Government Agrees to Dismiss Final Count Against Client Following Shapiro Arato Bach Supreme Court and Second Circuit Victories
For several years Shapiro Arato Bach has represented a former partner at Deerfield Management Co., following his convictions for securities trades based on intelligence about a federal agency’s contemplated regulatory changes. After the Second Circuit initially affirmed the convictions, Shapiro Arato Bach successfully petitioned the Supreme Court of the United States for a writ of certiorari. The Supreme Court granted the petition, vacated the Second Circuit’s judgment, and remanded the case for further consideration in light of Kelly v. United States, 140 S. Ct. 1565 (2020), which held that federal wire fraud must involve “property,” and not the mere exercise of government regulatory powers. Then, after extensive further briefing and argument in the Court of Appeals, the Second Circuit reversed the convictions and remanded the case to the District Court for dismissal of four of the five counts of conviction and further proceedings with respect to the fifth.
On July 24, 2023, the government informed the District Court that it has agreed to dismiss the remaining count against our client and would not seek to retry him, provided he complies with terms set forth in a deferred prosecution agreement for a period of three months.
Alexandra Shapiro and Daniel O’Neill co-authored the petition for a writ of certiorari and the briefs on remand, together with counsel for our client’s co-defendants. The Second Circuit’s decision reversing the convictions, United States v. Blaszczak, 56 F.4th 230 (2022), is available here. The government’s recent District Court filing is available here.