpfdbd! 8335 PA ;?3=586! kr )= -eflbfl` hkb

    ekfrm kerdx bdedlbklr onlrfltdb rn bdadrd , , , efad kerdx hdfl` str nl lnrfod rmkr rmd onlrdlr ne

    rmd aksrns onjstrdx pdxd rmd thidor ne afrf`krfnl klb lnrfl` rmkr rmdxd pk oadkx dufbdlod rmkr

    bdedlbklr bdadrdb xdaduklr bnotjdlr&, Fl hnrm okd! rmd bdrxnvdb dufbdlod pk lnr itr

    xd{tdrdb! fr pk oadkxav xdaduklr rn rmd afrf`krfnl,

    Mdxd! mnpdudx! rmd _DO mk lnr sxnbtodb klv dufbdlod tom rmkr pd okl fledx rmkr

    _klomdy bfokxbdb aksrns onlrkfldb xdaduklr flenxjkrfnl, Rmd _DO flrdkb xdafd nl _klomdy

    rdrfjnlv rmkr fr ontab hd rmkr md tdb mf aksrns fl 83;3 klb rmkr _klomdy bfblr xdjdjhdx

    pmdrmdx md dlr djkfa exnj rmkr aksrns, -_tx*Xdsav kr ?,& Ldfrmdx ne rmdd xdjkxg `fud xfd rn

    dudl k xdknlkhad tsfofnl rmkr xdaduklr dufbdlod pk nl rmd aksrns, Etxrmdx! FH xdonxb

    mnpfl` rmkr jtarfsad onjstrdx an``db flrn _klomdy FH koontlr f hdfbd rmd snflr, K rmd

    _DO kbjfr! rmd ekor klb rfjfl` ne _klomdy rxkbfl` fl Snrkm f tlbfstrdb, Pmkr f mnrav

    bfstrdb f pmkr _klomdy bfb hdenxd md rkxrdb rxkbfl`! fl skxrfotakx mnp md `nr mf flenxjkrfnl

    khntr Snrkm, -Fb, kr ?,& Pfrmntr dufbdlod ne xdaduklr flenxjkrfnl! pd mkud ln xdknl rn

    hdafdud rmkr rmd bdrxtorfnl pk enx rmd stxsnd ne mfbfl` kbudxd flenxjkrfnl,

    Etxrmdx! tlbdx rmd ofxotjrklod ne rmf okd! xd{tfxfl` dufbdlod rmkr rmd aksrns afgdav

    onlrkfldb xdaduklr flenxjkrfnl bnd lnr oxdkrd flodlrfud enx bdedlbklr rn bdrxnv dufbdlod,

    Rmd _DO xdafklod nlL, Jkxxnoon u, @dldxka Jnrnx Onxsnxkrfnl! 655 E,8b 883! 88? -0rm Ofx,

    ;668&! f jfsakodb, Rmd _DO sdofefokaav {tnrd rmd _dudlrm Ofxotfr keefxjkrfnl ne rmd

    bfjfka9 Pd eflb fr fxnlfo rmkr rmd sakflrfee kan onlrdlb rmkr @J mk lnr kbd{tkrdav

    83

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 83 ne ?3 Sk`dFB /9;=23

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    d}sakfldb pmkr kl flrkor hdkxfl` kdjhav pntab mkud mnpl! enx fr pk rmd sakflrfee npl

    jfonlbtor pmfom sxdudlrdb @J exnj ko{tfxfl` rmkr udxv flenxjkrfnl, L, Jkxxnoon! 655

    E,8b kr 88?, Rmd _dudlrm Ofxotfr d}sakfldb rmkr pmkr rmd dufbdlod pntab mkud mnpl pk

    fxxdaduklr! hdoktd @J pk bdlfdb rmd nssnxrtlfrv rn eflb ntr, Fb, Hkdb nl rmf! rmd _DO

    pntab afgd t rn fledx rmkr rmd aksrns onlrkfldb xdaduklr dufbdlod hv eflbfl` rmkr _klomdy

    dl`k`db fl snafkrfnl sxdofdav hdoktd rmd dufbdlod pk xdaduklr, -_tx*Xdsav kr 8,& Vdr!

    rmdxd kxd rpn oxfrfoka bfeedxdlod hdrpddlL, Jkxxnoon klb rmf okd, FlL, Jkxxnoon! sakflrfee

    hxnt`mr k sxnbtor afkhfafrv korfnl kaad`fl` rmkr rmd xdkx k}ad ne rmdfx @J okx pk bdedorfud,

    Kerdx sakflrfee d}sdxr! btxfl` kl d} skxrd flsdorfnl ne rmd okx! koofbdlrav bdenxjdb rmd k}ad

    klb jkbd klv etxrmdx fludrf`krfnl hv @J ufxrtkaav fjsnfhad! rmd ontxr bfjfdb rmd dlrfxd

    korfnlrmdxd pk ln {tdrfnl rmkr sakflrfee mkb xtfldb ddlrfka dufbdlod, Rmd rxkmdb aksrns!

    nl rmd nrmdx mklb! f kr hdr rkl`dlrfkaav xdaduklr rn rmd _DO okd! klb rmdxd f ln dufbdlod rmkr

    rmd onjstrdx onlrkfldb xdaduklr dufbdlod, Etxrmdx! rmd sakflrfee flL, Jkxxnoon bdenxjdb

    smvfoka dufbdlod fl k sxnbtor afkhfafrv okd, Tlafgd bdenxjfl` kl k}ad rmkr dfrmdx pk nx pk

    lnr bdedorfudrmd sxfjkxv dufbdlod snflrfl` dfrmdx pkv hdfl` rmd k}ad frdaebdrxnvfl` k

    aksrns okl mkxbav hd ddl k bdsxfufl` rmd nssnfl` skxrv ne kl nssnxrtlfrv rn eflb k ntxod ne

    jkrdxfka! lnl*sthafo flenxjkrfnl, Fr ddj d}rxdjdav tlafgdav rmkr rmd nlav dufbdlod ne k

    xdakrfnlmfs hdrpddl _klomdy klb kl flfbdx pk onlrkfldb nl rmd rxkmdb aksrns, Rmd _DO bnd

    lnr oakfj fr pk bdlfdb kood rn smnld nx djkfa xdonxb, Rmd _DO sxdtjkhav enaanpdb nrmdx

    kudltd rn sxnud k xdakrfnlmfs! klb fr bndlr d}sakfl pmkr rvsd ne flenxjkrfnl jf`mr hd entlb

    8;

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 8; ne ?3 Sk`dFB /9;=2;

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    nl rmd aksrns -klb nlav nl rmd aksrns& rmkr ontab sxnud k xdakrfnlmfs hdrpddl _klomdy klb kl

    flfbdx,0

    K rmd _dudlrm Ofxotfr nsfldb flXtjjdxv! k skxrv ddgfl` rn xdav nl bdrxnvdb dufbdlod

    jtr sxnufbd jnxd rmkl jdxd sdotakrfnl rmkr rmd bnotjdlr onlrkfldb kbudxd flenxjkrfnl,

    843 E,?b kr 44=, Fl rmf okd! pd k`xdd rmkr _klomdy mntab lnr mkud rmxnpl ntr rmd aksrns kerdx

    rmd _DO mkb xd{tdrdb kood rn kaa mf mkxb bxfud, Mnpdudx! fl af`mr ne rmd akog ne dufbdlod

    rmkr klv xdaduklr flenxjkrfnl pk nl rmd aksrns! pd okllnr eflb rmkr _klomdy kordb fl hkb ekfrm!

    klb k tom! fr pntab lnr hd kssxnsxfkrd rn fjsnd kl kbudxd fledxdlod, _dd Jflrda Flrdxl,!

    83;3 PA ;240=5 kr )= -Ln fledxdlod f kssxnsxfkrd hdoktd rmd dufbdlod bfb lnr drkhafm rmkr

    fr pk jnxd afgdav rmkl lnr rmkr klv ne Lddx`mddl korfnl pdxd rkgdl fl hkb ekfrm,&,

    Etxrmdxjnxd! rmd fledxdlod rmkr rmd _DO kg t rn bxkprmkr rmd onjstrdx efad pntab mkud

    sxnudl k aflg hdrpddl _klomdy klb k Snrkm flfbdxpntab xd{tfxd kbbfrfnlka sdotakrfnl!

    `nfl` hdvnlb rmkr xd{tfxdb rn fjsnd k fjsad fledxdlod rmkr bdrxnvdb dufbdlod pntab mkud

    hddl tlekunxkhad, Onlfbdxfl` rmd ofxotjrklod txxntlbfl` rmd aksrns! rmf f fjsav rn `xdkr

    k sdotakrfud adks! klb pd bdoafld rn bxkp tom kl fledxdlod,

    Pd etxrmdx bdoafld rn bxkp kl kbudxd fledxdlod exnj rmd bdadrfnl ne onjstrdx efad nl

    rmd bdgrns, Rmf klkavf! mnpdudx! f jtom fjsadx, Mdxd! rmd _DO k`kfl ekfadb rn mnp fr pk

    0 Rmd nrmdx okd xdafdb nl hv rmd _DO mk fjfakx eakp, Fl Nadgv u, @dldxka Dado, On,!rmd skxrv oakfjfl` snafkrfnl pk lnr xd{tdrfl` kl kbudxd fledxdlod htr jdxdav thjfrrdb kjnrfnl rn onjsda, Ln, 35*ou*;824! 83;; PA ?20;3;5 kr ); -L,B, Faa, Kt`, =! 83;;&, Rmdjnrfnl kxnd hdoktd rmd skxrv onlrdrfl` rmd jnrfnl mkb flrfrtrdb k afrf`krfnl mnab nl njdbnotjdlr! htr mkb ld`adordb rn flenxj fr nee*frd rnxk`d ekofafrv ne rmd mnab, Rmd lnl*jnufl`

    skxrv kbjfrrdb rmkr bdrxnvdb bnotjdlr pdxd bfonudxkhad! dudl d}sakflfl` rmd onlrdlr nesdofefo bnotjdlr! klb rmd ontxr bfb lnr `fud pdf`mr rn rmdfx kx`tjdlr rmkr rmd bnotjdlr pdxdfxxdaduklr rn rmd afrf`krfnl, Fb, kr )4,

    88

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 88 ne ?3 Sk`dFB /9;=28

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    afgdav rmkr klv xdaduklr bnotjdlr pdxd bdadrdb, Dudl bxkpfl` fledxdlod fl ekunx ne rmd _DO! fr

    mk lnr mnpl rmkr rmd bdadrfnl pk flrdlrfnlka, Etxrmdx! rmd _DO npl hxfde snflr ntr rmkr rmd

    bnotjdlr rmkr pdxd bdadrdb pdxd jnxd afgdav rn hd hdldefofka rn _klomdy, -_dd _tx*Xdsav kr 4

    -WFZr f ked rn fledx rmkr fe _klomdy dudx sdxenxjdb klv flrdxldr*hkdb xddkxom ne Snrkm!

    OOadkldx pfsdb klv xdtarfl` bf`frka dufbdlod exnj rmd bdgrns,&,& _dd _okadxk u, Dadorxn`xksm

    _vrdj! Flo,! 858 E,X,B, ;58! ;06 -D,B,L,V, 8336& -bdlvfl` kbudxd fledxdlod hdoktd pmfad

    Bdedlbklr mkud tl{tdrfnlkhav hxdkomdb k btrv rn sxddxud djkfa fl rmf okd! Sakflrfee mk

    tarfjkrdav ekfadb rn bdjnlrxkrd rmkr klv bdrxnvdb djkfa pntab mkud hddl ekunxkhad rn mdx

    snfrfnl&, K rmdxd f ln dufbdlod ne hkb ekfrm! kl kbudxd fledxdlod f lnr pkxxklrdb mdxd

    dfrmdx,

    H, Flfbdx Rxkbfl`

    K rmd _DO kdxr! fr f snfhad rn drkhafm flfbdx rxkbfl` rmxnt`m ofxotjrklrfka

    dufbdlod, Rmf f rxtd hdoktd vnt okllnr d}sdor k rfssdx nx rfssdd rn unatlrkxfav onled rn

    skfl` nx xdodfufl` lnl*sthafo flenxjkrfnl! rmt rxfdx ne ekor pfaa njdrfjd mkud rn fledx rmkr

    tom korfnl nootxxdb, _dd _DO, u, Xnykg! 264 E, _tss, 8b =04! ==0 -L,B, Faa 8330& -Bfxdor

    dufbdlod f xkxdav kukfakhad fl flfbdx rxkbfl` okd! flod ttkaav rmd nlav pfrldd rn rmd

    d}omkl`d kxd rmd flfbdx klb rmd kaad`db rfssdd! ldfrmdx ne pmnj kxd afgdav rn kbjfr rn

    afkhfafrv,&, Rmd d}kor kjntlr ne ofxotjrklrfka dufbdlod xd{tfxdb rn kunfb tjjkxv itb`jdlr f

    mkxbdx rn bdefld,

    K k sxdafjflkxv jkrrdx! rmd _DO kg t rn `fud _klomdy bdsnfrfnl rdrfjnlv afrrad nx

    ln pdf`mr, Fr oakfj rmkr _klomdy fbdlrfefdb mf f`lka! onlefxjkrfnl! flrtfrfnl rxftjufxkrd

    d}otd k vdkx kerdx md efxr jdr pfrm rmd _DO, Rmd _DO hdafdud rmkr hdoktd mf rnxv f rnn

    8?

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 8? ne ?3 Sk`dFB /9;=2?

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    onludlfdlr! pd mntab f lnxd fr, -Xds, kr ;=,& Pd! mnpdudx! pfaa lnr sdlkafyd _klomdy enx

    unatlrkxfav jddrfl` pfrm rmd _DO pmdl fr efxr nsdldb rmd fludrf`krfnl, Fr f lnr txsxffl` rmkr

    kerdx rfjd rn rmflg! klb pfrm rmd kbufod ne k akpvdx klb k odxrfefdb! ldtrxka rxklakrnx! _klomdy

    pk jnxd oadkxav khad rn kxrfotakrd mf d}saklkrfnl, Dudl bxkpfl` fledxdlod fl ekunx ne rmd

    _DO! rmdxd f ln xdknl rn f`lnxd mf rdrfjnlv,

    F, Ofxotjrklrfka Dufbdlod Sxddlrdb hv rmd _DO

    Rmd _DO ofxotjrklrfka dufbdlod onlfr ne9 -;& rmd tsfofnt Snrkm rxkbd! -8& rmd

    ekor rmkr rmd rxkbd jkxgdb k bxkjkrfo bdskxrtxd exnj _klomdy rxkbfl` mfrnxfokaav!

    -?& _klomdy fjsaktfhad xdknl enx tom rxkbd! klb -2& _klomdy hkb ekfrm snafkrfnl ne

    mf dadorxnlfokaav rnxdb flenxjkrfnl, -Xds, kr ;?,& K rmd ekor mkud hddl akfb ntr fl bdrkfa

    klb rmd snafkrfnl kx`tjdlr pk kbbxddb khnud! pd hxfdeav bfot mdxd rmd _DO ufdp nl rmd

    efxr rmxdd sfdod ne dufbdlod,

    Rmd _DO efxr klb donlb snflr okl hd tjjdb ts hv rmdfx kdxrfnl9 _klomdy

    rtllfl` sxnefr exnj mf Snrkm rxkbd f WfoZ flrxflfokaav tsfofnt, -Fb, kr ;?,& _sdofefokaav!

    rmd _DO snflr rn rmd enaanpfl` tsfofnt ekor9 _klomdy mkb ldudx hdenxd fludrdb fl

    edxrfafydx onjsklfd7 rmdxd f ln dufbdlod rmkr md xdodlrav mkb fludrdb fl klv nsrfnl7 rmd

    stxomkd pk xdakrfudav akx`d klb udxv xfgv7 md mkb lnr sxdufntav rxkbdb fl nsrfnl tfl` mf FH

    koontlr! klb md mkb rn `dr ktrmnxfykrfnl rn bn n7 md lddbdb rn rxkledx etlb rn stxomkd rmd ??;

    nsrfnl7 klb eflkaav! rmd rxkbd xdtardb fl sxnefr ne ldkxav "433!333! nx k ;!333$ xdrtxl nl mf

    fludrjdlr, Rn tssnxr fr kx`tjdlr rmkr rmdd korfnl kxd tsfofnt! rmd _DO xdafd nl rmd

    82

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 82 ne ?3 Sk`dFB /9;=22

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    rdrfjnlv ne k Omkxrdxdb Eflklofka Klkavr7 mnpdudx! xdedxdlod rn rmf d}sdxr rdrfjnlv f lnr

    floatbdb fl rmd _DO kjdlbdb 45,; _rkrdjdlr klb rmd _DO flonxxdorav rkrd rmd d}sdxr

    eflbfl` fl fr hxfde, Lnldrmdad! rmd d}sdxr rdrfefdb rmkr _klomdy rxkbd pdxd onlfrdlr pfrm

    rmd rxkbfl` ne kl flfbdx pmn nt`mr rn jk}fjfyd sxnefr hkdb tsnl lnl*sthafo glnpadb`d ne

    rmd rkgdnudx rkx`dr! rmd kllntlodjdlr jnlrm! klb rmd rkgdnudx hfb, -Sa, 45,; _rkr, D}, D,&

    Rmd _DO rmfxb kxdk ne ofxotjrklrfka dufbdlod f _klomdy kaad`dbav floxdbfhad

    d}saklkrfnl, Rmd _DO jkgd k edp sdotakrfud snflr, Efxr! rmkr rmdxd f ln nhufnt

    onlldorfnl hdrpddl _klomdy klb Snrkm, -Xds, kr ;4,& Pd bn lnr eflb rmf xdaduklr hdoktd

    jnr rxkbdx bn lnr mkud k onlldorfnl rn rmd onjsklfd fl pmfom rmdv fludr, _donlb! rmd _DO

    eflb fr mkxb rn hdafdud rmkr klvnld pntab fludr akx`d tj ne jnldv pfrmntr sxflrfl` xddkxom,

    -Fb, kr ;5,& Rmf f d}rxdjdav sdotakrfud klb bnd lnr `fud xfd rn k ekor rmkr pntab sxdoatbd

    tjjkxv itb`jdlr,

    Rmd _DO bnd! mnpdudx! xkfd f`lfefoklr {tdrfnl khntr rmd afgdafld ne _klomdy

    d}saklkrfnl, Fr bfstrd _klomdy xdafklod nl rmd kxrfoad md hxnt`mr rn mf Kt`tr 83;3

    flrdxufdp, K rmd kxrfoad pdxd sthafmdb kerdx _klomdy rxkbfl` rkxrdb! pd k`xdd rmkr rmdv

    ontab lnr mkud flenxjdb mf bdoffnl, Etxrmdx! rmd _DO kdxr rmkr sthafoav kukfakhad

    flenxjkrfnl ontab lnr mkud adkb _klomdy rn k bdoffnl rn stxomkd rmd _dsrdjhdx ;84 Snrkm

    Okaa nsrfnl, _sdofefokaav! fr kx`td! rmkr rmd klkavr xdsnxr sxdbfordb k rdkbv `kfl nudx ;8

    jnlrm! lnr k bxkjkrfo sfgd fl nlav efud pddg! klb rmkr! ktjfl` kl deefofdlr jkxgdr!= rmd

    = Pd k`xdd pfrm _klomdy rmkr rmf f lnr rmd kssxnsxfkrd enxtj rn bdhkrd rmd kootxkov nermd deefofdlr jkxgdr mvsnrmdf7 rmd `dldxka fbdk hdmflb fr hdfl` rmkr rmd rnog jkxgdr

    flonxsnxkrd klb xdeador kaa xdaduklr flenxjkrfnl, Fl rmdnxv! fe rmd jkxgdr pdxd sdxedoravdeefofdlr! kl fludrnx pntab lnr hd khad rn stxomkd tlbdxukatdb rnog nx daa rnog kr klfleakrdb sxfod, Kokbdjfo klb sxnedfnlka onlrdlrfntav bdhkrd rmd d}rdlr rn pmfom rmd jkxgdr

    84

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 84 ne ?3 Sk`dFB /9;=24

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    xdsnxr exnj Jkv klb Itav pntab mkud kaxdkbv hddl etaav xdeadordb fl rmd Snrkm rnog sxfod,

    -Fb, kr ;0,& Fr kan sxnufbd rmxdd xdknl rmkr _klomdy stxsnxrdb xdafklod nl jkoxn

    onlfbdxkrfnl -f,d, rmd edxrfafydx flbtrxv! rmd dldx`v dornx! k`xfhtfld! xffl` pmdkr sxfod!

    `anhka snstakrfnl `xnprm& f lnr oxdbfhad, Efxr! k`kfl ktjfl` kl deefofdlr jkxgdr! rmnd

    onlfbdxkrfnl pdxd kaxdkbv xdeadordb fl Snrkm rnog! klb rn rmd d}rdlr rmkr rmdv pdxd lnr!

    _klomdy okllnr d}sakfl pmv klv tlbdxukatkrfnl pntab hd onxxdordb fl efud pddg, _donlb! hf`

    sfortxd onlfbdxkrfnl mntab adkb rn stxomkfl` k jnxd bfudxfefdb snxrenafn! lnr nld sdofefo

    rnog! klb skxrfotakxav lnr k nnl*d}sfxfl` okaa nsrfnl nl nld rnog, Rmfxb! rmd Snrkm rxkbd f

    flonlfrdlr pfrm _klomdy bdsforfnl ne mfjdae k k okxdeta! jdrmnbfoka fludrnx, -Fb, kr ;=,&

    Eflkaav! rmd _DO kdxr rmkr! fl onlrxkbforfnl rn _klomdy rdrfjnlv! rmd jkxgdr nl Kt`tr ;3

    pk lnr k sdkodeta jkxgdr, -Fb, kr ;67 Sa, 45,; _rkr, D}, O*; kr 62647 Sa, 45,; _rkr, D}, B*;?

    -rmd _%S flbd} bdoafldb k enaanp9 Kt`, ;39 3,58$! Kt`, ;;9 8,=4$! Kt` ;89 3,25$! Kt` ;?9

    3,25$&,&

    ff, _teefofdlov ne Ofxotjrklrfka Dufbdlod

    K hxfde xdufdp ne rmd ekor fl rmd okd ofrdb hv rmd _DO mnp rmkr rmd ofxotjrklrfka

    dufbdlod thjfrrdb fl rmf okd f lnr teefofdlr, Rmd _DO ofrd rmxdd okd enx rmd sxdsnfrfnl

    rmkr ontxr tlfenxjav mnab rmkr rmd _DO okl drkhafm flfbdx rxkbfl` rmxnt`m stxdav

    ofxotjrklrfka dufbdlod9 _DO u, _rdeed! *** E,_tss, 8b ***! Ln, ;3*ou*5855! 83;; PA ?2;=?34

    -L,B, Faa, Kt`, ?! 83;;&!Xnkg! 264 E, _tss, 8b =04! klb _DO u, Ukl Pk`ldx! Ln, 60*o*5=85!

    ;666 PA 56;=?5 -L,B, Faa, Kt`, 84! ;666&, -Xds, kr ;;;8,& Pd hxfdeav tjjkxfyd dkom okd

    etaav xdeador sthafo flenxjkrfnl! klb flbddb! pmnad flbtrxfd kxd htfar kxntlb sdxodfudbfldeefofdlofd fl rmd jkxgdr,

    85

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 85 ne ?3 Sk`dFB /9;=25

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    hdanp klb eflb rmkr rmd _DO mk lnr hxnt`mr enxrm dufbdlod d{tka fl pdf`mr rn rmd dufbdlod

    kaad`db fl klv ne rmdd okd,

    Fl _rdeed! rmd _DO txufudb k jnrfnl rn bfjf hv kaad`fl` rmkr njd bdedlbklr pdxd

    djsanvdd ne rmd onjsklv pmnd rnog pdxd rxkbdb klb nrmdx pdxd fl onlrkor pfrm rmdd

    djsanvdd udxv nnl hdenxd stxomkfl` rmd onjsklv dotxfrfd, Rmd _DO kan kaad`db rmkr rmd

    rxkbd pdxd tlttka enx kaa ne rmd bdedlbklr! njdrfjd xdsxddlrfl` jnxd rmkl rmdfx klltka

    flonjd klb ldkxav kaa ne rmdfx af{tfb ldr pnxrm, Hkdb nl rmdd klb nrmdx kaad`krfnl! rmd ontxr

    d}sakfldb9 Mdxd! rmd _DO fbdlrfefd pmkr jkrdxfka lnl*sthafo flenxjkrfnl WbdedlbklrZ f kaad`db

    rn mkud snddb , , ,! pmdl md snddb rmf flenxjkrfnl , , ,! klb mnp md nhrkfldb teefofdlr

    tlbdxavfl` ekor rn xdkom rmkr onloatfnl, _rdeed! 83;; PA ?2;=?34 kr )0, Fl rmd otxxdlr okd!

    kr k akrdx rk`d fl afrf`krfnl! rmd _DO mk lnr hddl khad rn hxfl` enxrm fjfakx dufbdlod,

    FlXnykg! rmd ontxr d}sakfldb rmd ofxotjrklrfka klb tlbfstrdb dufbdlod f rmkr

    Bdedlbklr Xnykg mkb kood rn flfbdx flenxjkrfnl exnj Efafsnpgf khntr rmd sxnsndb jdx`dx,

    , , , _mnxrav kerdx mf onlrkor pfrm Efafsnpgf! md jkbd k akx`d stxomkd ne Hatd Xmfln rnog,

    Xnykg! 264 E, _tss, 8b kr ==0, Kbbfrfnlkaav! rmd bdedlbklr flXnykgonlrkordb entx sdnsad

    kerdx sdkgfl` pfrm rmd flfbdx! kaa entx ne pmnj rmdl {tfogav jkbd thrklrfka stxomkd fl rmd

    kjd rnog, Fb, Fl Ukl Pk`ldx! rmd bdedlbklr pk kootdb ne flfbdx rxkbfl` fl rmd rnog ne

    onjsklv enx pmfom md kr k omkfxjkl ne rmd hnkxb ne bfxdornx, ;666 PA 56;=?5 kr );, Pmfad

    rmd bdedlbklr kx`tdb rmkr md pk lnr sxddlr nl rmd donlb bkv ne k rpn*bkv jddrfl`rmd bkv

    nl pmfom jkrdxfka! lnl*sthafo flenxjkrfnl pk bfotdbrmd ontxr bdlfdb tjjkxv itb`jdlr!

    mnabfl` rmkr k itxv ontab fledx! k omkfxjkl! md pk flenxjdb ne bdrkfa bfotdb nl rmd donlb

    bkv, Fb, kr )8, Rmd dufbdlod sxnbtodb fl hnrm ne rmdd okd kaanpdb k itxv rn xdknlkhav fledx

    80

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 80 ne ?3 Sk`dFB /9;=20

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    rmkr rmd bdedlbklr xdodfudb flfbd flenxjkrfnl exnj kl fbdlrfefdb ntxod, Pfrmntr xdavfl` nl

    fjsdxjffhad sdotakrfnl! rmd dufbdlod fl rmf okd bnd lnr kaanp k itxv rn jkgd rmd kjd

    fledxdlod,6

    Fl ekor! pd eflb rmkr rmd _DO mk hxnt`mr enxrm ad ofxotjrklrfka dufbdlod fl rmf okd

    rmkl fr bfb fl k okd enx pmfom rmd Lnxrmdxl Bfrxfor ne Faaflnf `xklrdb tjjkxv itb`jdlr enx

    bdedlbklr fl 83;3, Fl _DO u, Mnxl! Ln, ;3*ou*644! 83;3 PA 4?036== -L,B, Faa, Bdo, ;5! 83;3&!

    rmd _DO kaad`db rmkr Bx, Mnxl! k bnornx pmn sdxenxjdb akdx*uffnl*onxxdorfnl dxufod kr AOKU

    ekofafrfd! rxkbdb fl AOKU rnog klb nsrfnl nl rmd hkf ne lnlsthafo flenxjkrfnl, Fb, kr );,

    Rmd _DO sdofefokaav kaad`db rmkr Bx, Mnxl xdufdpdb rmd onjsklv DHA xdsnxr fl nxbdx rn

    `krmdx rmd lnlsthafo flenxjkrfnl -f,d, rmd onjsklv sdxodlrk`d hdmflb nx kmdkb ne {tkxrdxav

    rkx`dr enx tx`dxfd klb xdudltd&7 mnpdudx fr ontab lnr bdrdxjfld pmfom sdofefo xdsnxr

    onlrkfldb rmd lnlsthafo flenxjkrfnl rmkr kaad`dbav dxudb k rmd hkf enx mf rxkbd! pmfom

    onjstrdx md tdb rn kood rmnd xdsnxr! nx nl pmfom bkrd md nhrkfldb nx snddb rmd

    lnlsthafo flenxjkrfnl, Fb, Fl nrmdx pnxb! Rmdxd WpkZ ln bfxdor dufbdlod rmkr sxnudWbZ Bx,

    Mnxl kooddb k onjstrdx nl k skxrfotakx bkv nx ufdpdb kl DHA xdsnxr nl k bkrd odxrkfl, Fb,

    Rmd _DO bfb! mnpdudx! mkud dufbdlod rmkr Bx, Mnxl tdb AOKU onjstrdx klb rmd DHA xdsnxr

    pdxd snrdb fl rpn ne rmd neefod pmdxd md pnxgdb, Fb, kr )8, Rmd _DO kan kx`tdb rmkr Bx,

    Mnxl flonlfrdlr bdsnfrfnl rdrfjnlv sxnufbdb rmd ldodkxv ofxotjrklrfka dufbdlod rn

    6 Rmd nrmdx okd xdafdb nl hv rmd _DO kxd fjfakxav tlsdxtkfud, _dd _DO u, Mnaafdx!Ln, 36*ou*368=! 83;; PA 83;24; -P,B, Ak, Ikl, ;=! 83;;& -Onlrxkxv rn bdedlbklronlrdlrfnl! rmd _DO mk needxdb bfxdor dufbdlod onlldorfl` Btstf rn MnaafdxW! kl flfbdx!Z k

    pdaa k teefofdlr ofxotjrklrfka dufbdlod rn kaanp rmf okd rn sxnoddb rn rxfka,&7 _DO u,Hatdrnld! Ln, 63*ou*08484! ;66; PA =?653 -D,B, Jfom, Ikl, 82! ;66;& -eflbfl` rmkr tjjkxvitb`jdlr okllnr hd hkdb nl flfbdx kdxrfnl rmkr rmdv bfb lnr glnp bdedlbklr&,

    8=

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 8= ne ?3 Sk`dFB /9;=2=

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    tssnxr fr oakfj! htr rmd ontxr entlb! WdZudl pmdl kaa fledxdlod kxd onlrxtdb fl rmd _DO

    ekunx! klv onleafor fl Bx, Mnxl rdrfjnlv xd`kxbfl` mf skrrdxl bn lnr onlrfrtrd teefofdlr

    ofxotjrklrfka dufbdlod rmkr md pk kortkaav `drrfl` flenxjkrfnl exnj lnlsthafo ntxod,Fb, kr

    )0, Rmd ontxr d}sakfldb rmkr rmd _DO rmdnxv xdrdb nl rmd tood ne Bx, Mnxl rxkbd -md

    kaad`dbav sxnefrdb hv kssxn}fjkrdav "=03!333& onjhfldb pfrm mf khfafrv rn kood rmd xdsnxr,

    Fb, kr );8, D}sakflfl`! fr f lnr dlnt`m enx rmd _DO fjsav rn fbdlrfev tsfofnt rxkbfl` klb

    kg k itxv rn fledx rmkr fr pk rmd sxnbtor ne flfbdx rxkbfl`! rmd ontxr `xklrdb tjjkxv

    itb`jdlr rkrfl`! ln itxv ontab eflb rmkr Bx, Mnxl dudx snddb jkrdxfka! lnlsthafo AOKU

    flenxjkrfnl pfrmntr dl`k`fl` fl sdotakrfnl, Fb, kr )4=,

    Mdxd! rmd _DO jkgd k edp krrdjsr rn bfrfl`tfm rmf okd exnjMnxl, Efxr! fr rkrd

    rmkr _klomdy stxsnxrdbav rxkbdb nl flenxjkrfnl khntr nld sdofefo dudlrrmd tlnafofrdb rdlbdx

    needxpmfad Bx, Mnxl kaad`dbav rxkbdb nl tlfbdlrfefdb flenxjkrfnl klb xdsnxr, -Xds, kr

    ;;;8,& Rmf bfrflorfnl f pfrmntr jdxfr hdoktd itr k rmd _DO flMnxl ontab lnr fbdlrfev

    pmfom xdsnxr Bx, Mnxl tdb rn flenxj mf rxkbd! rmd _DO mdxd okllnr fbdlrfev klv kortka

    flenxjkrfnl nl pmfom _klomdy xdafdb, Jnxdnudx! rmd ftd ne jkrdxfkafrv f lnr kr ftd fl dfrmdx

    okd, _donlb! rmd _DO kx`td rmkr Bx, Mnxl rnxv pk jnxd oxdbfhad hdoktd md npldb AOKU

    nsrfnl k skxr ne mf onjsdlkrfnl7 onludxdav! _klomdy mkb ln onlldorfnl rn Snrkm, -Fb, kr

    ;2;4,& K jdlrfnldb khnud! pd bn lnr eflb rmd akog ne sdxnlka onlldorfnl xdaduklr hdoktd

    jnr rxkbdx bn lnr mkud k onlldorfnl rn rmd onjsklfd fl pmfom rmdv fludr, Eflkaav! fr flfr

    rmkr Bx, Mnxl mkb rpn oxdbfhad xdknl enx mf rxkbfl` korfufrvfr dxudb rn mdb`d k`kflr k

    snrdlrfka an fl nsrfnl md kaxdkbv npldb klb fr nt`mr rn d}sanfr k skrrdxl md mkb lnrfodb fl rmd

    rnog mfrnxfoka sxfod jnudjdlrpmfad _klomdy d}saklkrfnl akog oxdbfhfafrv klb kxd

    86

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d 86 ne ?3 Sk`dFB /9;=26

  • 8/3/2019 Judge's Ruling in S.E.C.'s Insider Trading Case

    30/30

    tltssnxrdb hv rmd dufbdlod, _dd bfotfnltsxk FU-h&-F&, Pmfad pd okllnr kbbxd

    oxdbfhfafrv nl k jnrfnl enx tjjkxv itb`jdlr! fr f lnr ldodkxv rn bn n! hdoktd dudl fe

    _klomdy d}saklkrfnl kxd lnr k oxdbfhad k rmd nld sxnufbdb hv Bx, Mnxl! pd kxd rfaa ader

    pfrm k jdxd tsfofnl ne flfbdx rxkbfl`, Pmfad Bx, Mnxl oadkxav ontab mkud kooddb jkrdxfka

    lnlsthafo flenxjkrfnl! rmd _DO mk lnr mnpl rmkr _klomdy dudx mkb kl nssnxrtlfrv rn ko{tfxd

    lnlsthafo flenxjkrfnl, Itr k flMnxl! rmd _DO rmdnxfyd rmkr _klomdy pk flenxjdb ne njd

    tlfbdlrfefdb flenxjkrfnl xdakrdb rn rmd sxnsndb ko{tffrfnl! kr kl tlfbdlrfefdb rfjd! hv kl

    tlfbdlrfefdb flfbdx! klb rxkbdb nl rmf tlfbdlrfefdb flenxjkrfnl, _dd Mnxl! 83;3 PA 4?036==

    kr )0, Klb itr afgd flMnxl! rmf omkfl ne sdotakrfnl bnd lnr xkfd k jkrdxfka ftd ne ekor enx

    onlfbdxkrfnl hv k itxv, Fb,

    U, ONLOAT_FNL

    Enx rmd xdknl rkrdb khnud! pd xklr _klomdy jnrfnl enx tjjkxv itb`jdlr, K

    tom! pd nxbdx rmkr rmd kdr exddyd klb flitlorfnl fl sakod nl _klomdy kdr -flfrfkaav ftdb

    Kt`tr 83! 83;3 -Bgr, Ln, ;3&& hd xdadkdb, Fr f n nxbdxdb,

    ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^Mnlnxkhad Jkxufl D, KsdlT,_, Bfrxfor Ontxr Itb`d

    Bkrdb9 Bdodjhdx 8=! 83;;

    ?3

    Oksd9 ;9;3*ou*3485= Bnotjdlr /9 ;?4 Efadb9 ;8.8=.;; Sk`d ?3 ne ?3 Sk`dFB /9;=43