Forums

[Not Me]

http://www.thestreet.com/funds/gregg.../10161702.html

• New Charges Reportedly Planned in Stewart Probe
  
  The U.S. Attorney in New York reportedly will announce perjury charges Friday against a government employee involved in the prosecution of Martha Stewart. The news caused shares of Martha Stewart Living (MSO:NYSE - commentary - research) to spike 20% at midday.
  
  Prosecutors plan a 2 p.m. EDT news conference to announce charges against the suspect, a Secret Service agent, NBC News reported. Officials with the U.S. Attorney's Office confirmed the news conference.
  
  Stewart and her former Merrill Lynch broker, Peter Bacanovic, were convicted in March of lying to the government about Stewart's sale of about 4,000 shares of ImClone Systems (IMCL:Nasdaq - commentary - research) in December 2001. Both are awaiting sentencing next month.
  
  Among other things, Bacanovic was charged with altering a spread-sheet record of Stewart's stock sales, an allegation for which the government called the chief forensic scientist of the Secret Service for testimony. The agent, Larry Stewart, testified that the ink used to make a notation on the sheet was different from other ink on the page.
  
  The government contended Bacanovic had changed it to cover up the sale. Ironically, making and using false documents was the one count on which Bacanovic was acquitted.