Quick Index
 Adult Industry News
Search AINews Database
Type Keyword or Phrase Here
Are you TOUGH ENOUGH for Joanna Angel? EXPO 2014, August 24-27, Mandalay Bay, Las Vegas
   
 

Front Page
Film News
Media News
Business News
Clubs & Appearances
Law & Politics
Internet & Mobile News
Lifestyles Arts Health Charity
Letters to the Editor
Columns
Movie Spotlight Reviews
Interviews
Pornstar Pages
AINews Staff
Ad Rates
PR 101: Press Release Service

Caliente Nudist Vacations!

Eva Angelina at Twistys

April 26, 2000 10:24am
Jury Mulls Porn Star Stock Case
Source: APBnews
by: Carol Huang

(NEW YORK, NY) -- A jury began deciding today whether the former chairman of a Wall Street investment bank provided insider-trading tips to a porn actress who became his mistress.

The deliberations follow the end of a two-week trial in which prosecutors accused James McDermott, 48, of giving confidential information on six potential bank mergers involving his firm's clients to Kathryn Gannon, who acted in adult movies as Marilyn Star.

The seven-woman, five-man jury also will decide the fate of Anthony Pomponio, 45, a New Jersey businessman accused of trading on information he obtained from Gannon during a simultaneous romance with her.

If found guilty, each man faces up to five years in prison on charges of conspiracy and 10 years in prison for each count of insider trading. Each also faces a fine of up to $1.25 million.

Pomponio also is accused of lying to investigators with the Securities and Exchange Commission (SEC) and faces a charge of perjury, which carries a prison sentence of up to five years and a maximum fine of $250,000.

$80,000 profit

An SEC investigation into trades by Gannon and Pomponio forced McDermott's firm, Keefe Bruyette & Woods, to cancel a public offering of the company's stock planned for last year that was expected to raise about $85 million.

Prosecutors said McDermott, who earned $4 million a year as chairman and chief executive of Keefe Bruyette & Woods, provided information to Gannon from June 1997 to September 1998 that allowed her to earn nearly $90,000 in illegal profits by trading the stocks of regional banks that entered merger talks.

They said Gannon shared the information with Pomponio, who earned nearly $80,000 by trading the same bank stocks within days and sometimes minutes of Gannon's trades.

Xanax blamed for alleged memory loss

Both men's wives appeared with them in court throughout the trial. McDermott's wife sat behind him in the first row of benches.

Pomponio's wife, Bonnie Clark, testified to boost arguments from her husband's defense attorney that Xanax, a prescribed anti-anxiety drug, affected her husband's memory, so that he may have been forgetful rather than untruthful when he met with SEC investigators.

Noticeably absent from the proceedings was Gannon, 30, who has been a fugitive since December when U.S. authorities issued a warrant for her arrest on charges of insider trading.

800 phone calls estimated

Defense attorneys say McDermott, whose knowledge of the banking industry made him a regular on investment talk shows, provided only stock recommendations to Gannon and that his recommendations were made before he had either confidential or material information on the stocks.

Assistant U.S. attorneys prosecuting the case produced bank records, testimony from bank executives and brokers, and records of some of an estimated 800 phone calls between McDermott and Gannon to demonstrate guilt.

"The only thing the government is asking you at this trial is for a fair and just verdict," said Assistant U.S. Attorney Alex Oh. "The only fair and just verdict for both defendants in this case is guilty."

Are you TOUGH ENOUGH for Joanna Angel?


RavenBay01.3gp

See BiBi Jones at Digital Playground

Top Stories

TTS Welcomes Bobi & Jen

Sheila Marie on Reality TV

Testing the Waters

Cutting Edge Changes Staff

MWA: 07/23/14

MWA: 07/22/14

MWA: 07/21/14

Tweets = Cash with PornPitch

Proud Parents ~ Reviewer Rated

RNSU July 17

Next Day Test in LV

MWA: 07/13/14

Condomless Sex

The Goddess Lives

A Legend Looks Back

Nikki Phoenix Hosts Palomino

RNSU Thurs July 10

Nikki Delano at Crazy Horse

Resurgence of the Goddess

Pornstar Graduates Law School

July 3 Rock-N-SeXXXy-Uncencored

More on Belle Knox

Morgan Del Ray Karaoke XXX

MWA: 05/21/14

The Temptation of Eve ~ Reviewer Rated

Cumisha Amado on Vivid Radio

Yoga for Lovers

She's Judas & Available

Nikki Delano on Jukeboxx

Lapdance Lingerie in Neighbors

XRCO Welcomes Rich Hansen

IIM Party June 13

Hustler EDM Maniac Party

Layla Price Stars

Julia Sands Karaoke XXX

Susana Molina in Baci Lingerie

Fetish Con Dates

Porn's Greatest Star

James Deen June Promo

Exxxotica Exhibitors Lining Up

AdultVerifiedVideoChat iPad Contest

Sunny Leone Hosts Splitsvilla

Porn Star Game Night

Camming Con Moves Dates

Discount Club Owners Expo Tickets

Teal Conrad at Sapphire NYC

Exquisite Distributes DDF

Cherie Deville Returns

Alana Evans at WonderCon

Risque Starr Sisters Parties

Natasha Voya PSK

The Sexual Liberation of Anna Lee ~ Reviewer Rated

Carter Cruise at Exxxotica

Belle Knox at Exxxotica

Rock'N'SeXXXy & Hustler

Puma Swede Opens Desire

Nikki Phoenix XRCO Nom

Maddy O'Reilly is Slutwoman

Alex Chance jGrrl

Tony Batman Conquers LA

Alexa Aimes NYC Tour

2014 AVN News Rack Part 2

Roxanne Rae Available

Minka Karaoke XXX

Rio Lee Heads Cherry Pimps

Immoral Mayhem

XRCO Sponsorship Opportunities

Rotten Hosting Vivid Radio

Cherie Deville Available

Tony Batman Crazy Appearances

Inside The Industry 03/19/2014

Chanel Preston Interview

Alicia Silver Productions Content

Adrianna Luna Dance Dates

Entertainment is Entertainment is Entertainment

More
Stories From

Law & Politics

Pornstar Graduates Law School

AHF Against AB 999

CraigsErotica Letter to Senators

Amazon Crushes Small Business

Letter of Equality

ASACP Service Recognition Award

Suit Filed Challenging Measure B

ASACP Ready For Internext

Octomom Loses Civil Suit

ASACP at XBIZ 360

Crakmedia ASACP Corporate Sponsor

Mo Reese Statement

CAM4 Newest ASACP Sponsor

Mo Reese FSC Nom

Amber Lynn Seeks FSC Board

Suit Against Measure B

Law Puts Con in Condom

No on B: Here's Why

NO on B Campaign

NO on B Bus Tour

GFY: Vote No on B

Margold on Erection Election

Alex Chance in Documentary

Yahshua: No On B

No On 35 Rally

Why No On B

Measure B Threatens Freedom

Measure B Protest Video

No On B Raffle

Alia Janine: No On B

AHF Vilifies Porn

No on B Event

Alia Janine Against Measure B

Fight Measure B

Takedown Piracy Removes 10,000,000

John Stagliano Keynotes CatalystCon

Hirsch Blasts Trueman

Hirsch Cautions GOP

LATATA Files Injunction

Child Porn Hotline Increased

Vette Scores on AFF

Nicole Houde Assault Arrest

YouJizz Sued

Dickinson Defends Travolta

Kardashian/Humphries Divorce Deposition

Three Stooges Porn Controversy

Suing: Wasn't Sexy Enough

Lords of Acid Censored

Nate Glass on CNBC

Law & Politics Section Index

     
Copyright © 1998 - 2014 Adult Industry News (AINews.com)
All materials constituting text, articles, press releases, stories, columns, photographs, graphics, and code on the AINews.com domain are protected by copyright, and either owned by Adult Industry News (AINews.com), or reproduced with permission from other copyright owners. It may be downloaded and printed for personal reference, but not otherwise copied, altered in any way, or transmitted to others, without the written permission of Adult Industry News (AINews.com).