NAFUSA life member and former board member Bill Leone has been representing the lead defendant, Javier Martin-Artajo, in both the civil SEC and criminal DOJ cases in the “London Whale” case.
Leone received good news this month when federal prosecutors dropped charges against two former JPMorgan Chase & Co traders accused of hiding more than $6.2 billion in trading losses on wrong-way derivative bets five years ago.
Leone reports that,
The dismissal follows a series of meetings and presentations to the prosecutors that established Artajo’s innocence. The cooperating witnesses’ collapse came in the face of overwhelming evidence that proved Artago did not conceal any material information from anyone. It is a good example of prosecutors doing the right thing even when the case is high profile. In addition to the factual innocence of the defendant, and the cooperator’s collapse, the case also highlights the complexity of global enforcement actions. Here, our client surrendered to Spanish authorities and successfully litigated his right not to be extradited based on differences between Spanish and US law and also would have had a good Allen motion based on the 2nd Circuit’s recent decision prohibiting use or derivative use of testimony compelled by foreign enforcement authorities.
On Friday, August 18, 2017, the SEC also dropped its suit against the “London Whale” Traders, giving Leone a complete win.