United States v. Martoma

Investment manager Matthew Martoma (defendant) paid Dr. Sidney Gilman, a researcher with fiduciary confidentiality duties, for consultations ostensibly about Alzheimer's disease generally, during which Gilman disclosed confidential results of clinical drug trials he was helping conduct; Martoma traded on that information and was charged with insider trading. The district court instructed the jury it could find Gilman personally benefited from tipping Martoma if he did so to develop a friendship, and Martoma was convicted and appealed, challenging that instruction as legally incorrect.